Restaurant chains Bennigan's and Steak & Ale
have filed for Chapter 7 bankruptcy protection and stores owned by
its parent company will shut their doors.
The companies owned by privately held Metromedia Restaurant
Group of Plano, Texas, today filed for bankruptcy protection.
In a Chapter 7 bankruptcy filing, a company seeks to liquidate
its assets and shut down.
Locations owned by franchisees were not part of the bankruptcy
filing and will not be shut down, according to the president of the
Bennigan's Franchise Operator Association. He said there are about
160 domestic and international franchise locations and about 150
company-owned Bennigan's restaurants.
Neither Bennigan's nor the Metromedia Restaurant Group returned
calls for comment.