Casual dining chain Ruby Tuesday BB #:172019 filed for Chapter 11 bankruptcy today and plans to close nearly half of their restaurant operations.
CEO Shawn Lederman said in the court filing that it plans to close 185 restaurants, which would leave 236 continuing to operate.
In a statement, Lederman said, “This announcement does not mean ‘Goodbye, Ruby Tuesday’ but ‘Hello, to a stronger Ruby Tuesday’. We very much appreciate your continued support and love for Ruby Tuesday since 1972.”
He said that prior to its filing, Ruby Tuesday “reached an understanding with its secured lenders to support its restructuring through financing and an agreement regarding the terms of a plan that will provide a sustainable path forward.”
Ruby Tuesday becomes the latest restaurant chain to make financial changes due to the effects of COVID-19. It is known for casual dining, its handcrafted burgers and Endless Garden Bar.
Ruby Tuesday is based in Maryville, TN, and is a wholly owned subsidiary of NRD Capital Management, LLC., Atlanta.