Sizzler, the famous steakhouse started 62 years ago, has filed for Chapter 11 bankruptcy protection, the latest business to suffer as a result of the COVID-19 pandemic.
In a statement, Sizzler said it filed for voluntary Chapter 11 protection in the U.S. Bankruptcy Court for the Northern District in California on Monday.
The restaurant chain will start a restructuring process to reduce debt and renegotiate its leases with landlords.
“Our current financial state is a direct consequence of the pandemic’s economic impact due to long-term indoor dining closures and landlords’ refusal to provide necessary rent abatements,” said Chris Perkins, president and chief services officer for Sizzler, in a statement.
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The chain operates 107 locations across 10 states, including Puerto Rico, and has 485 employees.
Sizzler is the latest business derailed by the coronavirus pandemic. Several companies filed for bankruptcies as the pandemic accelerated longstanding business issues. Among the companies that filed for bankruptcy this year: J.C. Penney, Brooks Brothers, Neiman Marcus, Tuesday Morning, Tailored Brands, GNC, Lord + Taylor and J. Crew.
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