AN Olive Garden rival has shut yet another restaurant after its third bankruptcy in seven years.
Beloved Italian chain Bertucci’s has closed its site in Reading, Massachusetts after filing for Chapter 11 in April.
Bertucci’s is closing its site in Reading Massachusetts[/caption]
Founded in 1981, Bertucci’s is an Italian chain known for its brick oven pizza and pasta.
A rival to Olive Garden and Maggiano’s, the chain has struggled to stay afloat in the competitive restaurant industry.
The firm’s CEO and owner Robert Earl put the financial struggles down to a “plethora of problems” from changing dining habits to mounting debt.
He told MassLive: “There’s so many factors, but unfortunately, the casual-dining space is in a bad way.”
Court records suggest the company is between $10 million and $50 million in debt and suffered a 62 per cent decrease in sales from 2019 to 2024.
The restaurant’s final trading day was on Wednesday leaving just nine locations left in Massachusetts.
These include, Chelmsford, Chestnut Hill, Framingham, Hingham, Medford, Newton, Waltham, Westborough and Bertucci’s Pronto located in downtown Boston.
A sign on the site at 45 Walkers Brook Drive confirmed the closure: “Bertucci’s has closed at this site”.
In a statement, the firm said it was “promptly reorganizing its business for a sustainable and successful future.”
It said: “Consistent with numerous other recent restaurant brand bankruptcies, consumer demand has shifted away from legacy casual-dining brands.
“For Bertucci’s longstanding and loyal patrons, the Bertucci’s you know and love is here to stay as well, just with a few less locations for now.”
It comes as the company closed 15 restaurants after filing for bankruptcy in 2018, including in Beverly, Brockton, Canton, Marlborough and North Attleboro.
After a second bankruptcy in 2022, the firm closed another five locations in Massachusetts
SALTY STUGGLES
Bertucci’s was founded over four decades ago by Italian immigrant Joseph Crugnale.
BRANDS HARD HIT BY BANKRUPTCIES
Many chains have struggled to adapt to a post-Covid retail landscape, with several companies filing for bankruptcy
JoAnn Fabrics and Crafts announced it would close all 800 stores after filing for bankruptcy twice in a year.
Hooters announced plans to file for Chapter 11 bankruptcy protection in February.
Liberated Brands announced that it would be closing all 122 retail locations for its boardsport fashion brands Quiksilver, Billabong, and Volcom.
Forever 21 shut down its headquarters after filing for bankruptcy and laying off 358 employees.
Macy’s announced major restructuring plans amid mass store closures.
By 1989, the restaurant chain had been ranked as one of the top 10 pizza spots in America by USA Today.
The Massachusetts-based business quickly grew in popularity among foodies, expanding to roughly 100 locations by the end of the 2000s, centered along the East Coast.
Bertucci’s, however, has seen a sharp decline in its success over the years as pressures have mounted.
Due to increased competition from fast-casual chains, a saturated restaurant market, and weakening consumer demand, Bertucci’s declared bankruptcy and shut down 15 restaurants in April 2018.
Then in December 2022, the Italian chain filed for Chapter 11 bankruptcy a second time, further dropping its restaurant count to just 23 locations.
Bertucci’s cited troubles stemming from the COVID-19 pandemic, including the nationwide shutdown and high inflation.
Despite the chain’s third bankruptcy filing last month, Bertucci’s hopes to successfully reorganize its business for a sustainable and successful future.
A bankruptcy filing does not always mean that a business is doomed.
For example, a popular restaurant brand has set out to save On The Border after its bankruptcy filing, planning a massive menu takeover.
Plus, another beloved restaurant chain has made a triumphant return after filing for bankruptcy over two decades ago.
