Overview

• Hooters of America has filed for Chapter 11 bankruptcy to restructure $376 million in debt and transition to a fully franchisee-owned model.
• The company will sell its 151 company-owned restaurants to two franchisee groups, one of which is backed by the chain's original founders.
• Hooters plans to maintain operations during the bankruptcy process, with no immediate changes to its menu or customer offerings.
• The restructuring process is expected to be completed within 90-120 days, leaving all U.S. locations under franchise ownership.
• International franchise operations, which are not affected by the bankruptcy, will continue to operate as usual in 29 countries.