Operator of 1,200 Pizza Hut restaurants and 400 Wendy’s franchises are filing for Chapter 11 bankruptcy
Operator of 1,200 Pizza Hut restaurants and 400 Wendy’s franchise files for Chapter 11 bankruptcy amid a corona virus pandemic, owing nearly $ 1 BILLION
- NPC International has nearly 1,600 franchises, which employ approximately 36,000 people
- The company has been hard hit by the coronavirus pandemic, but also cited rising food and labor costs as problems
- CEC Entertainment, the parent company of Chuck E. Cheese and Peter Piper Pizza, also filed for Chapter 11 last week
- Hertz, JCPenney, J. Crew and Neiman Marcus have also filed for bankruptcy during the coronavirus pandemic
NPC International, the largest franchisee of Pizza Hut and Wendy’s restaurants, has filed for bankruptcy.
The Kansas-based company, which operates 1,200 Pizza Hut restaurants and nearly 400 Wendy’s stores, filed for Chapter 11 on Wednesday with a debt of nearly $ 1 billion.
The franchises employ 36,000 employees in 30 states, but NPC International expects to keep all locations open as it works to reduce debt and negotiate with its landlords.
NPC International, the largest franchisee of Pizza Hut and Wendy’s restaurants, has filed for bankruptcy
There are approximately 7,100 pizza huts in the United States, meaning NPC International operates about 17 percent of all restaurants.
The company operates approximately 6 percent of the 6,500 Wendy’s restaurants that are open across the country.
NPC International says it has been hit hard by the coronavirus pandemic, but also called “rising food and labor costs,” according to CNN Business.
NPC International’s Pizza Hut division CEO Jon Weber released a statement stating that the company will use the Chapter 11 filing to “ evaluate and optimize our restaurant portfolio so that we are best able to meet meet the needs of consumers across the country. ”
NPC International operates less than 10 percent of the 6,500 Wendy’s restaurants open across the country
NPC International is the latest in a series of companies to file for Chapter 11 bankruptcy since the March coronavirus pandemic caused national outages.
Last week, CEC Entertainment, the parent company of Chuck E. Cheese and Peter Piper Pizza, also asked for Chapter 11.
Meanwhile, rental car giant Hertz filed for Chapter 11 last month after it failed to materialize with its major lenders. The Wall Street Journal reported that the company has approximately $ 19 billion in debt.
Clothing brand J. Crew and department stores Neiman Marcus and JCPenney all declared bankruptcy in April.
NPC International says it expects to keep all locations open as it works to reduce debt and negotiate with its landlords