(Gray News) – Struggling restaurant chain TGI Fridays is getting ready to declare bankruptcy, according to media reports.
The news comes as the company closed dozens of restaurants in the past month.
The reports from Bloomberg and Debtwire, which were cited in publications such as Yahoo! Finance and Restaurant Business Magazine, said that TGI Fridays is seeking a loan to help its restaurants continue to operate while it seeks Chapter 11 protection.
The company’s corporate office has not yet responded to a request for comment.
The casual dining chain has struggled in recent years, including changing CEOs three times in 2023.
It recently lost control of much of its business functions through a manager termination event because of TGI Fridays’ “failure to furnish a report of the independent auditors or back-up manager summarizing the findings of certain agreed-upon procedures within a certain time period,” credit rating agency KBRA reported.
The filing could happen in the next few weeks, Bloomberg reported.
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