Jan 14 (Reuters) - Brown-Forman ( BF/A ) said on Tuesday

it will lay off about 12% of its global workforce of 5,400

employees, as the Jack Daniel's maker looks to reduce costs amid

weak alcohol demand.

The company has struggled with high input costs, including

of raw materials such as agave and wood barrels, and raised

prices for its whiskey brands to shield margins.

Consumers have also traded down to cheaper brands as they

deal with higher costs of living. Brown-Forman's ( BF/A ) peer

Constellation Brands ( STZ ) cut its annual forecast last week

and flagged uncertainty around consumer spending on its beers

and spirits.

Brown-Forman ( BF/A ) said it will close its Louisville-based

barrel-making facility by April 25, which will impact about 210

employees and is part of the overall global workforce reduction.

The company said it will source barrels from an unnamed external

supplier in the future.

The announcement comes just days after the U.S. Surgeon

General said alcoholic drinks should carry a warning about

cancer risks on their labels and called for guidelines on

alcohol consumption limits to be reassessed.

Brown-Forman's ( BF/A ) restructuring plan is expected to generate

about $70 million to $80 million in annualized cost savings. The

company is expected to incur about $60 million to $70 million in

severance and other charges related to the layoffs.

The company also said it will restructure its executive

leadership, including appointing a new chief marketing officer

and a chief strategy officer.