Skip to comments.Sbarro Pizza Preparing Chapter 11 Filing
Posted on 03/31/2011 6:31:01 PM PDT by iowamark
Sbarro Inc., the fast-food pizza chain that dots shopping-mall food courts, is preparing to file for Chapter 11 bankruptcy protection as soon as next week, said people familiar with the matter...
"Sbarro continues to work constructively with our key stakeholders to restructure our debt and position the company for long-term success," the company said. "Throughout this restructuring process, the company expects to continue to operate in the normal course and without interruption."
The company has been battered during the recession amid lower consumer confidence. Several months ago it warned of substantial doubt about its ability to continue as a going concern...
Sbarro, based in Melville, N.Y., employs about 5,000 people and started cutting jobs and closing stores in the wake of the global financial crisis...
The eatery was founded in the late 1950s when the Sbarro family opened a grocery store in Brooklyn, N.Y., offering homemade mozzarella, imported cheese, sausage and salami. Sbarro opened its first mall location in 1967 in Brooklyn's King Plaza Shopping Center, which marked its transition to fast-food service. It grew to operate more than 1,000 stores in some 40 countries, becoming a staple in malls and airports from Egypt and Israel to Japan and New Zealand.
Battered by the recession, however, the company closed more than 150 restaurants in the past two years. It showed a loss of about $29.3 million during the first nine months of last year on sales of roughly $239 million. For 2009 it reported a loss of $ 37.2 million. It had about $12.67 million cash and cash equivalents at the end of September.
The losses prompted the company in December to raise salaries and hand out bonuses for top executives and managers to keep them from leaving. Meantime, Sbarro's lackluster earnings caused it to violate debt terms.
(Excerpt) Read more at online.wsj.com ...
I’m not surprised...Their pizza sucks big time.
And you can get a whole pizza anywhere for the price of two of their slices. The Butthats can’t fold fast enough for me.
Never heard of it.
Yea, they announced that they would accept PESOS a few years ago.
Guess that worked out well?/S
Their pizza does gross me out. I have only eaten it a few times because it has been the only place, but I agree with others...it isn’t good.
Not that I want to see people lose their jobs, but failures are as much a part of a healthy capitalist environment as successes.
Really? Couldn’t sell enough slices of pizza with dog-food on it, eh?
I should not have included the word “healthy”...we don’t have that in our economy.
“The losses prompted the company in December to raise salaries and hand out bonuses for top executives and managers to keep them from leaving”
And freepers wonder sometimes why people are sick of these companies.
Heresy. For food court food, Sbarro’s rocks. Yes, it’s greasy. Yes it’s overpriced, but for those of us with fond memories of mall wandering in our youth, it was one of the best ways of spending an allowance/odd job money you could have.
Only thing better is retail Soviet boxer shorts.
You know...my dog loves pizza...and even HE turns up his nose at Sbarro’s crap.
Not a good sign. Say what you will. This country is having an incredibly hard time and small businesses are taking a huge hit.
Imho, we really need to start examining what’s best for the US and implementing some major policy changes. Period.
A company in 40 countries, (and every mall in the USA), is NOT a small business.
DeMino’s in Brookline or Vincenzo’s in Forest Hills are small businesses...and have great pizza.
Wow! I have rarely seen so many people despise a pizza.
I agree, after two years of Soviet rule, perhaps we should permit some limited expression of capitalism!;))
I was never a mall rat when I was a kid.
I was too car-crazy and would rather cruise in my ‘74 Challenger
I guess these are mostly tourists/out-of-towners that eat there for the comfort/consistency factor.
Across the board 50% cuts, and nothing is untouchable. That includes the military.
For frickin sake, they’re not GE you moron.
Sbarro is good esp for mall food and this is a lot of experience as an Italian speaking. Lot of flavor, good cheese.
I used to eat Pizza Hut at the Wash. DC Amtrak station that was exactly like cardboard with grease added.
Free market at work.
I was in Hongkong and the Philippines 2 years ago and they were all over the place. Mostly located in upscale malls. I only had an Sbarro in Manila when my bro got married.
I saw that. Unreal.
I actually agree with you. Our costs for military salaries and pensions are astronomical. I personally know people who have sucked as much as they possibly could from the military, got the salary, housing benefits, education benefits, etc, etc., and believe me, the etc is mind boggling. They are now on to the second career and not looking back - with their government paid doctorate.
Slurp, slurp, slurp - sucking the Republic dry.
I have never had it, but I was raised in a dominantly Italian area.
I doubt it would pass my test based on commentary here.
Compared to real pizzaria pizze Sbarro isn’t good, but for food court fare it’s not so bad. Overpriced, but not that bad.
Without them there would be NO REPUBLIC!
And they live very meager lives while sacrificing greatly.
No wonder. They’re worse than Little Caesar’s.
Canary in the coal mine for shopping malls.
I am afraid you could be correct, with the economy and online sales.
I haven't set foot in a mall in at least five years.
Indeed, I have often said they should rename the franchise ‘Barely Pizza.’
Yeah those greedy shiftless military folks. Not like they’ve been engaged in two land wars for more than a decade all the while enduring year long multiple deployments away from friends and family or anything. Meanwhile PTSD rates, instances of suicide and homelessness for vets are astronomical. But they’re “sucking the republic dry.” Right. -disgusted sarcasm off-
I hope you’re wearing Nomex.
Sbarro is often one of the better options at many airports. The cheese and sauce are not bad.
I went to the mall recently to get a pair of shoes repaired. There’s a Vietnamese guy there with a booth who fixes them. Twenty bucks and I’ve gotten another five months out of the pair. He seems to be doing good business, which is probably not a good sign for the economy.
Right. They lay their lives on the line so that assholes like you can be free to post shit like that.
Mega bump to post #39
Welcome to Obama’s America.
Now pay your taxes. They need raises. :D
Two things I would never buy used are tires and mattresses. I'm sure there are a hundred others, but those two are at the top of the list.
Good memories. I remember spending my allowence on sbarro pizza. Boy it was worth it.
See post 44 -
I have known too many officer level military who treat it like a business - they calculate the cost/benefit to themselves. They historically are NOT in combat zones and are in it for, imho, their own gain. Retire after 20 years and get lucrative gov contracts. I have personally seen them get hundreds of thousands of dollars per month as a “consultant”. Get real.
I do too. Maybe, before they are going under, I will actually treat myself to an entire piece. I feel too guilty eating a whole slice myself, so I always give a portion of it to my husband.
You made no such mention in your original post:
“Our costs for military salaries and pensions are
The criticism stands against your comments stand- the vast majority of our military has been fighting some brutal battles over the past decade. They deserve every penny and benefit. If you know some slugs that are milking the system I suggest you find some new friends. But to offer, as you made clear in your original post without any quantifiers, that those who serve are akin to welfare deadbeats is obnoxious.
Part of it is the outrageous rents that they can charge in the most upscale malls, and part of it is the overbuilding of malls.
Biggest reason is the population movement across urban areas. Once a mall becomes known as crime ridden it can fall very fast, no matter how many police patrols they have.
I've seen bannings for less obnoxious comments about our military.