Bankruptcy News

We've summarized the latest docket activity and news for publicly traded companies currently operating under U.S. Bankruptcy Court protection.

Bankruptcy/Chapter 11 / Food, Beverage, & Tobacco

Buffet Partners Chapter 11 Petition Filed

Privately-held Buffet Partners (aka Furr’s) and an affiliated Debtor filed for Chapter 11 protection with the U.S. Bankruptcy Court in the Northern District of Texas, lead case number 14-30699. The Company, which operates a regional restaurant chain, is represented by John E. Mitchell of Baker & McKenzie. The Company states that it implemented this filing “in an effort to restructure its debt load” and that all 29 of its restaurants, located across Arizona, Arkansas, New Mexico, Oklahoma and Texas, will remain open during the proceeding. “With the challenges facing our industry and the liquidity constraints due to our indebtedness and the recent ice storm, we need to explore options to restructure our debt, recapitalize, and position ourselves for future growth,” comments Buffet Partners’ C.E.O., Barry M. Barron, Sr. In documents filed with the Court, Buffet Partners explains, “Furr’s has weathered the macro-economic storm that began in 2008, but the credit constraints resulting from the financial crisis impacted the Company’s ability to finance growth and improvements in process, and subjected the Debtors to higher interest and leasing rates. Further, commodity and transportation prices increased, and the recessionary climate limited the Company’s ability to raise prices to cover increasing costs, and impacted guest counts. Certain locations began to suffer and the Company became increasingly undercapitalized.” Furr’s Restaurant Group emerged from a previous Chapter 11 filing in October 2003.

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