Hooters Shuts Down Over 30 Locations Amid Restructuring

News Summary

Hooters has closed more than 30 company-owned restaurants across several states, including North Carolina, as it enters Chapter 11 bankruptcy. The closures are part of a broader strategy to transition to a franchise model, following prior shutdowns of underperforming locations. Despite facing significant challenges, Hooters aims to build a sustainable future while providing support to affected employees.

North Carolina

Hooters has closed more than 30 of its company-owned restaurant locations across several states as of June 4, 2025. This decision comes shortly after the chain filed for Chapter 11 bankruptcy in March 2025, a move aimed at restructuring the business and planning its transition to a fully franchised model.

The closures have particularly impacted locations in Florida, Georgia, Michigan, North Carolina, South Carolina, Tennessee, and Texas. One notable spot affected is the Hooters on South Boulevard in Charlotte, North Carolina. The company has stated that these closures were a necessary step to better position the brand for the future and to facilitate a shift towards franchise ownership.

As of February 2025, Hooters had approximately 254 locations operating in the United States, along with additional locations globally, bringing the total count to about 420 across 29 countries. In light of the recent closures, Hooters has removed the affected restaurants from its official website. Additionally, phone numbers for the closed locations now provide automated messages indicating permanent closure.

Bankruptcy and Restructuring Plan

Hooters’ bankruptcy filing was part of a broader strategy to divest its company-owned locations to franchisees. This move is expected to pave the way for the brand’s full transition into a franchise-driven model once the bankruptcy process concludes. Previous statements from Hooters indicated a commitment to remain operational through the restructuring and to build a more robust financial foundation for the chain.

The closures follow a pattern seen in the past year, where Hooters has shut down around 40 underperforming restaurants as part of efforts to streamline its operations. Hooters is known for its signature chicken wings and the waitstaff commonly referred to as “Hooters Girls,” who serve customers in distinctive attire. However, the chain has faced significant financial hurdles, particularly influenced by changing market dynamics in the wake of the COVID-19 pandemic and evolving consumer preferences.

Impact on Employees and Brand Background

In light of the recent changes, Hooters has assured that it will continue to support the employees affected by the closures, signaling a commitment to their workforce amid the transition. However, no specific details were provided regarding how employees were informed about the shutdowns or the nature of that support. The company expressed gratitude to its loyal customer base during this challenging period.

In the past, Hooters has dealt with various challenges, including legal issues related to hiring practices concerning waitstaff and attempts to diversify its brand identity, including a failed initiative to launch a non-Hooters Girls concept. The brand continues to navigate the restaurant landscape with a focus on adaptability and long-term viability.

Looking Ahead

While the decision to close over 30 locations marks a significant shift for Hooters, the company maintains that it is focused on building a sustainable future through franchising. As the restaurant industry continues to recover and adapt post-pandemic, Hooters’ restructuring efforts will be closely monitored by stakeholders in the dining sector.

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