Logan’s Roadhouse Expects a Turnaround as It Leaves Bankruptcy

by San Antonio Attorney

Logan’s Roadhouse’s parent company revealed that it has exited from bankruptcy and started a turnaround attempt that includes a modified menu and an all-new marketing plan.

The restaurant chain has two locations in Dayton, although it closed its Beavercreek location last September.

Logan’s restructuring director Nishant Machado said that they were very happy of the company’s accomplishments in just three months with the debt restructuring and changes in the operations.

Logan’s turnaround plan includes:

• a serious marketing effort emphasizing all-time favorites like ribs, steaks and yeast rolls and the value Logan’s gives to its diners;

• a new menu that includes the restaurants’ most favorite items, and a concentration on reorganization operations to enhance quality;

• improved training programs that highlights on hospitality and quality.

Logan’s Roadhouse Inc.  filed for Chapter 11 bankruptcy in August.  It has already accomplished the following as part of its bankruptcy plan:

• reduced its debt from $400 million to about $100 million, while substantially minimizing its interest expenditures; closed 34 “underperforming” locations, and retain restaurants that are doing well; and renegotiated contracts and leases that would save the company more than $4 million in a year.

At present, Logan’s has 195 company-owned and 26 franchised locations in 20 states.

When its restaurant at 2819 Centre Drive near Wright State University was closed on Sept.  27, the management told employees that costly rental and the impending renegotiation of a lease was one of the reasons the locations had to close.

However, a spokesman for the chain promised the Washington Twp.  and Troy locations are not going to close.

Chapter 11 provides for a restructuring under the supervision of a court and, importantly, protection from creditors, who are prohibited from trying to recover their money until the debtor has completed the restructuring.  If you need debt relief, a San Antonio Bankruptcy attorney can help you get the fresh start you need.

 

Leave a Comment

Previous post:

Next post: