MISSION VIEJO, CA — Mission Viejo-based Sizzler USA has declared bankruptcy, a spokesperson for the chain restaurant reports.
According to Sizzler President Chris Perkins, the pandemic is squarely to blame for the company's "current financial state." It does aim to keep the doors open throughout the bankruptcy procedures, RestaurantBusinessOnline.com reports. The filing will not impact franchisees, it says.
"Many restaurant brands across the country have suffered because of COVID-19, and Sizzler USA is no exception," Perkins said in a statement. "Our current financial state is a direct consequence of the pandemic's economic impact due to long-term indoor dining closures and landlords' refusal to provide necessary rent abatements."
The company hopes to complete Chapter 11 within 120 days, it says.
"Today's filing represents a new chapter for Sizzler, and it's an option we've undertaken based on the underlying strength of our 62-year-old legacy brand," Perkins wrote.
Sizzler was founded in 1958 by Del and Helen Johnson, serving affordable steaks and buffet.