BURGER King fans are bracing for the worst after the fast-food chain's CEO announced that 400 stores will shut down forever this year.
Joshua Kobza of Restaurant Brands International, Burger King's parent company, said that mass closures are being planned to protect the brand from further damage.
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The fast-food giant surprised analysts with a 12.3 percent increase in global same-store sales in the first quarter of the year and an 8.7 percent increase in same-store sales in the U.S. after launching a $400million "Reclaim the Flame" campaign.
However, RBI chairman Patrick Doyle said that stores unable to meet sales goals will be asked to shut down in the coming months.
"There will always be a minority who aren't dedicated enthusiastic operators, and that's OK," Doyle said during RBI's first quarter earnings call.
"We'll work with them to leave the system and move on to do something else. There simply is no room for franchisees who are not willing or able to work hard to operate restaurants that are better than the system average over the long term."
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While Kobza reminded the public that the 400 closures are still uncertain at this time, The U.S. Sun has put together a list of stores that have closed so far this year.
Already, two Burger King franchisees, Meridian Restaurants Unlimited and TOMS King declared bankruptcy.
Due to this, Meridian will see 27 restaurants shutter across seven states.
The following locations in these states are saying goodbye to customers as part of the bankruptcy:
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MINNESOTA
- 209 Nokomis Street, Alexandria
- 926 Central Avenue Northeast, East Grand Forks
- 528 Western Ave, Fergus Falls
- 21 Depot Street, Litchfield
- 205 Lake Street, Long Prairie
- 586 Southwest 1st Street, Montevideo
- 516 East Bridge Street, Redwood Falls
- 100 21st Street North, Moorhead
- 1611 US-12, Willmar
MONTANA
- 1422 West Main Street, Lewistown
- 520 North 27th St, Billings
- 1211 9th Street West, Columbia Falls
KANSAS
- 2201 East Kansas Ave, McPherson
NEBRASKA
- 3627 South Lincoln Avenue, York
- 2504 O St, Lincoln
- 4230 North 27th Street, Lincoln
NORTH DAKOTA
- 3765 Gateway Drive, Grand Forks
UTAH
- 171 East Gateway Dr, Heber
- 7810 South 1300 E, Sandy
- 10235 South State Street, Sandy
- 729 North Main St, Clearfield
- 1466 East 3500 North, Lehi
- 119 East Crossroads Blvd, Saratoga Springs
- 147 East Bangerter Highway, Draper
- 5390 South 1900 West, Roy
- 1660 West North Temple St, Salt Lake City
WYOMING
- 1902 Mountain View Drive, Cody
And another, EYM King of Michigan stated in a WARN notice it would also be closing 26 restaurants in Michigan in April.
MICHIGAN
- Dearborn Heights: 20401 W. Warren (16)
- Detroit: 2155 Gratiot Ave. (8)
- Detroit: 9871 Livernois (13)
- Detroit: 8201 Woodward Ave. (14)
- Detroit: 18021 Kelly Rd. (20)
- Detroit: 20200 Grand River Ave. (22)
- Detroit: 13600 W. McNichols Rd. (22)
- Detroit: 15500 W. Seven Mile (21)
- Detroit: 20240 Plymouth Rd. (25)
- Detroit: 12661 Mack Ave. (11)
- Detroit: 9239 Gratiot Ave. (9)
- Detroit: 17440 E. Warren (30)
- Detroit: 16245 Livernois Ave. (14)
- Ecorse: 3863 W. Jefferson Ave. (11)
- Ferndale: 10336 W. 8 Mile Rd. (26)
- Flint: 3625 South Dort Hwy. (25)
- Flint: 3801 Clio Rd. (18)
- Highland Park: 13324 Woodward Ave. (13)
- Livonia: 28203 Plymouth Rd. (10)
- Livonia: 34835 Plymouth Ave. (19)
- Royal Oak: 31456 Woodward Ave. (17)
- Southfield: 23660 Telegraph Rd. (19)
- Southfield: 30711 Southfield Rd. (7)
- Walled Lake: 1113 E. West Maple Rd. (8)
- Warren: 2411 E. 8 Mile Rd. (13)
- Whitmore Lake: 9774 E. M-36 (13)
In Virginia, 37 Burger King locations are expected to be bought for $22million by DC Burger, according to Restaurant Business.
Meanwhile, another firm, known as Karali Group, is set to pay more than $7million for 27 stores in Ohio and Pittsburgh, Pennsylvania.
Kobza said that new franchisees will be pivotal to improving the system in the U.S. as they continue to trim the fat.
He warned: "If they can't, we have operators ready to step in and do what's required."
"We're feeling increasingly positive about the case path forward this year and into the future," the CEO concluded.
The brand has also made menu changes such as the $5 Your Way Meals which appear to increase sales.
Burger King launched its Bacon Jam Brisket Whopper, a new signature dish that combines Whopper's traditional insides with added beef brisket, American cheese, crispy onions, and a sweet, but smoky jam.
Currently, the item is only available in Las Vegas or Minneapolis until May 25, but if successful, the new burger could be rolled out nationwide.
The changes come as fans are desperate to see four items return to the menu in the near future.
