Bar Louie files for bankruptcy, closing dozens of restaurants throughout the country

Bar Louie, a restaurant chain located in 26 states across the country, has filed for bankruptcy and has closed dozens of its locations, according to media reports.

The Addison, Texas-based gastropub has 96 locations but recently closed 38 of its underperforming restaurants to “strengthen its operational and financial position,” CNN reported.

The restaurant expects to emerge from bankruptcy within 90 days, Bar Louie’s CEO said in a press release.

“Bar Louie is a profitable business focused on long-term growth with new investors. The sale through Chapter 11 will help us to focus on our profitable core locations and expand in areas that have a proven track record of success,” said Tom Fricke, CEO of Bar Louie. “Most importantly, it ensures that we can continue to provide superior service to our guests, implement an exciting range of new customer-facing initiatives, expand our marketing influence, and continue to offer the 5-star experience we are known for.”

Bar Louie locations have closed in Ohio, Colorado, Michigan, Wisconsin and Alabama, Missouri and Connecticut, according to various media accounts.

The restaurant owes about $110 million to its creditors, according to RestaurantBusinessOnline.com.

“The inconsistent brand experience coupled with increased competition and the general decline in customer traffic visiting traditional shopping locations and malls, resulted in less traffic” at stores located near the retail complexes,” the bankruptcy filing states, according to Restaurant Business.

Its suppliers and employees will continue to be paid through the bankruptcy, CNN reported.

Bar Louie began in Chicago in 1990.

This story was originally published January 27, 2020 at 12:02 PM with the headline "Bar Louie files for bankruptcy, closing dozens of restaurants throughout the country."