Buca di Beppo announced Monday that it filed for bankruptcy to optimize operations and improve its dining experience.
The Italian concept has 44 locations and is in the process of opening one more. It also has two international restaurants. In court documents, the chain said it’s been impacted by “a significant drop in sales, rising food and labor costs, continued staffing
challenges, and changes in consumer preferences.”
The company’s goal is to ensure all stores operate as usual and that gift cards and promotions remain active and redeemable.
“This is a strategic step towards a strong future for Buca di Beppo. While the restaurant industry has faced significant challenges, this move is the best next step for our brand. By restructuring with the continued support of our lenders, we are paving the way toward a reinvigorated future,” president Rich Saultz said in a statement. “Buca di Beppo has been a beloved gathering place for celebrations and memorable meals for many years, and we are enthusiastic about entering this next phase of our brand’s story.”
The move comes a week after about a dozen stores closed across the country, which was about 23 percent of the chain’s total footprint.
The brand was founded in 1993 in Minneapolis. It was acquired by Earl Enterprises in 2008. Buca di Beppo is known for its family-style servings, with a focus on creating a communal dining experience reminiscent of 1950s Little Italy
“We believe this path will best allow us to continue to serve Buca’s patrons and communities for many years to come. We are open for business in 44 locations, and we expect day-to-day operations to continue uninterrupted,” chief restructuring officer William Snyder said in a statement. “We anticipate moving through this process as quickly and efficiently as possible to emerge as a stronger organization built for the future.”
Buca di Beppo joins a list of full-service chains declaring bankruptcy this year, including Red Lobster, World of Beer, and an Alamo Drafthouse franchisee.
