Kasser Distillers
 | |
| Company type | Private |
|---|---|
| Industry | Alcoholic beverage |
| Founded | 1943 |
| Founder | Samuel Kasser |
| Defunct | 1989 |
| Headquarters | , |
Area served | Northeastern United States |
Key people | Samuel Kasser (founder) Raymond H. Kasser (president, 1965-1988) Thomas J. Knox (owner, 1988-1989) |
| Products | Wine, spirits, cordials |
| Revenue | $60 million (1987) |
Number of employees | 175 (1988) |
Kasser Distillers Products Corp. was an American alcoholic beverage company that operated from 1934 to 1989, producing and distributing wines, spirits, and cordials. The company handled over 200 different labels and at its peak accounted for more than 11 percent of all Pennsylvania state liquor sales.[1] Based in Philadelphia, Pennsylvania, the company was one of the largest independent distillers in the state for over five decades.[2]
History
[edit]Founding and early years (1934–1943)
[edit]Samuel Kasser, a Hungarian immigrant arrived in the United States as a 14-year-old in 1907 and initially worked as a grocer in North Philadelphia. [3] In 1927, he established Kasko Products Co., Inc., which specialized in bakers' and confectioners' supplies.[4] After the repeal of Prohibition in 1933, he became president and treasurer of Kasko Brewing Co., and in 1934 founded Kasko Distillers Corporation.[4]
Kasko Distillers Corporation experienced significant growth, with its Four Kings Whiskey becoming the largest-selling rye whiskey in Pennsylvania. From 1934 to 1943, Kasko shipped over 1.5 million cases, at one point accounting for seven percent of all alcoholic products sold through state stores.
In 1942, Seagram's purchased Kasko Distillers Corporation and all of its inventory for its brand names and market position. [5]
Expansion and innovation (1943–1965)
[edit]With the Kasko name now owned by Seagram's, Samuel Kasser founded a new enterprise in 1943: Kasser Distillers Products Corporation, along with Kings' Wine Company.[4]
Under the new Kasser Distillers banner, Sthe company moved to its permanent location at Third and Luzerne Streets in the Feltonville section of Philadelphia in 1949, establishing a modern blending and bottling facility.[6]
Under Samuel's leadership, the company introduced several industry innovations including the introduction of the full quart whiskey bottle in Pennsylvania (1950), development of the no-drip pourer, and early adoption of television advertising for wine promotion.[7]
During the 1960s, the profitable company underwent significant expansion, adding 100,000 square feet to the Philadelphia plant in 1964, bringing the total plant area to 250,000 square feet. The company installed equipment capable of bottling 10,000 cases per day and constructed bonded warehouses with a capacity of 20,000 barrels for domestic whiskey aging, plus customs bonded warehouses for imported spirits.[8]
Family leadership era (1965–1988)
[edit]Following Samuel Kasser's death in 1965, his son Raymond H. Kasser took over leadership and continued the company's growth. Raymond expanded the product line, creating the company's most famous product, Chateau Luzerne wine, and increasing the company's market share. His business leadership was recognized industry-wide when he was named "Man of the Year" by the National Association of Wine Producers and Bottlers in 1962.[7]
The creation of Chateau Luzerne demonstrated the company's marketing approach. The name was inspired by simply looking at the street sign at the corner of the facility, and the brand became known for its television commercials featuring the tagline "How do you think I got so rich?"[9]
Raymond publicly opposed the privatization of the state liquor system in 1979. He defended Pennsylvania's state liquor monopoly system, arguing it provided better economic returns for the state and avoided concentrating liquor sales in disadvantaged communities.[10]
In 1988, when Raymond chose to sell the company, Kasser Distillers had over $60 million in annual sales, 240 different product labels, and ranked among Pennsylvania's top five liquor suppliers, trailing only national brands like Gallo, Seagram, and Jim Beam.[6] The company's distribution network spanned multiple states and accounted for approximately 5 percent of all liquor sold in Pennsylvania.[6]
The firm's distribution network had expanded beyond Pennsylvania to include Ohio, New Jersey, Maryland, Delaware, the District of Columbia, and several cities in Florida and Louisiana. The company operated under 29 different trading styles and used multiple trademarks for the same type of alcoholic beverage, demonstrating its diverse portfolio approach.[5]
Knox Group acquisition (1988)
[edit]In June 1988, Raymond Kasser sold the company to an investor group led by Thomas J. Knox, a Chestnut Hill businessman, for $25 million.[6] At the time of sale, Kasser Distillers had sales exceeding $60 million annually and served as one of the largest suppliers to the Pennsylvania Liquor Control Board.[6] Knox promised to maintain operations and employment at the Philadelphia facility, which employed 175 workers, and stated intentions to increase employment, especially in the sales department.[6]
Closure (1989)
[edit]Under Kasser Family leadership, the company had been one of Pennsylvania's largest and most profitable independent distillers. Under Knox's leadership, the company had been losing at least $100,000 per month. Knox sold off the brand names and close the bottling plant. In September 1989, just over a year after the acquisition, Knox closed the company.[2]
Knox eventually sold off the various parts of the former Kasser empire. The wine brands (Chateau Luzerne, Tiger Rose, and others) were sold to Canandaigua Wine Company of New York for over $1 million. The spirits brands were sold separately to companies including Laird & Company. The closure resulted in the layoff of 38 production workers and additional support staff.[2] [9]
Products and brands
[edit]
Kasser Distillers was known for producing "popularly priced" alcoholic beverages rather than premium brands.[6] The company operated as a blender and bottler, purchasing wine and spirits in bulk and then blending and bottling them under various brand names.[2] The wine production process involved purchasing bulk wine from California - the same quality juice used by Gallo and Paul Masson - and shipping it in 5,800-gallon tankers to North Philadelphia for blending and bottling.[9]
Major brands
[edit]Major wine brands included Chateau Luzerne (the company's flagship wine brand, marketed as "the biggest-selling brand of table wine in Pennsylvania"), Tiger Rose, King Solomon, Pasta Vino, White Tip, and Kings Wine.[11][12] All wine brands were discontinued after the company's closure.
Spirits and liquor brands:
| Brand Name | Type | Years Produced | Still Sold Today | Current Producer |
|---|---|---|---|---|
| Kasser's "51" | Whiskey | 1943–1989 | Yes | Kasser Laird |
| Kasser's "51" | Gin | 1943–1989 | Yes | Kasser Laird |
| Kasser's Vodka | Vodka | 1950s–1989 | Yes | Kasser Laird |
| Four Queens | Whiskey | 1940s–1989 | Yes | Kasser Laird[11] |
| Banker's Club | Spirits (full line) | 1960s–1989 | Yes | Kasser Laird |
| Barrister's | Scotch Whiskey | 1960s–1989 | No | — |
| Monogram | Whiskey | 1940s–1989 | No | — |
| House of Kasser | Cordials | 1940s–1989 | No | — |
| General Lee | Whiskey (100 proof) | 1970s–1989 | No | — |
| Zapata | Tequila | 1970s–1989 | No | — |
| Dunhill | Scotch Whiskey | 1963–1972 | No | Discontinued after lawsuit |
The surviving brands (Kasser's 51 whiskey and gin, Kasser's vodka, Banker's Club line, and Four Queens whiskey) are all currently owned and bottled by Kasser Laird in New Jersey.[13]
The company handled over 200 different labels and at its peak accounted for more than 11 percent of all Pennsylvania state liquor sales.[1]
Legal disputes
[edit]Alfred Dunhill trademark litigation
[edit]In 1963, Kasser Distillers adopted the mark "Dunhill" for a brand of Scotch whisky, prompting a 1968 trademark infringement lawsuit by Alfred Dunhill of London, which argued the name would confuse consumers familiar with its luxury tobacco products. In a 1972 decision, Judge Edward R. Becker ruled in favor of Dunhill, finding Kasser had deliberately chosen the name for its associations with "stability," "quality," and "British flavor," establishing a key precedent in trademark law regarding marks used across unrelated product categories.[5]
Severance controversy
[edit]The closure became embroiled in controversy over promised severance payments. While Knox initially promised "substantial" severance packages for laid-off workers, negotiations broke down and workers ultimately received only 14 cents on the dollar of their promised severance by 1994.[14]
Legacy
[edit]Kasser Distillers Products Corp. was notable for its role in making alcoholic beverages accessible to working-class consumers in Pennsylvania and the broader Northeastern United States. The company's performance under 45 years of family leadership demonstrated how local businesses could compete with national corporations through innovation and understanding of regional markets.
The Four Queens whiskey brand, originally created by Kasser, continues to be produced by Laird & Company and remains an essential ingredient in "boilo," a traditional Christmas drink in Pennsylvania's anthracite coal region.[11] The brand sells approximately 36,000 bottles annually, with 98% of sales occurring in Pennsylvania.[11]
The former Kasser facility at Third and Luzerne Streets was later converted to industrial use, with a large "Kasser's 51" sign remaining visible on the building for many years after the company's closure.[14]
See also
[edit]References
[edit]- ^ a b Scoblionkov, Deborah (September 11, 1988). "How a distiller got so rich from wine bottled in N. Phila". The Philadelphia Inquirer. p. J1.
- ^ a b c d Stets, Dan (September 2, 1989). "Kasser Distillers Closing Its Plant". The Philadelphia Inquirer. p. C08.
- ^ "Samuel Kasser, Distillery Chief". The Philadelphia Inquirer. July 10, 1965. p. 10.
- ^ a b c ""Uncle" Sam Kasser". Tap and Tavern. 1947. p. 12.
- ^ a b c Alfred Dunhill of London, Inc. v. Kasser Distillers Products Corp., 350 F. Supp. (E.D. Pa. 1972).
- ^ a b c d e f g Bivers, Terry (June 8, 1988). "Deal Uncorked Kasser Distillers Is Sold to Investor Group". The Philadelphia Inquirer. p. E01.
- ^ a b Coakley, Michael B. (September 14, 1991). "Raymond Kasser, 69". The Philadelphia Inquirer. p. A10.
- ^ La Croix, Harry J. (December 28, 1964). "Kasser Distillers Expand". The Philadelphia Inquirer.
- ^ a b c Scoblionkov, Deborah (August 16, 1998). "From the North Phila. 'chateau'". The Philadelphia Inquirer. p. S4.
- ^ McKinney, Jack (April 5, 1979). "State Stores: Last Call? Distillery Exec Makes a Case for Monopoly". Philadelphia Daily News.
- ^ a b c d Nark, Jason (December 11, 2019). "N.J.'s Four Queens whiskey fuels boilo, a Christmas tradition in Pennsylvania's coal country". The Philadelphia Inquirer.
- ^ "Jocko, Randy Push Kasser Wine Program". Philadelphia Tribune. November 10, 1953. p. 12.
- ^ Thompson, Gary (June 8, 1988). "Here's Proof: Kasser Is Staying". Philadelphia Daily News. p. 26.
- ^ a b Maykuth, Andrew (May 8, 2007). "How Knox drew wrath of Teamsters past chief". The Philadelphia Inquirer.
External links
[edit]- Kasser's 51 Whiskey Bottle - Wikimedia Commons
- Kasser's 51 American Whiskey (Quart Bottle) - Wikimedia Commons
- Former Kasser Distillers Facility in Philadelphia - Wikimedia Commons
- Bankers Club Product Line - Wikimedia Commons
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