Hooters plans bankruptcy filing to restructure business Express Tribune
Hooters is preparing for a bankruptcy filing to restructure its business amid industry challenges and closures.
Hooters is preparing for a bankruptcy filing to restructure its business amid industry challenges and closures.
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Hooters of America is reportedly working with creditors on a plan to restructure its business through bankruptcy court in the coming months.Â
According to Bloomberg, sources familiar with the matter, who requested anonymity, say the company is collaborating with the law firm Ropes & Gray to prepare a filing. The court process is expected to begin within the next two months.
Last year, Hooters announced the closure of a number of underperforming locations, becoming part of a broader trend of casual dining chains shutting down restaurants amid industry challenges. While facing "pressure from current market conditions," Hooters emphasized that new locations continue to open both domestically and internationally. The company did not disclose the exact number of affected locations.
Despite the closures, Hooters remains confident in its brand, stating that it remains "highly resilient and relevant" after 41 years in business. Other casual dining chains, including Applebee’s and Red Lobster, have also faced significant closures.
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