A Burger King franchise, mainly in the mid-west, is closing its doors and has filed for bankruptcy because of ‘unforeseen business circumstances.’
Bye-Bye Burger King – Sadly, Hello Bankruptcy
A Burger King franchise is closing 27 restaurants across seven states, and nine of those restaurants are in Utah, according to court documents.
The restaurants are set to close in Utah, Montana, Wyoming, Minnesota, Kansas, Nebraska, and North Dakota.
The company initially sought court approval to close 23 restaurants on March 29 but last week added four more to the list. The closures represent one out of five of Meridian’s locations.
The company cited “unforeseen business circumstances and not being able to reach a resolution with Burger King Corporation” as its reason for ceasing all operations in Michigan, the March 22 letter said.
Sales volumes were below average for Burger King franchises, which reportedly bring in around $1.4 million per year.
According to a report from The Wall Street Journal last fall, Burger King’s parent company, Toronto-based Restaurant Brands, has installed new executive leadership and earmarked $400 million to boost advertising and revamp everything from restaurant design to the way Burger King’s flagship burgers are constructed.
Here’s Where They Are Closing
According to Business Insider, here’s where the Burger Kings will be closing:
Minnesota
- 209 Nokomis Street, Alexandria
- 926 Central Avenue Northeast, East Grand Forks
- 528 Western Ave, Fergus Falls
- 21 Depot Street, Litchfield
- 205 Lake Street, Long Prairie
- 586 Southwest 1st Street, Montevideo
- 516 East Bridge Street, Redwood Falls
- 100 21st Street North, Moorhead
- 1611 US-12, Willmar
Montana
- 1422 West Main Street, Lewistown
- 520 North 27th St, Billings
- 1211 9th Street West, Columbia Falls
Kansas
- 2201 East Kansas Ave, McPherson
Nebraska
- 3627 South Lincoln Avenue, York
- 2504 O St, Lincoln
- 4230 North 27th Street, Lincoln
North Dakota
- 3765 Gateway Drive, Grand Forks
Utah
- 171 East Gateway Dr, Heber
- 7810 South 1300 E, Sandy
- 10235 South State Street, Sandy
- 729 North Main St, Clearfield
- 1466 East 3500 North, Lehi
- 119 East Crossroads Blvd, Saratoga Springs
- 147 East Bangerter Highway, Draper
- 5390 South 1900 West, Roy
- 1660 West North Temple St, Salt Lake City
Wyoming
- 1902 Mountain View Drive, Cody
The Burger King Woes
According to Restaurant Business Magazine, Meridian is also leaving open the possibility of more closures ahead, saying “it is possible, if not likely,” that further analysis suggests more closures are “appropriate.” But the company in a filing said that it doesn’t anticipate closing “all or even a substantial portion of their restaurants.”
In a filing in U.S. Bankruptcy Court for the District of Utah dated April 4, Meridian noted that “over the past several years, and particularly as a result of the COVID-19 pandemic, franchisees systemwide have experienced declining foot traffic.”
Meridian said while its businesses “suffered significantly from loss of foot traffic resulting in declining revenue,” costs like rent, debt service and other financial obligations did not see commensurate declines.
Meridian also cited the impacts of external pressures on its fiscal health, including recent increases in wages (33% the past few years) and the cost of labor, shipping and food inflation (22% the past two years), according to the court filing.
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Updated 4/20/23 8:12am
go Brandon is the cause of 90% of this having police go out to eating places and close them down while he let the markets stay open ? does that make sense? he has wasted away America and the worst is yet to come he gives billions to u crane while big shots leave u crane with suit cases full of green back dollars are gas at $5.00 a gal. and he sales our gas reserves to china the country that says we will own America.he lets them fly over with balloons taking pictures of our nuke bases then shoots it down after its done its job lets china buy up US property of the size of new York hes drug son a felon carry’s a 357 mag. no arrest free ticket he goes to china brings back 5 million dollars that’s split between family members and the BIG guy he sniffs little girls necks and hair on TV no one says put the pervert in jail he is trying to throw our constitution in the trash take our guns while he gives billions of dollars worth of military guns,tanks,choppers with millions of green backs to the Taliban.puts our military in harms way now in u crane just like Viet Nam advisers first “that’s why all the hell just broke loose some one let the cat out of the bag. our troops are on the ground he had the FBI take out search warrant on Trumps house who in the hell is he kidding says he had nothing to do with it democrats plan keep Trump tied up in court where he cant cam-pane go back 20ty years we will fine something if not we will make up something oooo yes it was the Russians who got into Hunters lap top while he was out from drugs it wasn’t hunters lap top until 3 years later i guess he was incoherent from his drug overdose for three years? never though an election could be stolen in my country in a million years but before our eyes it happen and a vice president who had no balls for a recount.go to your bank drawl out most of your cash hide it you will need the cash if your lucky to find food.
[…] You can check out the list of closings here. […]