In a court that filed late Monday, Cici blamed Chapter 11 on the “unpredictable and unprecedented scale” of the pandemic, which decimated its outcome and customer demand because it relies heavily on its living room.
The Texas-based company has more than 300 locations in 26 states – a sharp drop from the approximately 650 restaurants it owned about a decade ago. Cici dropped “pizza” from its name in 2015 and expanded its menu to focus on its unlimited soup, salad and dessert options. The company was bought by Arlon, an investment firm in the food and agricultural industry, a year later.
Unlike other pizza chains, Cici’s did not benefit from delivery. The company said the tendency to dine at home “poses significant challenges” to its buffet model and acknowledged that “it has to work harder and more creatively” to differentiate itself from competitors.
Cici’s has debts between 50 and 100 million USD. The chain reached an agreement in December for its main creditor, D&G Investors, to acquire the company and its $ 82 million debt.
The pandemic has decimated the restaurant industry. Restrictions on the indoor table and the difficult economy to earn money from delivery or removal have forced a number of chains to go bankrupt in recent months, including Sizzler USA, Friendly’s, California Pizza Kitchen and Vapiano.