An Illinois-based Burger King franchisee has put its subsidiaries operating 90 stores in bankruptcy, citing a pandemic-driven revenue decline and increased overhead costs.
The Chapter 11 filings submitted Monday by TOMS King Holdings LLC’s operating subsidiaries reveal they owe about $35.5 million in secured debt to Bank of America. They owe another $14 million of unsecured debt to certain vendors, landlords and Burger King Corp., according to the filings in the US Bankruptcy Court for the Northern District of Ohio.
The debtors have lost a significant amount of business since the pandemic without proportionate decreases in rent, debt service, and ...