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Chili’s Franchisee Abruptly Closes Oregon Restaurants

May 27, 2008

According to The Portland Tribune, Chili’s franchisee Quality Restaurants Northwest (part of the Huntington Restaurant Group Inc., a franchise company with $13.4 million in sales last year) Beaverton, Bethany, Lake Oswego and Wilsonville in Oregon and Bellevue and Issaquah, Wash. are closing, leaving an estimated 200 people out of work. Chili’s restaurants in Clackamas and Eugene, Oregon will remain open and be run by franchisor Brinker International.

According to a spokeswoman for the of Dallas, Texas-based parent company of Chili’s Inc., Brinker International Inc., the decision to close the restaurants was made by the franchise holder, Quality Restaurants Northwest Inc. of Scottsdale, Ariz.

Brinker International operates more than 1,700 restaurants across the nation, including Chili’s Grill and Bar, Chili’s Too, Romano’s Macaroni Grill, On the Border Mexican Grill and Maggiano’s Little Italy.

Could the economy be having this devastating an effect on franchises in general? What do you think?

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