Restaurant chains hit by virus file for bankruptcyThe coronavirus pandemic was the final blow for many restaurant chains, which were already struggling with growth in third-party delivery and consumers' migration away from shopping malls
The coronavirus pandemic was the final blow for many restaurant chains, which were already struggling with growth in third-party delivery and consumers’ migration away from shopping malls. On Sunday, Friendly’s — an 85-year-old East Coast chain known for its ice cream — was the latest to file for Chapter 11 bankruptcy protection.
Here are some of the biggest chains to seek bankruptcy protection this year:
— FoodFirst Global Restaurants: The parent company of the Brio Italian Grille and Bravo Italian Kitchen restaurant chains filed for Chapter 11 bankruptcy on April 10. Orlando, Florida-based Earl Enterprises, the parent company of Planet Hollywood and Buca di Beppo, has reopened 49 locations and plans to reopen seven more in the coming weeks.
— Garden Fresh Restaurants: The owner of the buffet chains Souplantation and Sweet Tomatoes filed for Chapter 7 bankruptcy on May 14 and liquidated, closing all of its 97 restaurants.
— Le Pain Quotidien: The U.S. arm of the bakery chain filed for Chapter 11 bankruptcy on May 27. It sold all of its 98 locations to New York-based Aurify Brands, which planned to reopen 40 of them.
— Chuck E. Cheese: CEC Entertainment, the Irving, Texas, parent of Chuck E. Cheese, filed for Chapter 11 bankruptcy protection on June 25. As of September, 316 of the company’s 555 company-operated Chuck E. Cheese and Peter Piper Pizza locations had reopened.
— NPC International: A major franchisor of Wendy’s and Pizza Hut restaurants filed for Chapter 11 on July 1. In August, Leawood, Kansas-based NPC reached a deal with Pizza Hut to close 300 underperforming locations. NPC owns 1,225 Pizza Huts and 385 Wendy’s in 27 states.
— California Pizza Kitchen: The Playa Vista, California-based pizza chain filed for Chapter 11 bankruptcy on July 30. Its 200 restaurants have remained open while it hammers out a deal with creditors.
— Garbanzo Mediterranean Fresh: a Centennial, Colorado-based chain with four company-owned restaurants and 21 franchised locations, filed for Chapter 11 bankruptcy on Aug. 12.
— Sizzler: The Mission Viejo, California-based steakhouse chain filed for Chapter 11 bankruptcy on Sept. 21 and said it would need to negotiate leases on its company-owned locations. Sizzler has 107 restaurants, but most are run by franchisees. The company said it planned to keep 14 company-owned stores open during its restructuring.
— Ruby Tuesday: The Maryville, Tennessee-based casual chain filed for Chapter 11 bankruptcy on Oct. 7. The company planned to closed 185 locations permanently but keep 250 restaurants open during the restructuring.
— Friendly’s: an 85-year-old Wilbraham, Massachusetts-based chain known for its ice cream, filed for Chapter 11 on Nov. 1. Almost all of its assets are being sold to Amici Partners Group. Friendly’s said all 130 locations will remain open during the restructuring.
