Wendy’s Announces Plans to Close Hundreds of Restaurants
Wendy’s is set to close between 200 and 350 of its approximately 6,000 U.S. locations. The company’s interim CEO explained to analysts that these closures target consistently underperforming stores that negatively impact overall performance.
Closure Timeline and Context
The restaurant closures will begin soon and continue through the next year. No specific locations have been disclosed yet.
Previous Closures and Recent Performance
This decision follows last year’s closure of 140 Wendy’s restaurants due to similar performance challenges. Recently, Wendy’s reported a nearly 5% decline in sales for the quarter, contrasting with positive earnings reported by competitors such as McDonald’s and Burger King.
Wendy’s interim CEO stated these closures involve “consistently underperforming” locations dragging down the chain’s overall performance.
Author’s summary: Wendy’s plans extensive closures of underperforming stores amid declining sales, while competitors continue to report gains.