Buffalo Trace Distillery bounces back from flood that briefly halted bourbon production

FRANKFORT, Ky. — Buffalo Trace Distillery has largely recovered five months after a Kentucky River flood inundated its Frankfort campus, interrupting bourbon production and damaging aging warehouses. The flood, driven by days of heavy rain in early April, swelled the Kentucky River to heights not seen in living memory and forced the distillery to activate flood plans, shut down operations, and begin a lengthy cleanup. Despite the scale of the damage, the site has returned to normal production levels, including the flagship Buffalo Trace label and other well-known bourbons such as Eagle Rare, W.L. Weller and Blanton's. Pappy Van Winkle bourbons are distilled and aged at Buffalo Trace, while the Van Winkle family retains control of the brand.

The disruption was more than a temporary setback. The flood swamped more than 200 acres of the campus, damaged several aging warehouses and flooded key production spaces. Five months later, the distillery reported that finished whiskey shipments resumed the day after the rain stopped, with bottling quickly following and a temporary gift shop opening while the visitor center was repaired. Crews removed debris, sanitized equipment and pumped out residual floodwaters. High water marks remain etched into some buildings as a stark reminder of the event. Distillery officials said that quality-control checks found only small amounts of aging whiskey affected.

"It was just something that was hard to process, but we knew we couldn’t take too much time to process it," said Tyler Adams, Buffalo Trace’s distillery general manager. He described the recovery as a concerted effort that involved hundreds of plant employees and contract workers. He recalled how the team had to watch and wait after the river crested, using drone footage and on-site inspections to determine when it was safe to move equipment and begin repairs. "Your best bet is to prepare for it, do what you can. But holding back that water? It’s really inevitable it’s going to make it into some spaces." During the height of the crisis, several storage tanks shifted off their foundations and dozens of electrical control panels were destroyed. About three-fourths of the gift-shop inventory was lost, and some barrels that had been swept into the parking lot were found to be empty of whiskey after the floodwaters receded. The incident curtailed production for roughly a month and drove cleanup and repair costs well above $30 million.

IMAGE: Buffalo Trace distillery flood

Even as the distillery rebuilt, Buffalo Trace remained in the crosscurrents affecting the broader American whiskey sector. In 2024, American whiskey sales in the United States fell about 2 percent—the first quarterly decline in more than two decades, according to the Distilled Spirits Council. Data for the first half of 2025 suggested the downturn continued, with exports dropping more than 13 percent through July compared with the previous year. Industry officials attributed the pressures to a mix of supply-chain disruption and shifting consumer purchasing patterns. Chris Swonger, the council’s chief executive, said the headwinds could be temporary or signal a broader consumer shift, noting that larger producers have more buffers than smaller outfits to weather downturns.

Buffalo Trace’s status as part of a large Kentucky-distillery complex helps cushion the impact of market volatility. The $1.2 billion expansion completed in recent years was aimed at doubling distilling capacity, a development that positioned the distillery to meet demand and absorb shocks from supply interruptions. The company has also pursued diversification, introducing new whiskeys to its catalog and renovating parts of the campus, including a building slated to become a cafe and events center for visitors and staff.

Industry observers cite Kentucky’s major brands—Buffalo Trace, Jim Beam, Maker’s Mark, Woodford Reserve, Wild Turkey and Four Roses—as better positioned to weather downturns than smaller producers. Heaven Hill Brands, another large player, recently celebrated a new $200 million distillery in Bardstown, signaling a long-term bet on bourbon capacity. Kate Latts, co-president of Heaven Hill Brands, has framed the move as a strategic, long-term investment rather than a response to quarterly market shifts. "As an independent, family-owned company, we don’t have to chase quarterly trends; we’re building for the next generation," Latts said.

Buffalo Trace officials acknowledge that climate-related risks will remain part of the distillery’s environment given its location along the Kentucky River and its designation as a National Historic Landmark. Adams noted that little can be done to physically hold back floodwaters entirely, given the river’s historic role in the site’s development. Instead, the focus is on preparedness, rapid response, and resilient operations. "The river is a central part of our history and our future," Adams said. "We’ll keep refining our flood plans and improve our readiness for whatever comes next." The recovery has also reinforced the value of a coordinated response with contractors, suppliers and community partners, as the distillery navigates ongoing maintenance, testing, and the potential for future flood risks.

Looking ahead, Buffalo Trace continues to balance restoration with growth. The distillery reports that the full portfolio—led by Buffalo Trace and including high-demand brands—has returned to normal production and distribution channels, with the company expanding capacity and continuing research and development on new products. The long arc of recovery—tied to a historic river, a century-spanning industry, and a new generation of consumer demand—highlights the intertwined challenges of Climate & Environment and industry economics for American whiskey. It also underscores the resilience of a sector shaped by weather, water, and the steady demand for a quintessential American spirit.