California Pizza Kitchen Filing For Bankruptcy
PLAYA DEL REY, CA — California Pizza Kitchen announced Thursday that the company is filing for bankruptcy, one of the most recent businesses hit hard by the coronavirus pandemic.
The company is filing for voluntary Chapter 11 protection in the U.S. Bankruptcy Court for the Southern District of Texas, CEO Jim Hyatt said in a news release.
"The restructuring agreement includes a commitment for $46.8 million in new financing which will enable ongoing operation of CPK restaurants," Hyatt said. "This proactive filing will allow us the ability to reduce our long term debt load and emerge as a much stronger company."
The company plans to keep locations open and operating, although it has struggled to pay rent at some locations.
"CPK is open for business - take out, delivery, third party and select dining room and patio locations - and we will continue to operate in ordinary course throughout the restructuring process," Hyatt said.
Gift cards and CPK Rewards points are still valid, he added.
Before filing bankruptcy CPK had closed some restaurant locations in the U.S. following the impact of the COVID-19 pandemic and "lease related challenges with our landlords," Hyatt said.
"We do not have plans to close any additional restaurants at this time," Hyatt said. "We appreciate your support and look forward to delivering the same innovative, California-inspired cuisine we’ve been serving for over 35 years at a restaurant near you."
Patch reached out to the company for additional information.
CPK headquarters are located in Playa Vista. Its first restaurant opened in Beverly Hills in 1985.
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This article originally appeared on the Marina Del Rey Patch
