It’s hardly a secret that many casual dining chains are currently struggling amid rising costs. And the latest casualty is apparently Hooters, the chain restaurant known for its beer, wings, and attractive women in tightly-fitting, cleavage-baring tops.
Citing sources with knowledge of the financial arrangements, Bloomberg reports that the Atlanta-based Hooters of America is planning to file for bankruptcy in the coming months. The company is currently said to be working with creditors to come up with a plan to restructure the business, and has the law firm Ropes & Gray preparing a filing. Though, nothing has been finalized yet.
The news comes amid Hooters quietly closing dozens of “underperforming” locations last year. It’s unclear how many Hooters restaurants are operating today, but as of June 2024 it was estimated to be around 250. That’s down from 293 locations the company’s portfolio claimed at the end of 2023, compared to 333 locations at the end of 2018. The trend is indeed sloping downward.