WASHINGTON (dpa-AFX) - Hooters has abruptly closed more than 30 company-owned locations across the U.S., just months after filing for bankruptcy and reassuring customers it wasn't going anywhere.
The closures, described as a 'difficult decision,' are part of the brand's strategic move to streamline operations and transition fully to a franchise-based model.
While the company did not release a full list, reports confirm that locations in Florida, Georgia, Michigan, North Carolina, South Carolina, Tennessee, and Texas were among those shuttered. Specific closures include restaurants in downtown Atlanta, Charlotte, Nashville, and multiple Florida cities.
The 42-year-old chain, known for its signature orange-uniformed wait staff, filed for bankruptcy in March and is selling its 100 company owned locations to franchise groups based in Tampa and Chicago. The company emphasized its commitment to continuing operations through its remaining 154 franchised restaurants.
Hooters cited inflation and declining consumer spending as factors behind the closures, which reflect broader challenges facing sit-down chains like TGI Fridays and Bahama Breeze. Analysts suggest that eliminating underperforming locations can strengthen a brand's overall performance by focusing resources more effectively.
Despite the downsizing, Hooters insists it remains 'here to stay,' aiming to preserve its legacy with a leaner structure and renewed focus on franchise growth.
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