October 16, 2020 , 4:15 am

Bankruptcy Cause 185 restaurants to be closed by Ruby Tuesday

Dairy Queen is planning a move to the former Ruby Tuesday location at 7331 Broadview Road in Seven Hills.

Ruby Tuesday filed for Chapter 11 bankruptcy protection this week, but the casual-dining chain swears this isn’t goodbye.

The court-supervised restructuring will allow the company to achieve “long-term stability” amid “the unprecedented impact of COVID-19,” Ruby Tuesday CEO Shawn Lederman says in a press release.

In court documents, the chain, famous for its generous salad bar, says it was hit particularly hard by the coronavirus shutdown because over 90-percent of its business comes from in-restaurant dining. Ruby Tuesday has since been able to reopen 236 restaurants, but the company will permanently close the 185 restaurants, including locations in Medina and Seven Hills, that have remained shuttered since the start of the pandemic in March. The Ruby Tuesday in Mentor has also since closed.

During the bankruptcy process, the remaining Ruby Tuesday restaurants in Elyria, Streetsboro and around the country will continue to operate as usual with enhanced health and safety protocols in effect. The company has also expanded its delivery operation, launched ghost kitchens and started selling grocery staples through Ruby’s Pantry.

Still, the company admits additional closures remain possible as it continues to analyze and review its operations and identify underperforming stores.
“Our guests can be assured that during the Chapter 11 process, we will continue to deliver welcoming service and provide a safe environment for guests and team members, while serving fresh, signature products that only Ruby Tuesday can offer,” Lederman says. “With this critical step in our transformation for long-term financial health – this is ‘Hello’, to a stronger Ruby Tuesday.”
Tags
bankruptcy protection
grocery
in-restaurant dining
Seven Hills

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