87-year-old fast-food chain Krystal filed for Chapter 11 bankruptcy protection in U.S. Bankruptcy Court in the Northern District of Georgia on Monday.
“Our customers can expect to continue to enjoy the same great food and service that they have come to expect from us,” Krystal said in a statement to the Chattanooga Times Free Press.
“The actions we are taking are intended to enable Krystal to establish a stronger business for the future and to achieve a restructuring in a fast and efficient manner.”
Founded in Chattanooga, Tennessee, in 1932, Krystal hamburgers are still served fresh and hot off the grill on the iconic square bun at approximately 320 restaurants in nine states in the Southeast.
Krystal’s Atlanta-based Restaurant Support Center serves a team of 7,500 employees.
“Things have changed a lot in the last 87 years or so, but at Krystal, not so much,” Krystal says on its website.
“Even during the Great Depression, founders Rody Davenport Jr. and Glenn Sherrill believed that a good meal at a great price—served with a smile at a clean restaurant—would attract customers and keep them coming back. Krystal has proven them right ever since.”
The company is privately held, so few financial documents are available to the public that would point to what led up to Krystal’s bankruptcy status.