The Italian restaurant chain Buca di Beppo filed for bankruptcy protection after customer visits to the family-style dining establishment declined in recent years.
Buca di Beppo, which experienced "limited customer demand" during the pandemic, never fully recovered to the same level of revenue and sales after lockdown restrictions were lifted, the restaurant chain said Monday in bankruptcy court documents. The privately owned restaurant's revenue for the first five months of 2024 fell 10% to $74.8 million compared with a year earlier, court documents show.
Buca di Beppo is entering Chapter 11 bankruptcy saddled with more than $10 million in debt. About $1.36 million of that debt is for gift cards that customers have not yet redeemed, the restaurant said.
U.S. restaurants are struggling to maintain their sales as inflation-weary customers pull back on spending at fast food chains and sit-down establishments alike. At the same time, restaurants are facing higher food prices and labor costs, adding to their financial pressures.
Buca joins Red Lobster, Sticky's Finger Joint and Tijuana Flats on the list of casual restaurants that have filed for bankruptcy protection this year.
"While the restaurant industry has faced significant challenges, this move is the best next step for our brand," Buca president Rich Saultz said in a statement. "By restructuring with the continued support of our lenders, we are paving the way toward a reinvigorated future."
As part of its bankruptcy process, Buca said it began closing underperforming locations this year, including shuttering a dozen last month. Below are its 18 closed locations:
- 7111 West Ray Road in Chandler, Arizona
- 1249 Howe Ave. in Sacramento, California
- 615 Flatiron Marketplace Drive in Broomfield, Colorado
- 1351 South Orlando Avenue in Maitland, Florida
- 1030 Auahi Street in Honolulu, Hawaii
- 6045 East 86th Street in Indianapolis, Indiana
- 112 Kentlands Blvd in Gaithersburg, Maryland
- 38888 Six Mile Road in Livonia, Michigan
- 12575 Hall Road in Utica, Michigan
- 44 Wolf Road in Atlantic City, New Jersey
- 1900 Pacific Avenue in Colonie, New York
- 10915 Carolina Place Parkway in Pineville, North Carolina
- 60 East Wilson Bridge in Worthington, Ohio
- 3 East Station Square Drive in Pittsburgh, Pennsylvania
- 6600 Robinson Centre Drive in Pittsburgh, Pennsylvania
- 2745 Paper Mill Road in Wyomissing, Pennsylvania
- 202 West 200 South in Salt Lake City, Utah
- 935 East Fort Union Blvd in Midvale, Utah
The restaurant is keeping open 44 locations and is working on opening one new restaurant, according to a Monday statement from the restaurant. Buca, which first opened in Minnesota in 1993, employs 3,340 workers, of which 266 are full-time.
Disclaimer: The copyright of this article belongs to the original author. Reposting this article is solely for the purpose of information dissemination and does not constitute any investment advice. If there is any infringement, please contact us immediately. We will make corrections or deletions as necessary. Thank you.
