Hooters goes bust after bankruptcy and 'family-friendly' rebrand

Hooters has closed its remaining restaurants in New York and Massachusetts, making them the latest states to lose the chain as it navigates financial strain and a controversial push toward a more “family-friendly” image.

The company, long known as a pioneer of the so-called “breastaurant” category, has been shrinking quickly. At least 15 Hooters locations have shut down across the country since the brand filed for Chapter 11 bankruptcy in March as part of an effort to restructure roughly $376 million in debt.

In New York, the last operating Hooters — located at 70 Wolf Road in Colonie — has closed after 15 years in business, according to News10.

Massachusetts has also seen the brand disappear entirely, with its final three restaurants in Dedham, Saugus and West Springfield closing abruptly, as reported by MassLive.

Customers who arrived at the shuttered locations found locked doors and a notice posted at the entrance that read: “After much deliberation, we’ve made the difficult decision to close this location.”

The message continued: “We are incredibly grateful for the many years of great times, cold beer, hot wings and unforgettable memories shared here.”

“Thank you to our guests, team members, and community for the support over the years,” the notice added.

Hooters described the closures as part of its broader turnaround strategy, saying the decision was made as part of “our current efforts to focus, revitalize and strengthen the original Hooters brand across America,” according to the outlet.

Hooters has gone bust in New York and Massachusetts, marking the latest states to see the chain disappear amid its 'family-friendly' rebrand and bankruptcy filing in March

Hooters has gone bust in New York and Massachusetts, marking the latest states to see the chain disappear amid its ‘family-friendly’ rebrand and bankruptcy filing in March

Loyal customers were met with locked doors and a notice taped to the entrance

Loyal customers were met with locked doors and a notice taped to the entrance

New York's last surviving Hooters - 70 Wolf Road in Colonie - has shut its doors after 15 years in business

New York’s last surviving Hooters – 70 Wolf Road in Colonie – has shut its doors after 15 years in business

The last remaining restaurant in Wethersfield, Connecticut, closed in March, including its final Minnesota outpost at the Mall of America

The last remaining restaurant in Wethersfield, Connecticut, closed in March, including its final Minnesota outpost at the Mall of America

The chain’s retreat has already claimed several other states, including its last remaining restaurant in Wethersfield, Connecticut, which closed in March, and its final Minnesota outpost at the Mall of America. 

Devastated fans rushed to Reddit to mourn the closures, with one user declaring: ‘I just fell to my knees.’

‘Literally shaking right now,’ another wrote. 

‘Boobs and butts aside, they were the maker of a very nice wing. They used breading, which is something not terribly common,’ a third added.

Another comment read: ‘I don’t care what anyone says, Hooters breaded wings are fantastic. Sure maybe it’s not your everyday wing… but every so often it’s a must.’ 

While some appeared deeply attached to the beer-soaked chain, others insisted its downfall had been a long time coming.

‘Honestly, I feel like it was mostly gross older men who were keeping these in business anyway…’ one comment read. ‘This was years overdue!’ said another.

Once an American dining icon, the 43-year-old chain, which at its peak had about 420 restaurants across 42 states, has struggled to keep up with changing consumer tastes. 

Waitresses, dressed in signature low-cut white tops and skin-tight orange shorts, served wings and beer to NASCAR-loving fans, helping catapult Hooters to a $1.2 billion valuation by 2009. 

But its long run has been overshadowed by Hooters of America – which runs most of the chain’s US restaurants – filing for Chapter 11 bankruptcy in March amid flatlining sales and inflation, blaming rising costs and fewer customers eating out. 

The 2008 recession and the pandemic also caused plummeting sales, pushing the company further into decline. 

Just last year, it shuttered around 40 ‘underperforming’ restaurants, including locations in Florida, Kentucky, Rhode Island, Texas and Virginia as it sought to cut costs. 

But its struggles go back years, with The New York Times reporting in May on legal troubles including a 1997 settlement over claims men were denied jobs because of their sex.

Then, in 2011, the National Organization for Women launched an unsuccessful lawsuit seeking to ban minors from California locations. 

CEO Neil Kiefer, 74, has said he is steering the company back to its original vision, with a rebrand aimed at reshaping it into more of a ‘neighborhood place.’ 

The definition of Hooters, according to the CEO, is a ‘beach-themed place centered around the Hooters Girls, good food and being an easy place to relax,’ he told People Magazine.

Massachusetts' final three Hooters restaurants in Dedham, Saugus and West Springfield are also suddenly closing

Massachusetts’ final three Hooters restaurants in Dedham, Saugus and West Springfield are also suddenly closing

CEO Neil Kiefer, 74, has said he is steering the company back to its original vision: a 'beach-themed place centered around the Hooters Girls, good food and being an easy place to relax'

CEO Neil Kiefer, 74, has said he is steering the company back to its original vision: a ‘beach-themed place centered around the Hooters Girls, good food and being an easy place to relax’

Hooters catapulted to a $1.2 billion valuation by 2009

Hooters catapulted to a $1.2 billion valuation by 2009

Kiefer said Hooters of America 'changed the uniforms of the girls and put them in almost what appeared to be a thong,' insisting that was 'never the intention'

Kiefer said Hooters of America ‘changed the uniforms of the girls and put them in almost what appeared to be a thong,’ insisting that was ‘never the intention’

‘It’s a neighborhood place that many families frequent, and singles and couples,’ he added.

Kiefer, who has been CEO since 1992, explained that when the original owners sold the chain’s intellectual property and contractual rights in 2001, private equity firms took over certain locations. 

He said the move pushed Hooters ‘further and further away from what the brand and the concept stood for.’ 

The company ultimately split in two: Hooters Inc., controlled by the founders, and Hooters of America, run by franchisees. But as uniforms grew skimpier at some locations, the two sides clashed over the brand’s identity.

The original owners reacquired the brand’s intellectual property in fall 2025 following Hooters of America’s bankruptcy filing, Kiefer said. The New York Times reported they also acquired around 140 locations in a bid to ‘re-Hooterize’ the brand.

‘It wasn’t so much a monetary thing,’ Kiefer told People. ‘It was more like, wait a minute, we created this brand. We hate to see what they’ve done to it. We need to try to improve it.’

A key focus was staff uniforms, which he said some women found embarrassing, but ‘weren’t really given a choice.’ 

He said Hooters of America had ‘changed the uniforms of the girls and put them in almost what appeared to be a thong,’ insisting it was ‘never the intention’ when the concept was first created, according to People.

While hosting 'Kids Eat Free' promotions and selling Hooters baby onesies, the brand also occasionally still hosts 'bikini nights'

While hosting ‘Kids Eat Free’ promotions and selling Hooters baby onesies, the brand also occasionally still hosts ‘bikini nights’

The CEO said when the brand first launched, he said servers wore dolphin running shorts

The CEO said when the brand first launched, he said servers wore dolphin running shorts

Kiefer said: 'It was a sporty athletic look at the time, and I think in the last 10 or 15 years, a lot of the country has seen a more sexualized version of that'

Kiefer said: ‘It was a sporty athletic look at the time, and I think in the last 10 or 15 years, a lot of the country has seen a more sexualized version of that’

The CEO described the overhaul simply: 'I don't think you're going to see a bunch of butt cheeks hanging out'

The CEO described the overhaul simply: ‘I don’t think you’re going to see a bunch of butt cheeks hanging out’

When the brand first launched, he said servers wore dolphin running shorts, often used as swimsuit cover-ups, hence its ‘beach-themed’ identity. 

‘It was a sporty athletic look at the time, and I think in the last 10 or 15 years, a lot of the country has seen a more sexualized version of that,’ he told the outlet. ‘That chased away a lot of customers.’

A major part of the controversial rebrand has focused on appealing to families and children, including a ‘Kids Eat Free’ promotion on Saturdays, as well as Hooters-branded baby onesies available for sale.

In the same breath, the brand also occasionally still hosts ‘bikini nights,’ with servers serving drinks in swimsuits. 

Nevertheless, the move sparked parental debate online over whether Hooters is appropriate for children, with opinions ranging from ‘bodies aren’t inherently sexual’ to ‘sleazy and gross,’ according to the NYT.

While it remains unclear how many more locations will close across the country, Kiefer said Florida and Chicago stores run under original ownership and ‘the correct way’ are seeing sales rise after his changes. 

The CEO described the overhaul simply: ‘I don’t think you’re going to see a bunch of butt cheeks hanging out.’

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