Hooters bankruptcy: US restaurant firm faces administration - are Newcastle, Nottingham and Liverpool closing?
The controversial chain has filed for bankruptcy as it faces financial struggles
An iconic American restaurant chain, famed for its revealing staff uniforms and with locations in the UK, has filed for bankruptcy. Hooters has become a US icon, known for its blend of casual dining, sports bar atmosphere, and attention-grabbing staff uniforms. Since its founding in Clearwater, Florida in 1983, the chain has built a distinctive identity that has made it a notable part of American pop culture. It is now based in Atlanta, Georgia. It offers hearty food, particularly wings, in a fun, laid-back environment centred around sports and entertainment, which has helped it become a favourite destination. Its busty appeal sees tourists from across the world flock to its restaurants, eager to sink their teeth into a uniquely American dining experience. But parent company Hooters of America (HOA) submitted a Chapter 11 filing on Monday (March 31) in the North Texas Bankruptcy Court in Dallas, as it seeks additional support for its assets. The company aims to negotiate a deal to sell its company-owned restaurants to a group that includes its original founders. HOA operates 151 restaurants directly, with an additional 154 locations, primarily in the US, run by franchisees. It is facing financial difficulties due to mounting debts and sagging sales. But it has assured investors that it intends to remain open and resolve its issues within the next few months. The company also said that a group, including its original founders, which owns nearly a third of Hooters' US locations, plans to purchase and operate additional outlets. “Our renowned Hooters restaurants are here to stay and we are taking action to strengthen our business to better serve our valued customers over the long term,” Hooters said in a notice on its website. A personalised morning news round-up with NationalWorld Today - sign up here. The UK currently has a pair of Hooters — one in Nottingham and another in Liverpool. The bankruptcy process will not affect these locations, which will continue to operate as usual. The Nottingham franchise, owned by Julian Mills and Johnny Goard, has been in operation since 1998. In February, the pair announced plans to open another Hooters restaurant in Newcastle, despite opposition from local councillors and women’s charities. Hooters’ Liverpool location opened in 2022 despite criticism from then-mayor Joanne Anderson, who argued that it would foster a “misogynistic environment.” The franchise behind the Liverpool restaurant went into liquidation in December last year and has since been acquired by a new franchisee. What do you think about Hooters’ financial troubles and the future of its iconic brand? Will it bounce back, or is this the end of an era? Share your thoughts in the comments section.
