Business

Popular Tex-Mex chain On the Border closes all 60 company-owned restaurants

New ownership wasn't able to stop the bleeding, despite menu changes and an ambitious new outlook. ©Image Credit: Wikicommons / Dwight Burdette

If your favorite restaurant is On the Border, you're going to want to sit down for this, as the popular Tex-Mex chain has closed all 60 of its company-owned restaurants despite moves to stage a comeback.

The comeback that never happened

It was just last year that the Dallas-based chain was bought by Pappas Restaurants. It looked like new ownership was going to turn things around and give On the Border a total comeback story.

A month ago, ownership announced a "sweeping menu overhaul," making people believe the comeback was already in the works.

Then came the announcement that all company-owned On the Border locations would be closing, shocking many. That has now been followed by a Chapter 7 bankruptcy filing by OTB Hospitality, LLC, which killed the comeback dream.

Liabilities far exceeded assets

According to the bankruptcy filings, OTB Hospitality's liabilities far exceeded its assets, which gave it no choice but to file Chapter 7.

The filings show it had more than $6.2 million in liabilities and only $753,000 in assets. Add to that, the company owed severance to former staff and had vendor payments due.

The franchise locations in Nevada, Florida, South Dakota, California, and South Korea are not mentioned in the filing, and they will remain operational.

The company thought long and hard about the decision

The decision to close locations and then file Chapter 7 wasn't taken lightly by ownership.

"This was an incredibly difficult decision. Our teams worked hard over the past year to stabilize the business, but it became clear that OTB would require substantial ongoing investment that would pull focus and resources away from the core operations that define who we are," said Chris Pappas in a statement.

The end of a Tex-Mex era

For millions of diners, On the Border was the default backdrop for casual happy hours, birthday dinners, and endless baskets of chips and salsa. While the casual dining landscape continues to face steep economic headwinds, the sudden loss of this 44-year-old staple leaves a massive, sizzling fajita-sized hole in the heart of classic Tex-Mex culture.

Source: Chron

'80s cartoon classic ThunderCats is roaring back as a movie

If you grew up in the '80s, there's a good chance you were a fan of the popular animated ThunderCats show. Now's your chance to relive the fun of your childhood as a new ThunderCats animated movie is announced. The era of animated television shows

Consumer Cellular launches phone plans for seniors 75+ from $14.95

Smartphones have gotten incredibly powerful over the years. But they have also gotten more complicated. Tiny icons, endless menus, constant updates, and increasingly crowded screens can make staying connected feel more frustrating than helpful, especially for older adults. Now, Consumer Cellular is betting that simpler might be better with SpeakEasy,

Aldi is giving away free mystery grocery boxes this week

Between rising grocery prices and the internet's obsession with surprise boxes, Aldi has found a way to combine both. Starting this week, the discount grocer is giving away free mystery grocery boxes filled with themed products, and shoppers won't know exactly what's inside until

McDonald's wins America's favorite chain despite losing best burger title

It looks like McDonald's has bounced back after losing the best burger title. Instead, McDonald's wins America's number one fast-food chain when people consider where to eat, proving that customers are huge fans of the restaurant. You win some, you lose some McDonald&