Perkins declares bankruptcy
Apparently there isn't an endless appetite for 24-hour pancakes and Bottomless Cups of Coffee TM. Better pie-making processes and other efficiencies failed to offset the effects of reduced numbers of diners and rising ingredient costs, as the Tennessee-based ownership of the Perkins & Marie Callender's restaurants filed for chapter 11 bankruptcy today.
Blaming the tough economy, dozens of Perkins close.
The legal decision was made in order to implement a financial restructuring that includes closing 58 restaurants. While seven Michigan Perkins closed with little notice on Sunday, and have already been wiped off the company's website, Minnesota only lost one location at 6023 Nicollet Avenue in Minneapolis. The other 76 Minnesota Perkins restaurants are expected to remain intact.
The company is required to complete restructuring by October 21, 2011. Upon completion, the business will be majority controlled by private investment funds managed by Wayzata Investment Partners LLC, of Minnesota.