Latest news with #Bertucci's
Miami Herald
03-07-2025
- Business
- Miami Herald
Popular pizza chain franchisees close locations, no bankruptcy
The pizza restaurant sector has battled rising operating costs since before the Covid-19 pandemic, which forced some businesses to reorganize and restructure debt. Increased food and labor costs driven by rising inflation took their toll on the pizza dining industry. The average cost of food increased by 29%, and labor costs rose by 31% from 2019 to 2024, according to the National Restaurant Association. Don't miss the move: Subscribe to TheStreet's free daily newsletter Menu prices also increased, as average prices rose by 27.2% from February 2020 to June 2024. Related: Popular restaurant chain franchisee files Chapter 11 bankruptcy Add fierce competition to the equation, and the economic challenges can force restaurants to restructure their businesses out of court, reorganize in a Chapter 11 bankruptcy, sell assets, and sometimes permanently shut down. In some cases, pizza chains or their franchisees will file for Chapter 11 bankruptcy to reorganize and continue as a going concern. East Coast pizza chain Bertucci's Restaurants has used the bankruptcy court successfully to reorganize and remain in business, as it filed for Chapter 11 protection three times in seven years. Bertucci's filed for Chapter 11 bankruptcy the first time in April 2018 to sell its assets, and it operated 31 restaurants when it filed for bankruptcy protection in December 2022. Bertucci's filed for bankruptcy a third time on April 24, 2025, and had 15 remaining restaurants in its chain when it filed. Franchisees of major pizza chains also filed for bankruptcy protection to sell or close locations. Huge Pizza Hut operator EYM Pizza L.P. filed for Chapter 11 bankruptcy protection in July 2024 and sold 77 of its restaurants at a bankruptcy auction. Legendary Buddy's Pizza, which claims to have invented the iconic square-shaped Detroit-style pizza, closed its Portage, Mich., location, suffering lingering effects from the Covid pandemic, supply chain disruptions, staffing shortages, and rising costs of inflation. The company did not file for bankruptcy. Buddy's Pizza currently operates 15 full-service pizza restaurants throughout Michigan, and another five carry-out only locations. Finally, CiCi's Pizza chain franchisees in Alabama and Florida have closed several restaurant locations, but also have not filed for bankruptcy protection. Related: Popular restaurant chain files bankruptcy, closes locations The pizza chain's Alabama franchisee Buckshot Enterprises LLC recently closed three locations in Florence, Northport, and Huntsville, Ala., Tuscaloosa Thread reported. The three locations were reportedly closed, according to social media posts and signs on the businesses' doors. More bankruptcy: Iconic auto repair chain franchise files Chapter 11 bankruptcyPopular beer brand closes down and files Chapter 7 bankruptcyPopular vodka and gin brand files for Chapter 11 bankruptcy The Florence location reportedly closed permanently in mid-June, the Northport restaurant's last day of operation was on June 29, and the Huntsville location has not been confirmed as closed, but the business's phone was not operating during normal store hours. Calls to all three Alabama locations were not answered. Another longtime CiCi's location in Uptown Center in North Naples. Fla., closed on June 9 after operating for almost 20 years, Gulfshore Business reported. The local franchisee reportedly decided not to renew his franchise agreement with the national restaurant chain, since he didn't want to commit to another 10 years. If the franchisee renewed his agreement, he would have to bring his 20-year-old store up to the company's latest specifications, which would be costly. Franchisee Philip Santucci was unsuccessful in trying to find someone to take over the franchise. He said a transaction was a hard sell, since the business and all its equipment are 20 years old, and it would be expensive to remodel the restaurant and buy new equipment. Santucci was the original general manager when the restaurant opened in 2004, and he bought the franchise five years ago in 2019 before the Covid-19 pandemic. The restaurant recovered from the pandemic in about two years. The restaurant owner, however, said it was time for him personally to move on. CiCi's Pizza, founded in 1985, has about 270 locations in 22 states, according to its website. Related: Iconic San Francisco restaurant closes permanently after 40 years The Arena Media Brands, LLC THESTREET is a registered trademark of TheStreet, Inc.
Yahoo
06-05-2025
- Business
- Yahoo
After another Bertucci's bankruptcy, these are the last 15 locations open
Italian restaurant chain Bertucci's filed for Chapter 11 bankruptcy protection in late April for the third time since 2018. The Massachusetts-based business, which has locations along the East Coast and is best known for its brick oven pizza and pasta, has closed seven underperforming locations – five in Massachusetts, one in Rhode Island and one in Maryland. Italian Restaurant Chain Files For Bankruptcy Again, Closes Locations The chain was founded in 1981 by Joseph Crugnale, an Italian immigrant. By 1989, USA Today ranked it one of America's top 10 pizza restaurants. Expansion soon followed, and by the end of the 2000s, it had approximately 100 locations. The restaurant chain hopes bankruptcy will provide the business with a "breathing spell" so it can "determine the best path forward and formulate an overall reorganizational plan," it said in the filing. In its filing, the company said, "With losses accumulating, inflationary pressures still high, and industry headwinds gusting, the proverbial final straw fell on [Bertucci's] this year as the world saw food costs soar, consumer spending slow, and an uncertain global economy falling in (and out) of decline." Read On The Fox Business App In April 2018, Bertucci's filed for Chapter 11 bankruptcy protection and closed 15 restaurants. In December 2022, amid challenges caused by the COVID-19 pandemic like the closure of restaurants and high inflation, it declared bankruptcy for a second time and streamlined operations to 23 locations, according to the filing. Fast-food Chain Closing Up To 200 'Underperforming' Locations As financial pressures continue to mount, the restaurant is left with a total of 15 locations. Here is where they are located: Boston (Bertucci's Pronto – fast-casual format) Chelmsford Chestnut Hill (West Roxbury) Framingham Hingham Medford Newton Reading Waltham Westborough Columbia Glastonbury Christiana Springfield Square Springfield Click Here To Get Fox Business On The Go Original article source: After another Bertucci's bankruptcy, these are the last 15 locations open
Yahoo
02-05-2025
- Business
- Yahoo
Italian restaurant chain files for bankruptcy again, closes locations
Italian restaurant chain Bertucci's is closing more locations after filing for bankruptcy again to mitigate losses. The Massachusetts-based business, which has locations along the East Coast and is best known for its brick oven pizza and pasta, filed for Chapter 11 bankruptcy protection in Florida last week. It marked the chain's third bankruptcy since 2018. Bertucci's also closed seven of its underperforming locations – five in Massachusetts, one in Rhode Island and one in Maryland. It now operates 15 restaurant locations in six states, according to court documents. Restaurant Chain Bertucci's Files For Bankruptcy Protection The company cited the "deterioration" of the U.S. economy and "lack of consumer demand for legacy casual-dining brands" as reasons why the restaurant chain has been operating at a loss, according to the filing. Fast-food Chain Closing Up To 200 'Underperforming' Locations Read On The Fox Business App "With losses accumulating, inflationary pressures still high, and industry headwinds gusting, the proverbial final straw fell on [Bertucci's] this year as the world saw food costs soar, consumer spending slow, and an uncertain global economy falling in (and out) of decline," as stated in the bankruptcy documents. Bertucci's has assets and liabilities between $10 million and $50 million, according to the filing. Tgi Fridays' Us Footprint Has Shrunk To 85 Restaurants Across The Country The restaurant chain hopes bankruptcy will provide the business with a "breathing spell" so it can "determine the best path forward and formulate an overall reorganizational plan," it said in the filing. In April 2018, Bertucci's filed for Chapter 11 bankruptcy protection and closed 15 restaurants. In December 2022, amid challenges caused by the COVID-19 pandemic like the closure of restaurants and inflation, it declared bankruptcy for a second time and streamlined operations down to 23 locations, according to the filing. Bertucci's did not respond to FOX Business' request for article source: Italian restaurant chain files for bankruptcy again, closes locations
Yahoo
02-05-2025
- Business
- Yahoo
Italian restaurant chain files for bankruptcy again, closes locations
Italian restaurant chain Bertucci's is closing more locations after filing for bankruptcy again to mitigate losses. The Massachusetts-based business, which has locations along the East Coast and is best known for its brick oven pizza and pasta, filed for Chapter 11 bankruptcy protection in Florida last week. It marked the chain's third bankruptcy since 2018. Bertucci's also closed seven of its underperforming locations – five in Massachusetts, one in Rhode Island and one in Maryland. It now operates 15 restaurant locations in six states, according to court documents. Restaurant Chain Bertucci's Files For Bankruptcy Protection The company cited the "deterioration" of the U.S. economy and "lack of consumer demand for legacy casual-dining brands" as reasons why the restaurant chain has been operating at a loss, according to the filing. Fast-food Chain Closing Up To 200 'Underperforming' Locations Read On The Fox Business App "With losses accumulating, inflationary pressures still high, and industry headwinds gusting, the proverbial final straw fell on [Bertucci's] this year as the world saw food costs soar, consumer spending slow, and an uncertain global economy falling in (and out) of decline," as stated in the bankruptcy documents. Bertucci's has assets and liabilities between $10 million and $50 million, according to the filing. Tgi Fridays' Us Footprint Has Shrunk To 85 Restaurants Across The Country The restaurant chain hopes bankruptcy will provide the business with a "breathing spell" so it can "determine the best path forward and formulate an overall reorganizational plan," it said in the filing. In April 2018, Bertucci's filed for Chapter 11 bankruptcy protection and closed 15 restaurants. In December 2022, amid challenges caused by the COVID-19 pandemic like the closure of restaurants and inflation, it declared bankruptcy for a second time and streamlined operations down to 23 locations, according to the filing. Bertucci's did not respond to FOX Business' request for article source: Italian restaurant chain files for bankruptcy again, closes locations Sign in to access your portfolio
Daily Mail
30-04-2025
- Business
- Daily Mail
Beloved Italian restaurant chain abruptly shuts 30% of locations
A family-favorite restaurant has closed a group of stores after filing its third bankruptcy in five years. Bertucci's, the Massachusetts-based Italian restaurant chain known for its brick oven pizzas and family-friendly atmosphere, has closed nearly a third of its stores across the state. The company recently shut down four locations — in Braintree, Mansfield, North Andover, and Norwood — according to updates on its website, dwindling its state-wide headcount from 14 to 10. It just won the People's Choice Award at the 2024 Boston Pizza Festival. But several restaurants encountered financial stress after the company took home the prize. 'Thank you for your loyalty and support all these years,' a notice hanging outside of the restaurant's former Braintree location says, and pointed diners toward still-operating locations in Hingham and West Roxbury. The closures mark another chapter in a turbulent stretch for Bertucci's, which has now filed for bankruptcy three times in just five years. Bertucci's first entered bankruptcy in 2018, slashing its footprint in half from 56 restaurants down to 28. A second filing came in 2022, after pandemic supply chain disruptions squeezed operations. This year, Bertucci's filed for bankruptcy a third time. Just fifteen locations remain, with a smattering of restaurants in Connecticut, New Jersey, Pennsylvania, Maryland, and Virginia. This isn't the end for the chain. It opened a fast-casual offshoot of the famous pizza shop called Bertucci's Pronto in Boston earlier this month. 'The Bertucci's you know and love is here to stay as well, just with a few less locations for now,' the company said. In its bankruptcy filing, the company pinned the health of its business on the success of the new platform. It also said remaining stores remain profitable. But for the closing locations, the restaurant chain cited rising costs, lower consumer confidence, and a tougher economy for its latest collapse. 'On April 24, 2025, Bertucci's filed bankruptcy with the goal of promptly reorganizing its business for a sustainable and successful future,' the company wrote in the filing. 'Consistent with numerous other recent restaurant brand bankruptcies, consumer demand has shifted away from legacy casual-dining brands.' Bertucci's bankruptcy tracks closely with a broader shakeout in the sector. Multiple casual dining brands — including Red Lobster, Hooters , TGI Fridays , On The Border , and Roti — have all filed for bankruptcy in the past year. Meanwhile, other restaurant staples, like Denny's, Applebee's, Outback Steakhouse, and Cracker Barrel have all reported shrinking sales estimates at the start of 2025. Chains are facing two main issues: their costs to operate keep increasing, while inflation-stressed middle-income consumers are cutting back on restaurant spending. To confront the financial strain, multiple chains have rolled out fast-casual spinoffs of their menus. Golden Corral and Perkins both launched scaled back versions of their restaurants to entice value-seeking diners. The initial response to the fast-casual rollouts has been mixed. Bloomin' Brands, the parent company of Outback Steakhouse, has already scaled down its remodeling efforts .
