Republic National Distributing Company (RNDC), one of the US’s largest spirits and wine wholesale distributors, is working with Lazard to explore options amid depressed domestic alcohol sales, said two sources familiar with the matter.

Bankruptcy is among the potential alternatives for the company, which closed its California operations last year, said the two sources and a third source familiar with matter. One noted that RNDC may be able to sell off businesses in different regions of the country and liquidate remaining inventory using existing sales channels.