(NewsNation) — A popular Italian restaurant chain is shuttering several locations after filing for bankruptcy once again.
Bravo Brio Restaurants, the parent of Bravo! Italian Kitchen and Brio Italian Grille, cited financial distress facing the service industry in its filing for Chapter 11 bankruptcy. They also blame COVID-19 for what led to rampant inflation and increased interest rates.
“The Chapter 11 process will allow the Company to quickly and efficiently reorganize its business for a sustainable and successful future, including closing underperforming locations, restructuring debt, and streamlining and reducing operational expenses,” the company said in a news release.
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Leading up to the second bankruptcy filing, Bravo Brio Restaurants had closed seven locations. As a whole, the company has 48 locations operating across the United States under both brands with nearly 4,000 workers.
In the filing, the chain acknowledged that, “Restaurants, particularly legacy casual dining restaurants brands, were disproportionately affected because they operate on thin margins, rely heavily on discretionary consumer spending, and face higher sensitivity to increases in food, labor, and occupancy costs.”
Red Lobster, Tijuana Flats, TGI Fridays and Hooters have also filed for Chapter 11 bankruptcy in recent years.
