Local Friendly's to Stay
Burke restaurant spared in Chapter 11 restructuring.
The Friendly's restaurant in Burke was spared, as the company moved to close 63 of its restaurants last week. The Massachusetts based food chain filed for Chapter 11 bankruptcy, sighting reduced business and rising commodity costs.
Even if more restaurants are closed in restructuring, the future for Burke's restaurant looks good. "The Washington market should be immune," said Friendly's Restaurant spokesman Rich Tauberman to the Washington Post. Tauberman said the locations in the D.C. and Baltimore do well for the company.
Chairman and chief executive Harsha Agadi said, “The strategic decision to pursue a financial restructuring will allow us to proactively and quickly improve our financial position."
The parent company, Sun Capital Partners Inc., acquired the chain in 2007. It had consisted of more than 500 locations.
Two young brothers founded Friendly's in 1935. It began as an ice cream shop in Springfield, Mass. Prior to filing for bankruptcy, the restaurant employed some 10,000 people in its East Coast stores.