Ruby Tuesday files for bankruptcy and shuts 185 restaurants

2020 has been a very difficult year for many sectors of the economy and sit-down restaurants have been one of them. Like many other food chains, Ruby Tuesday is closing stores.

Casual dining chain Ruby Tuesday has filed for Chapter 11 bankruptcy protection and announced that 185 of its 421 restaurants will stay closed for good.

CNN also reported the company had financial problems even before the pandemic hit, and the chain had already quietly shuttered 150 restaurants during the first half of the year.

“This announcement does not mean ‘Goodbye, Ruby Tuesday,'" Lederman said in a statement. "Today’s actions will allow us an opportunity to reposition the company for long-term stability as we recover from the unprecedented impact of COVID-19," CEO Shawn Lederman said in a statement earlier this week.

The closing of the 185 announced restaurants leaves the chain with 236 company-owned and operated locations, as well as an undisclosed number of locations run by 10 franchisee groups.

"We do not anticipate any additional restaurant closures at this time," Ruby Tuesday chief marketing officer Jenifer Boyd Harmon said in an emailed statement. "We remain committed to providing our guests with safe, quality experiences at all our current locations."

Ruby Tuesday,  founded in 1972 in Knoxville, Tennessee,  joins a list of restaurants and chains that have closed locations over the past several months, including Burger King, Smashburger, Dunkin’ Donuts, Zinburger, and Cheeseburger in Paradise.
 

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