Following the bankruptcy, is Ruby Tuesday closing permanently? | Joel Eisenberg
The restaurant chain has permanently closed more than 600 locations over the past decade, including 209 remaining as it emerged from Chapter 11 bankruptcy early last year. The company’s long-term future remains uncertain.
This article is based on company publications and accredited media reports. All information linked in this article is fully attributed to the following outlets: Wikipedia.org, RubyTuesday.com, BusinessWire.com and RestaurantBusinessOnline.com.
The Ruby Tuesday Channel Wikipedia page provides a historical perspective of the once venerable restaurant that was founded in 1972 and has recently faced some notable business challenges: Ruby Tuesday filed for Chapter 11 bankruptcy protection on Wednesday, October 7, 2020, saying it would permanently close 185 restaurants that had been closed during the COVID-19 pandemic. After the closings, the company reportedly has 236 company-owned and operated locations, along with an undisclosed number of locations operated by 10 franchise groups. Ruby Tuesday emerged from bankruptcy on February 24, 2021, Ruby Tuesday emerged from Chapter 11 bankruptcy, with 209 restaurants, closing more restaurants than originally planned.
A February 2021 article from RestaurantBusinessOnline.com picked up from there. The article, titled “A much smaller Ruby Tuesday emerges from bankruptcy“, said the following: At the end of 2019, Ruby Tuesday operated 451 sites. But a decade ago it operated 840 locations, according to data from Restaurant Business sister company Technomic.
The question becomes that of the longevity of the chain: will it be able to hold up? And, if so, for how long?
Let’s explore further.
Ruby Tuesday 2022
A year after the company emerged from bankruptcy, Ruby Tuesday released a Press release announcing a new menu with great fanfare and the start of a rebranding attempt: Ruby Tuesday declared February 22, 2022 the biggest Tuesday ever (“The GOAT”) to celebrate an all-new menu, with $2 specials available throughout the day. As part of its “2’s Day” celebration, guests visiting Feb. 22, 2022 can enjoy $2 mini margaritas, $2 domestic draft beers, $2 Ruby Relaxers, as well as a Garden Bar supplement and additional desserts for only $2 each with the purchase of a main dish.
Time will tell if the fanfare achieves the desired effect.
In the meantime, the company seems to have every intention of staying in business and reclaiming its place as a perennial brand. See here to learn more about the history of Ruby Tuesday, on the company’s website: From that first restaurant near the University of Tennessee campus in 1972 to more than 600 restaurants across the United States and around the world, Ruby Tuesday grew to be part of a large public restaurant company in 1982, to becoming its own independent, publicly listed company in 1996, and on its way to becoming one of the most well-known and beloved brands in casual dining.
Such represents the public face of the company. Although the parent entity, Ruby Tuesday Inc. (RTI) no longer operates 600 restaurants, the story remains.
For now, the remaining Ruby Tuesday Channel locations remain open, according to the company’s official word. However, much like Friendly’s – which I had reported on earlier for NewsBreak – this restaurant is one to watch as economists and various media outlets continue to question the company’s longevity.
Thanks for the reading.