Steak n' Shake permanently closes 51 restaurants, continuing the chain's dangerous downward spiral toward bankruptcy

Business Insider ^ | May 12, 2020 | Irene Jiang

[C19fan]

Steak n' Shake is closing 51 restaurants permanently, according to a recent quarterly report from its parent company, Biglari Holdings.

The hamburger chain's net sales for the first quarter of 2020 were down $60.9 million compared to the first quarter of 2019 — a 36.8% year-over-year decrease.

[Joe 6-pack]

"As the sole capital allocator, I employ neither analysts nor advisors."

Sounds like he could have probably used a few analysts and advisors.

[BubbaBobTX]

When I was in college in Bloomington IL the original Steak and Shake was not only a sit down restaurant but did a booming business with their curb service. It didn’t hurt the management only hired cute coeds from Illinois State to work the food delivery to the cars. The lot was always packed with ‘hungry” frat boys.

[cnsmom]

They just built one near me I never got a chance to go. I bet it is closed.

[Pontiac]

Yes

All of these small businesses will have employees that will be out of work for extended periods because the labor market will be flooded.

Restaurant workers will be sorely hit. There will simply be no market for their work.

And all of these small businesses are communities. People that have worked with each other for years and have become family. This economic shutdown is killing families.

[dinodino]

Never cared for it—average burgers at best.

[Dr. Sivana]

They were just too damn slow!

True, and remarkable as they had a drive-through. There is only one here in Phoenix, and not close to me. Quality varied, and the ones in Illinois have been better than the ones in Georgia. Their Wisconsin Butter Burger blew away Culvers. This chain was around long before McDonalds, and is 24 hours, with wait service. I would hate to see them go under completely.

[Skywise]

My first job out of college had a bunch of young male engineers. We had a breakfast lady that would bring in breakfast burritos every day to sell. She got sick for a few weeks and her hot granddaughter took over for awhile. Needless to say I never got any burritos after that because she was sold out before she ever got to my side of the office!

[DAC21]

I have only eaten there once while in Indy for the 2008 500 Time trials. My buddy whom like me was originally from California (still here for better or worst) but transplanted to TN said it was a poor man’s attempt at an In and Out Burger. It was a bit better than avg. but pales in comparison to In and Out.

[KarlInOhio]

Good burgers and shakes. I don’t cate for the shoestring fries but I like fries thick. The real problem was slow, slow, slow service. They never had enough kitchen staff for the drive through and dine in. With the dine in closed they went from 3 slows to only 2 (1 on good days) for the drive through.

[Dr. Sivana]

it was a poor man’s attempt at an In and Out Burger. It was a bit better than avg. but pales in comparison to In and Out.

I disagree with your friend for several reasons.

One, Steak 'n' Shake is far older than In 'n' Out, so it would make more sense to say In 'n' Out was a rich man's Steak 'n' Shake.

Two, Steak 'n' Shake is 24 hour, and sit down. Comfortable booths, real cutlery. Wait service. Steak 'n' Shake is closer to diner (for eat in) than fast food.

Third, secret menu notwithstanding, Steak 'n' Shake has far great variety on the menu than In 'n' Out. Avocado Burgers, mushroom burgers, Wisconsin Butter Burgers, Pork Belly burgers. Besides that they have chili (awful) and chicken sandwiches, good hot dogs, and salads.

Four, Now, to be fair, In 'n' Out has phenomenally fast service, on the same level as McDonald's and Chick-Fil-A, and almost as friendly as Chick-Fil-A. Steak'n'Shake is S-L-O-W for eat in service, and pretty slow on drive-through.

Five, In 'n' Out uses fresh cut potatoes for the fries. I love Steak 'n' Shake's skinny fries, but they are certainly frozen, and because they are skinny, they get cold fast.

Six, I have found both Steak'n' Shake and In 'n' Out to be cleaner than most chains. However, food quality is uniform at In'n'Out and varies at Steak 'n' Shake.

If I want a quick burger, In'n'Out hands down. If I want something a little different, or a Wisconsin Butter Burger that beats Culver's, and it is two in the morning election night. Steak'n'Shake is the way to go (I spent the all-nighter during the 2000 Bush-Gore contest at a Steak'n'Shake across the street from the Republican Party gathering with Black Elk [R.I.P.]. Better than the Denny's next door, good memories.)

Our world needs both In'n'Out AND Steak 'n' Shake.

[libertylover]

You could send them to me. :)

[virgil]

I worked at a steak n Shake in high school. I made lots of orange freezes. There’s one not far from here. Hope it stays open. It’s a shame what is happening.

[catnipman]

“So what am I supposed to do with the unused gift cards?”

file as a creditor in the bankruptcy court and be assigned the one-gazillionith position in priority?

[catnipman]

“My one gripe though was the fries...cut so tiny that you could barely get any ketchup on them.”

couldn’t you maybe use a pair of ‘em as ketchup chopsticks each time you ate one?

[BuckeyeGOP]

burgers are too small....fries too small... only fast food restaraunt where I could leave hungry.

[Some Fat Guy in L.A.]

Steak ‘n Shake is great for the price - wife and I can eat at one for around 10 bucks, even at today’s prices. That’s getting 2 burgers with fries and a drink. Shakes are good and reasonably priced. I like the chili also. Hope the ones in my area stay open.

[nd76]

Steak n’ Shake had the second best fast food burgers in the USA, only behind In-n-Out. The closest location to me was at Massaponax, VA, at I-95 Exit 126, and they closed it permanently.

I used to frequently travel to the South Bend/Elkhart, Indiana area, where they had at least five locations, and all of them were great. Dirty shame that they are slowly going out of business.

[kalee]

My favorite burger there is a Frisco Melt. There is only one S&S locally now, down from three. The owner sold a few years ago and quality and cleanliness have suffered. My husband and I still go occasionally to share a burger and shake.

[originalbuckeye]

The one in Phoenix, on Mill Street by ASU, is not even close to a real S n S. I like In n Out AND Steak N Shake. Cannot compare as they are completely different. The one here doesn’t even have a proper menu! There is/was(?) one in a casino in Las Vegas. They made the orange freeze that I always crave. Also, so happy to find In n Out Here when we moved to AZ from CA.

[Dr. Sivana]

The one in Phoenix, on Mill Street by ASU, is not even close to a real S n S.

I haven't been to that one. You mentioned the "Orange Freeze". I don't remember even seeing that on the menu in Normal, Illinois, the town with the original Steak 'n' Shake, or in any of the other Illinois Steak 'n' Shakes. Is that like an Orange Julius?

Plenty of In 'n' Out here. I order mine with grilled onions ... much better that way.