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S&A Issues Statement on Bennigan's Closures

S&A Restaurant Corp. has filed for bankruptcy, suddenly closing Bennigan's restaurants.

-- Chain Leader, 7/29/2008 9:07:00 AM

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Local news reports began early this morning announcing that Bennigan's restaurants were closing in Chicago, Denver and other cities nationwide. Store managers and employees have reportedly been surprised and uninformed about the closures.

An S&A Restaurant Corp. spokesperson sent the following statement to Chain Leader sister publication Restaurants & Institutions:

"S&A Restaurant Corp. and certain affiliates have filed for bankruptcy under Chapter 7 of the bankruptcy code. The companies that filed bankruptcy cases are popularly known as Steak & Ale, Bennigan's and Tavern restaurants. However, not all stores using these trade names have filed bankruptcy. For example, stores operated by franchisees are not named as debtors in these filings.

"It is our understanding the Michelle Chow will be appointed as Chapter 7 trustee for the entities that have filed. These are filed as liquidation cases. Future decisions regarding the affairs of the debtor companies will be determined and administered by the trustee.

"If you wish to file a claim, the form Proof of Claim can be found online at: http://www.uscourts.gov/rules/BK_Forms_1207/B_010_1207f.pdf.

"The filing does not include Ponderosa and Bonanza which operate under Metromedia Steakhouses Company, L.P."

Visit Restaurants & Institutions for complete coverage of this developing story.

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