Sandwich chain Quiznos filed for Chapter 11 bankruptcy protection Friday in a pre-packaged deal that would cut its debt by more than $400 million.
The 2,100-restaurant chain is in debt by more than $500 million.
Despite the filing, all but seven Quiznos restaurants are independently owned restaurants and will remain open and in operation as usual.
Quiznos CEO Stuart Mathis said the Denver-based company plans to make efforts to help its franchise owners increase sales and profits in the future by reducing food costs, investing in local advertising and even making loans available for restaurant improvements.
[Forbes] [CNN]“The actions we are taking are intended to enable Quiznos to reduce our debt, execute a comprehensive plan to further enhance the customer experience, elevate the profile of the brand and help increase sales and profits for our franchise owners,” he said.