[Los Angeles Times]
Quiznos, the Denver-based sandwich chain, said Friday it had filed for Chapter 11 bankruptcy in Delaware, the second quick-service restaurant chain in a week to do so.
The filing is expected to be speedy, as Quizno’s senior leadership had already secured a “pre-packaged” restructuring plan with its creditors, the company said in a statement. The move will cut the company’s debt by more than $400 million.
Quizno’s bankruptcy filing comes just days after Sbarro, the New York-based pizza chain, filed for court protection in Manhattan on Monday, the second time in three years. Hot Dog on a Stick, another purveyor of quick-service food, in February also filed for bankruptcy protection.
Competition in this food segment has been fierce, with the rise of other competitors that include Chipotle Mexican Grill Inc. and other quick-service options.