Wednesday, January 18, 2012

Old Country Buffet owner in bankruptcy; 81 stores to close

Buffets Inc., the Eagan-based parent company of almost 500 restaurants nationwide, filed for Chapter 11 bankruptcy reorganization today.

The filing is a pre-negotiated restructuring plan that Buffets reached with lenders who hold 83 percent of the company's senior debt, the company said in a news release.

The plan includes closing 81 underperforming restaurants, which haven't been identified yet.

"We will recapitalize our balance sheet, eliminate a burdensome debt load and increase our cash flow," said Mike Andrews, Buffets' CEO.

Read the rest of the article at Twin Cities Pioneer Press

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