Categories: Business

Hoots of the restaurant chain for bankruptcy

Dennis ODA / 2016

Hooters at Aloha Tower Marketplace. The Hooters of America restaurants filed for a bankruptcy in Texas on Monday, seeking to respond to its debt of $ 376 million by selling all its restaurants belonging to the company to a franchise group supported by the founders of the company.

New York >> Restaurant Chain Hooters of America has taken stock in Texas on Monday, seeking to respond to its 376 million dollars debt by selling all its restaurants belonging to the company to a franchise group supported by the founders of the company.

Hooters, like other relaxed dining restaurants, have struggled in recent years due to inflation, high labor costs and food and drop in expenditure for American consumers short of money. The company currently has and operates directly 151 locations, with 154 other restaurants operated by franchisees, mainly in the United States.

The private company, which shares a private capital owner with recently bankrupt TGI Fridays, intends to sell all the locations belonging to companies to a group of buyers made up of two existing hooters, which operate 30 highly efficient vehicle locations in the United States, mainly in Florida and Illinois.

Hooters did not disclose the purchase price of the transaction, which must be approved by a bankruptcy judge in the United States before it became final.

Founded in 1983, Hooters became famous for its chicken wings and its server uniform in orange shorts and low tank top.

The group of buyers is supported by some of the original founders of the hooters, and he is committed to bringing back the hooks “to his roots”.

“With more than 30 years of practical experience through the hooters ecosystem, we have a deep understanding of our customers and what it takes not only to meet, but constantly exceeding their expectations,” said Neil Kiefer, member of the group of buyers and current CEO of the hooters original location in Clearwater, Florida.

Hooters said he was planning to conclude the agreement and get out of bankruptcy in three to four months. The company has aligned around 35 million dollars in funding from its existing loan group to carry out the bankruptcy transaction.

The relaxed dining restaurants were hammered by the cost increase in 2024, with well -known channels such as TGI Fridays, Red Lobster, Bucca Di Beppo and Rubio’s Coastal Grill, all depositing for last year’s record.

Restaurant prices have increased by around 30% in the past 5 years, beyond consumer prices, according to the Federal Reserve Bank of St. Louis.


remon Buul

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