@tgifridays
TGI Fridays Inc. has filed for Chapter 11 chapter, citing the detrimental impacts of COVID-19.
The corporate goals to make use of the chapter submitting to discover long-term choices for sustaining the model. Government Chairman Rohit Manocha stated the transfer, whereas tough, was vital to guard our international stakeholders, franchisees and workers.
Solely the guardian firm, which operates 39 eating places, is affected, whereas franchisees working the remaining eating places are usually not.
Financing is in place so all eating places will stay open in the course of the restructuring. TGI Fridays has suspended lease funds to distributors to purchase time to reorganize and doubtlessly shut or promote unprofitable places.
Based in 1965, TGI Fridays has turn into a go-to for American consolation meals, recognized for its playful decor and bar-centric environment. Whereas whole gross sales will attain $1.6 billion in 2022, inflation and decrease middle-class spending have damage the chain’s U.S. enterprise, with the variety of shops shrinking to 163 this 12 months.
Challenges have additionally emerged within the UK, the place failed takeovers have led to firm closures and layoffs.
