TGI Fridays Inc., the parent company that operates the eponymous casual dining chain, has filed for Chapter 11 bankruptcy as it navigates challenges stemming from the COVID-19 pandemic shutdowns and shifting consumer preferences.
The voluntary petitions were filed in the Northern District of Texas on Nov. 2, the company said in a statement, in which it noted that all 39 corporate-owned restaurants would remain open and continue to serve customers as the brand “explore[s] strategic alternatives” that would allow it to ensure long-term viability.
The remaining 125 or so TGI Fridays restaurants in the United States, which are independently owned and operated by franchisees, are not involved in the bankruptcy process.
The company’s claims agent, Stretto, said that, in addition to TGI Fridays Inc., another 22 affiliated debtors were part of bankruptcy proceedings, with an emergency motion filed on Nov. 2 seeking joint administration and court-ordered relief by Nov. 4.
TGI Fridays Inc. said in a statement that it has secured debtor-in-possession financing to support its ongoing operations as it navigates the Chapter 11 process, allowing it to continue paying staff and suppliers, ensuring day-to-day operations remain unaffected at its corporate-owned locations. […]
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