Up to 350 Wendy’s outlets may close by year-end, following a wave of closures announced last year.
Interim CEO Ken Cook noted on Friday, as per CNN, that the initial focus will be on “consistently underperforming” branches. This move aims to “enhance sales and profitability at nearby locations.”
According to the outlet, between 200 to 350 locations are expected to be shut down after Cook mentioned that a “mid single-digit percentage” of the fast-food chain’s 6,000 U.S. restaurants would be affected.
Details about which specific locations will close and the number of jobs impacted remain unclear. The Daily News has contacted Wendy’s for further insights, including whether nearby outlets might absorb any displaced employees.
The decision to close these struggling sites coincides with Wendy’s latest quarterly report showing another period of negative earnings. Cook stated that this would allow franchisees to allocate more resources to their remaining restaurants.
With the holiday season approaching, Wendy’s appears to be tightening its belt, moving away from being the perennial crowd-pleaser.
At this same time last year, Wendy’s then-CEO Kirk Tanner announced the company would close 140 “outdated” and “underperforming” locations, following “a robust review of individual restaurants to ensure they meet our expectations for sales, have the profitability to fuel growth and deliver the Wendy’s brand experience for customers.”
At the time, CNN Business reported that Wendy’s intended to build about 250 to 300 more modern locations.
News of the November 2024 closures came roughly six months after 100 other closings were announced.
