By james art 
The parent company of TGI Fridays, the casual dining chain, has filed for bankruptcy, the company said, as it explores a long-term survival plan for the beleaguered business.
The company said the COVID-19 pandemic was “the primary driver of our financial challenges” and that the Chapter 11 bankruptcy process would allow it to “explore strategic alternatives.”
“The next steps announced today are difficult but necessary actions to protect the best interests of our stakeholders, including our domestic and international franchisees and our valued team members around the world,” said Rohit Manocha, Executive Chairman of TGI Fridays Inc. statement on Saturday.
The pandemic has forced private dining establishments to close or change their business models, and many have struggled to recover. Meanwhile, fresher, faster and cheaper options, like Shake Shack, have popped up for lunch at chain restaurants.
TGI Fridays joins several big-name chains filing for bankruptcy this year, including Red Lobster, Big Lots, Tupperware, Express and Joann’s.
There are 163 TGI Fridays in the U.S., down from 237 restaurants in January after the chain announced the closing of 36 locations this month. Since then, the company has quietly shut down dozens more.
The bankruptcy affects TGI Fridays’ parent company, which operates 39 restaurants, not its other locations, which are operated by franchisees. The company has secured financing to keep all of its locations open and operating as usual during the bankruptcy process.
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