The Restaurant Group (TRG), behind Chiquito and Wagamama has confirmed that 125 Frankie & Benny’s restaurants will close and 3,000 jobs will be lost.
This is a part of the company voluntary arrangement which the company has entered, allowing it to restructure its business by closing its unprofitable restaurants.
As well as closing some eateries, the company said it will attempt to renegotiate rents and terms on a further 85 sites.
Originally the plan was to close up to 90 stores by 2021, but amid the economic situation, the plans have been accelerated.
Andy Hornby, CEO of TRG believes this move will position the company better amongst the casual dining sector and its challenging market conditions.
‘’The issues facing our sector are well documented and we have already taken decisive action to improve our liquidity, reduce our cost base and downsize our operations.’’
‘I would like to wholeheartedly thank all of my TRG colleagues for their continued understanding and extraordinary commitment during this unprecedented period.’’
The company says it will look at options to covert its restaurants to those under the Wagamama brand where appropriate, since it is driving group sales. However, other brands, Chiquito and Garfunkel’s are at risk of also being impacted.