Brown-Forman Commits Funds to Foundation and Dendrifund

Rhea-AI Summary

Brown-Forman Corporation commits $22.5 million to support the Brown-Forman Foundation and Dendrifund. The donation from the recent sale of Finlandia vodka will strengthen community impact and sustainability efforts. The Brown-Forman Foundation receives $20 million to promote responsible living and cultural experiences in Louisville, while Dendrifund gets $2.5 million to advance sustainability in the whiskey industry.

LOUISVILLE, Ky.--(BUSINESS WIRE)-- Brown-Forman Corporation (NYSE:BFA, BFB) today announced a commitment of $22.5 million to support the efforts of the Brown-Forman Foundation and Dendrifund. The commitment will be funded from a portion of the proceeds from the company’s recent sale of Finlandia vodka.

“This planned contribution supports the Brown-Forman Foundation’s vision of transformative community impact and Dendrifund’s collaborations to renew wood, water, and grain ecosystems,” said Lawson Whiting, President and CEO, Brown‑Forman. “The funding will strengthen these two organizations, enabling them to further their important and impactful work alongside their many partners.”

The Brown-Forman Foundation will receive a $20 million donation. The Foundation partners with organizations focused on three key areas: promoting responsible and sustainable living, ensuring essential living standards, and enriching arts and cultural experiences in Brown-Forman’s hometown of Louisville, Kentucky.

Additionally, the Dendrifund, a nonprofit sustainability seed fund jointly created by Brown-Forman and the Brown family, will receive a $2.5 million donation. Dendrifund serves as a catalyst for collaborative efforts aimed at advancing sustainability within the whiskey industry. This contribution will empower Dendrifund to progress its mission, focusing on crucial natural resources essential for whiskey distillation and aging: grains, water, and wood.

Brown-Forman’s commitment to the Brown-Forman Foundation continues the company’s legacy of philanthropy and community engagement. Likewise, the ongoing support of Dendrifund underscores the importance the company places on sustainability and innovation within the spirits industry.

Brown-Forman Corporation

For more than 150 years, Brown-Forman Corporation has enriched the experience of life by responsibly building fine quality beverage alcohol brands, including Jack Daniel's Tennessee Whiskey, Jack Daniel's Ready-to-Drinks, Jack Daniel's Tennessee Honey, Jack Daniel's Tennessee Fire, Jack Daniel's Tennessee Apple, Gentleman Jack, Jack Daniel's Single Barrel, Woodford Reserve, Old Forester, Coopers’ Craft, The GlenDronach, Benriach, Glenglassaugh, Slane, Herradura, el Jimador, New Mix, Korbel, Chambord, Sonoma-Cutrer, Fords Gin, Gin Mare, and Diplomático Rum. Brown-Forman’s brands are supported by approximately 5,600 employees globally and sold in more than 170 countries worldwide. For more information about the company, please visit brown-forman.com. Follow us on LinkedIn, Instagram, and X, formerly Twitter.

Brown-Forman Foundation

Brown-Forman established the Brown-Forman Foundation in 2018 to further the company’s strategic charitable mission and ongoing philanthropic endeavors. Based in Louisville, Kentucky, the Brown-Forman Foundation amplifies the company’s generous culture to deliver transformative community impact, through enhancing arts and cultural living, ensuring essential living standards, and empowering responsible and sustainable living.

Dendrifund

Established in 2012 with an inaugural donation from Brown-Forman, Dendrifund has partnered with Brown-Forman, the Brown family, and community members to strengthen connections across wood, water, and grain value chains for greater sustainability. Dendrifund is committed to cultivating common ground for common solutions to address ecosystems issues related to three natural resources most important for the distillation and aging of whiskey: wood(lands), water(sheds), and grain(fields). For more information about Dendrifund, see www.dendrifund.org.

Important Information on Forward-Looking Statements:

This press release contains statements, estimates, and projections that are “forward-looking statements” as defined under U.S. federal securities laws. Words such as “aim,” “anticipate,” “aspire,” “believe,” “can,” “continue,” “could,” “envision,” “estimate,” “expect,” “expectation,” “intend,” “may,” “might,” “outlook,” “plan,” “potential,” “project,” “pursue,” “see,” “seek,” “should,” “will,” “would,” and similar words indicate forward-looking statements, which speak only as of the date we make them. Except as required by law, we do not intend to update or revise any forward-looking statements, whether as a result of new information, future events, or otherwise. By their nature, forward-looking statements involve risks, uncertainties, and other factors (many beyond our control) that could cause our actual results to differ materially from our historical experience or from our current expectations or projections. These risks and uncertainties include, but are not limited to:

• Our substantial dependence upon the continued growth of the Jack Daniel’s family of brands
• Substantial competition from new entrants, consolidations by competitors and retailers, and other competitive activities, such as pricing actions (including price reductions, promotions, discounting, couponing, or free goods), marketing, category expansion, product introductions, or entry or expansion in our geographic markets or distribution networks
• Route-to-consumer changes that affect the timing of our sales, temporarily disrupt the marketing or sale of our products, or result in higher fixed costs
• Disruption of our distribution network or inventory fluctuations in our products by distributors, wholesalers, or retailers
• Changes in consumer preferences, consumption, or purchase patterns – particularly away from larger producers in favor of small distilleries or local producers, or away from brown spirits, our premium products, or spirits generally, and our ability to anticipate or react to them; further legalization of marijuana; shifts in consumer purchase practices; bar, restaurant, travel, or other on-premise declines; shifts in demographic or health and wellness trends; or unfavorable consumer reaction to new products, line extensions, package changes, product reformulations, or other product innovation
• Production facility, aging warehouse, or supply chain disruption
• Imprecision in supply/demand forecasting
• Higher costs, lower quality, or unavailability of energy, water, raw materials, product ingredients, or labor
• Impact of health epidemics and pandemics, including the COVID-19 pandemic, and the risk of the resulting negative economic impacts and related governmental actions
• Unfavorable global or regional economic conditions, particularly related to the COVID-19 pandemic, and related economic slowdowns or recessions, low consumer confidence, high unemployment, weak credit or capital markets, budget deficits, burdensome government debt, austerity measures, higher interest rates, higher taxes, political instability, higher inflation, deflation, lower returns on pension assets, or lower discount rates for pension obligations
• Product recalls or other product liability claims, product tampering, contamination, or quality issues
• Negative publicity related to our company, products, brands, marketing, executive leadership, employees, Board of Directors, family stockholders, operations, business performance, or prospects
• Failure to attract or retain key executive or employee talent
• Risks associated with acquisitions, dispositions, business partnerships, or investments – such as acquisition integration, termination difficulties or costs, or impairment in recorded value
• Risks associated with being a U.S.-based company with a global business, including commercial, political, and financial risks; local labor policies and conditions; protectionist trade policies, or economic or trade sanctions, including new retaliatory tariffs on American whiskeys and the effectiveness of our actions to mitigate the negative impact on our margins, sales, and distributors; compliance with local trade practices and other regulations; terrorism; and health pandemics
• Failure to comply with anti-corruption laws, trade sanctions and restrictions, or similar laws or regulations
• Fluctuations in foreign currency exchange rates, particularly a stronger U.S. dollar
• Changes in laws, regulatory measures, or governmental policies – especially those that affect the production, importation, marketing, labeling, pricing, distribution, sale, or consumption of our beverage alcohol products
• Tax rate changes (including excise, corporate, sales or value-added taxes, property taxes, payroll taxes, import and export duties, and tariffs) or changes in related reserves, changes in tax rules or accounting standards, and the unpredictability and suddenness with which they can occur
• Decline in the social acceptability of beverage alcohol in significant markets
• Significant additional labeling or warning requirements or limitations on availability of our beverage alcohol products
• Counterfeiting and inadequate protection of our intellectual property rights
• Significant legal disputes and proceedings, or government investigations
• Cyber breach or failure or corruption of our key information technology systems or those of our suppliers, customers, or direct and indirect business partners, or failure to comply with personal data protection laws
• Our status as a family “controlled company” under New York Stock Exchange rules, and our dual-class share structure

For further information on these and other risks, please refer to our public filings, including the “Risk Factors” section of our annual report on Form 10-K and quarterly reports on Form 10-Q filed with the Securities and Exchange Commission.

View source version on businesswire.com: https://www.businesswire.com/news/home/20240301162429/en/

Elizabeth Conway

Director

Corporate Communications

elizabeth_conway@b-f.com

Sue Perram

Vice President

Investor Relations

sue_perram@b-f.com

Source: Brown-Forman Corporation

FAQ

What is the total amount committed by Brown-Forman Corporation to support the Brown-Forman Foundation and Dendrifund?

Brown-Forman Corporation has committed $22.5 million to support the Brown-Forman Foundation and Dendrifund.

What is the purpose of the $20 million donation to the Brown-Forman Foundation?

The $20 million donation to the Brown-Forman Foundation aims to promote responsible living, ensure essential living standards, and enrich arts and cultural experiences in Louisville.

How much will Dendrifund receive from the commitment made by Brown-Forman Corporation?

Dendrifund will receive a $2.5 million donation from the commitment made by Brown-Forman Corporation.

What is the focus of Dendrifund's mission in advancing sustainability within the whiskey industry?

Dendrifund's mission focuses on crucial natural resources essential for whiskey distillation and aging: grains, water, and wood.

What are some of the well-known brands under Brown-Forman Corporation?

Some of the well-known brands under Brown-Forman Corporation include Jack Daniel's Tennessee Whiskey, Woodford Reserve, Old Forester, Herradura, and Fords Gin, among others.