""Recent increases in costs of shipping and food, decreased availability of labor and inflation worsened issues for the franchisee," said Joseph Luzinski, the company's chief restructuring officer."
""The firm owes $36.64 million to less than 1,000 creditors after operating some stores at a loss," the bankruptcy documents said."
Consolidated Burger Holdings, a significant Burger King franchisee, filed for Chapter 11 bankruptcy protection, citing soaring labor costs and inflation as critical factors. The company owes nearly $37 million to almost 1,000 creditors and is trying to sell its assets as it grapples with significant revenue drops and operational losses. In its latest fiscal year, it reported a net operating loss of $12.5 million and a further $6.3 million loss, highlighting the ongoing struggles faced by fast-food chains in the post-COVID landscape.
Read at New York Post
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