Pizza Hut’s Largest Franchisee Files for Bankruptcy

By Eden | Staff Writer

Jul 03, 2020 @ 8:40 PM MDT

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Coronavirus has had an impact on so many businesses!

NPC International, the largest franchisee of Pizza Hut, recently announced they have filed for Chapter 11 Bankruptcy in response to coronavirus challenges, debt, and higher labor and food costs.

The onlinepany operates over 1,200 Pizza Hut restaurants and around 400 Wendy’s restaurants.

“As our industry has been in the midst of dynamic changes… we also have been facing increased labor and onlinemodities costs and a higher level of financial leverage that presents obstacles to achieving our long-term business objectives. These challenges have been magnified recently by the impact and uncertainty of COVID-19, and we believe it is necessary to take proactive steps to strengthen our capital structure…” — Jon Weber, CEO & President of NPC’s Pizza Hut division

NPC International stated their Wendy’s and Pizza Hut locations will remain open for business under regular schedules, with employees continuing to receive their regular wages and benefits.

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Join The Discussion

onlinements 14

Varsha darekar July 3, 2020 at 6:47 pm MST

I love Pizza Hut ,hope so will reopen

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Lo July 3, 2020 at 8:00 pm MST

So many memories!
Ours just remodeled so maybe they’ll make a onlinee back.

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Mommyx6 July 3, 2020 at 8:52 pm MST

I don’t get how. They’re always busy.

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Smellyann July 3, 2020 at 10:59 pm MST

I mean, I know things happen, but all these closures and bankruptcies are pretty depressing for those of us above a certain age!

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Haley July 3, 2020 at 11:34 pm MST

Most of the bankruptcies going on now are just the debt reformatting type. Not that its nothing to worry about but theyre not going out of business.

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dedragarnergann July 4, 2020 at 6:26 am MST

Like Haley said, filing for bankruptcy does not mean restaurants or stores will close, only that they are reorganizing. And they may be able to close non-performing locations without huge penalties. Ask me how I know. 😉

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Hugh July 4, 2020 at 7:34 am MST

They always have good and quality pizza. They’ve been around for a very long time and I hope that they continue their successful run.

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Peaches July 4, 2020 at 7:46 am MST

All of the freestanding Pizza Huts around here look like they’re falling apart inside and out. The only one I go to now is in a stripmall and they always do a superb job on my pizza. But they are carry out or delivery only. The Pizza Hut experience of dining with a group of friends is gone.

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C July 4, 2020 at 9:28 am MST

My local Pizza Hut looks like the Pizza Huts I remember from the ’80s. Now, it just looks old and drab, but it does still have dine-in service. They even still had the lunch buffet, but I imagine that probably stopped with COVID-19. The restaurant does a decent business, but it’s definitely not the way it once was.

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Evie July 4, 2020 at 8:53 am MST

I wonder about the bankruptcies too! Instead of just going out of business there is a slow bleed. Cheaper products and higher costs to consumers! More will hire minimum wage employees who will not show, especially on busy weekends.

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Sue July 4, 2020 at 9:32 am MST

We quit going to the Pizza Huts around here about 5 years ago. They always looked so dirty and never renewed anything.

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Evie July 4, 2020 at 10:00 am MST

Yep, more sorrow for the consumer and workers, so Wall Street can get rich shorting stock and selling options.

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NubianGoddess July 4, 2020 at 1:36 pm MST

No. I really like Pizza Hut!!!!

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katie July 4, 2020 at 4:56 pm MST

Our neighborhood pizza hut shut down for good during the pandemic. It broke my heart. So many memories there growing up.

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