DALLAS (AP)– Restaurant chain TGI Fridays utilized for private chapter protection Saturday, claiming it’s looking for strategies to “ensure the long-term viability” of the casual consuming model title after shutting quite a few its branches this yr.
The Dallas- based mostly enterprise utilized for Chapter 11 private chapter protection in a Texas authorities courtroom.
TGI Fridays Executive Chairman Rohit Manocha in a declaration claimed the “primary driver of our financial challenges resulted from COVID-19 and our capital structure.”
Sit- down chain eating institutions have truly rather more extensively handled difficulties in latest instances as eating places choose to acquire meals equipped or see excessive finish junk meals chains like Chipotle and Shake Shack.
A united state private chapter courtroom in September approved a reorganization plan for fish and shellfish chain Red Lobster after years of putting in losses and diminishing shoppers.
Founded in 1965, the attraction of TGI Fridays got here to a head in 2008 with 601 eating institutions within the united state and a $2 billion firm, in keeping with Kevin Schimpf, supervisor of sector analysis examine atTechnomic Its gross sales within the united state have been $728 million in 2023, down 15% from the earlier yr, in keeping with Technomic.
It presently counts 163 eating institutions within the united state, beneath 269 in 2014. It shut 36 in January and plenty rather more within the earlier week.
TGIFridays Inc claimed it simply possesses and runs 39 eating institutions within the united state, which is just a portion of the 461 TGI Friday- branded eating institutions across the globe. A special entity, TGI Fridays Franchisor, possesses the copyright and has truly franchised the model title to 56 unbiased proprietors in 41 nations. Those proceed to be open.
The Associated Press
