The chain is also exploring a sale of it Del Taco brand.
Transcript:
Fast food chain Jack in the Box has announced it will be closing roughly 10% of its locations, as well as exploring a sale of its Del Taco brand.
The chain said it will be shuttering between 150 and 200 of its “underperforming” restaurants, with up to 120 of those closures taking effect by the end of 2025. The chain currently has about 2,200 restaurants in the U.S.
Of the closures, Jack in the Box CEO Lance Tucker said, they are aimed at “addressing our balance sheet to accelerate cash flow and pay down debt.” He said the company hopes to pay off $300 million in debt over the next two years.
Jack in the Box is far from the only struggling fast food chain. Both McDonald’s and Chipotle admitted to a sluggish start to the year.
However, Jack in the Box is the only one to announce store closures. Shares of the company are down nearly 60% over the past 12 months.
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