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Hellbender Brewery based in Northeast D.C. has filed for Chapter 11 bankruptcy. The brewery, which is readying to celebrate its second anniversary, owes its creditors more than $135,000, according to documents filed Nov. 1 in bankruptcy court.

It’s Chapter 11, so it’s a reorganization,” says co-founder Patrick Mullane. “The business plan is to come out healthy.” He says they’re keeping quiet “so we don’t go pissing off the judge” before court proceedings. “We’re dealing with some issues that go beyond financial issues that need to be taken care of. Once the filings are made, we can talk about it.” 

After speaking with Y&H, Hellbender Brewery sent out a press release adding, “Hellbender took this action to address ongoing problems with its distributor and to restructure its current financial obligations.”

Mullane says they will continue to operate business as usual, and no D.C. bars or restaurants who carry Hellbender Brewery products should be affected. “We hope to come out much more competitive, with much greater support,” Mullane says. 

According to the documents below, Hellbender Brewery owes Vanguard Realty Group $56,320 and the D.C. Office of Tax and Revenue $21,495.

Learn more about the brewery here