Posted on 01/23/2020 12:11:07 PM PST by Red Badger
BIRMINGHAM, Ala. Krystal Co., the Georgia-based restaurant chain known for tiny hamburgers and late-night service across the Southeast, has filed for bankruptcy, but said Tuesday that all of its locations would remain open.
Federal court documents showed Krystal sought Chapter 11 bankruptcy protection in Atlanta on Sunday. The company said it owed between $50 million and $100 million to food suppliers, equipment companies and others.
Krystal has about 300 restaurants in 10 states, 182 of which employ 4,890 people and are operated by the company, restructuring officer Jonathan M. Tibus said in a court filing. Another 116 are run by franchisees, he said.
The company previously closed more than 40 restaurants, including 13 that shut down in December, over the past year, according to court documents. Shifting consumer tastes, growing costs, tight labor markets and the growth of online food ordering all contributed to the company’s financial problems, Tibus said.
“The actions we are taking are intended to enable Krystal to establish a stronger business for the future and to achieve a restructuring in a fast and efficient manner,” the company said in a statement Tuesday.
(Excerpt) Read more at washingtontimes.com ...
My first real job was working for Krystal in Jacksonville Florida in 1971.
It was privately family owned then.............
Just curious, but has the management or corporate ownership changed in the past few years? Often, a venture capitalist type takeover (and corporate raiding) precede the demise of an old established company like Kyrstal.
I love Krystal cheeseburgers!!!!
I used to get 4 at a time...Now, I’ve cut back to 3....
“known for tiny hamburgers “
Southern White Castle?
I’ve seen all over the South, but never eaten there.
Burgers look like a knock off of White Castle.
White Castle-—1921
Krystal————1932
Essentially..................
Just checked them out. Seem like White Castle.
Perhaps Harold and Kumar could go there. Couldn’t hurt.
I really love WC’s crave case. And their krinckly cut fries.
Delicious!....................
It is the southern version.................
There have been:
White Castle
Blue Circle
Krystal
Jiffy
All had burgers just alike...
White Castle ripoff but I could still wolf down a dozen after a night of drinking.
oh CRAP!!!!
One Krystal in my town closed about a month ago. 2 are left.
Closed their stores in our area already.
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