It begins

Shit just got REAL, people.

Waffle House says 418 of its restaurants are closed as coronavirus continues to spread

Updated: Waffle House has increased the number of restaurants closed since this story was first published.

Waffle House, the restaurant chain known for having its own unofficial index used during natural disasters, said it’s closing 418 of its restaurants.

In various social media posts, the chain featured a map showing the 418 closed restaurants, while another 1,574 across the southeastern U.S. remained open. The posts also featured the hashtag “#WaffleHouseIndexRed.

Being a HUGE fan of Waffle House myself—anybody who’s spent as much time on the road as I have over the years simply couldn’t NOT be—this reads like a real tragedy to me. But it ain’t just Waffle House that’s suffering; the national Restaurant Holocaust I’ve been predicting is just getting its boots on, looks like.

The Cheesecake Factory, one of the most popular sit-down restaurant chains in the country, says it will not be able to make upcoming rent payments for any of its storefronts on April 1 because of significant loss of income due to the coronavirus crisis.

The Calabasas Hills-based company informed all of its landlords in a letter dated March 18 (reproduced below) that a severe decline in restaurant traffic has decreased its cash flow and “inflicted a tremendous financial blow” to business. Cheesecake Factory’s affiliated restaurants, such as Rock Sugar and North Italia, will also not make April 1 rent payments.

Company chairman and CEO David Overton writes, “Due to these extraordinary events, I am asking for your patience, and frankly, your help.” He continues, “we appreciate our landlords’ understanding given the exigency of the current situation.” The letter says that the company hopes to resume paying rent as soon as possible.

Cheesecake Factory, for those of you unfamiliar with ’em, isn’t exactly your basic small-time mom-and-pop operation.

The Cheesecake Factory was founded in Beverly Hills in 1972 and maintains its original location on Beverly Drive, with 39 locations in California. In total, it operates 294 restaurants in 39 states, plus the District of Columbia, Puerto Rico, and Toronto, Canada. In 2019, the company also acquired Phoenix-based Fox Restaurants, including North Italia, Flower Child, and The Henry. Most of the company’s landlords are malls, including Simon and Westfield.

In telling landlords that it will not able to pay rent, the Cheesecake Factory essentially confirms that it is in the same position that many independent restaurateurs currently find themselves in. In a statement to investors on March 23 — five days after the letter to landlords — the Cheesecake Factory announced that it would curtail development of unopened restaurants and tap into a $90 million credit line to increase its available cash. Since the outbreak of the coronavirus, the Cheesecake Factory has closed 27 locations across the country, and pivoted other locations to a takeout and delivery-only model — which it said just days ago was enabling the company to “operate sustainably at present” — and its stock price has fallen by more than 50 percent in the past month.

With 38,000 employees, the Cheesecake Factory is one of the largest restaurant employers in the country. Given its recent stock woes and the ongoing reduction in business due to the coronavirus pandemic, it seems possible that it, like many restaurants, could end up needing a bailout to survive.

As I keep saying, this shutdown/lockdown business is going to wind up being one hell of a lot more costly long-term than some folks seem to realize. If a huge national chain like CF is struggling, just imagine what this is doing to all the independently-owned places out there—and how many of those businesses are going to simply cease to exist.

Nor is the dismal impact limited to restaurants and bars; pretty much any small business you could name, in any field, is in a similar untenable situation. The jobs they provide, the taxes they pay, the livelihoods their employees depend on—all gone for good, never to return no matter how big a “stimulus” the goobermint finally comes up with. The suppliers and services they support, the customers they serve, the communities they enliven—all damaged if not brought to ruin themselves by this cascade of catastrophe.

Our “leaders,” in the arrogance of their mistaken assumption of omnipotence, decided to light a fuse that cannot be extinguished. Now it’s too late for the rest of us to do anything but sit back and wait for the explosion, and see how much of American society is caught inside the blast radius.

Comments policy

Comments appear entirely at the whim of the guy who pays the bills for this site and may be deleted, ridiculed, maliciously edited for purposes of mockery, or otherwise pissed over as he in his capricious fancy sees fit. The CF comments section is pretty free-form and rough and tumble; tolerance level for rowdiness and misbehavior is fairly high here, but is NOT without limit. Management is under no obligation whatever to allow the comments section to be taken over and ruined by trolls, Leftists, and/or other oxygen thieves, and will take any measures deemed necessary to prevent such. Conduct yourself with the merest modicum of decorum, courtesy, and respect and you'll be fine. Pick pointless squabbles with other commenters, fling provocative personal insults, issue threats, or annoy the host (me) and...you won't. Should you find yourself sanctioned after running afoul of the CF comments policy as stated and feel you have been wronged, please download and complete the Butthurt Report form below in quadruplicate; retain one copy for your personal records and send the others to the email address posted in the right sidebar. Please refrain from whining, sniveling, and/or bursting into tears and waving your chubby fists around in frustrated rage, lest you suffer an aneurysm or stroke unnecessarily. Your completed form will be reviewed and your complaint addressed whenever management feels like getting around to it. Thank you.

Categories

Archives

Notable Quotes

"America is at that awkward stage. It's too late to work within the system, but too early to shoot the bastards." – Claire Wolfe, 101 Things to Do 'Til the Revolution

"There are men in all ages who mean to govern well, but they mean to govern. They promise to be good masters, but they mean to be masters." — Daniel Webster

"It is terrible to contemplate how few politicians are hanged." - GK Chesterton

"The only way to live free is to live unobserved." - Etienne de la Boiete

"History does not long entrust the care of freedom to the weak or the timid." — Dwight D. Eisenhower

"To put it simply, the Left is the stupid and the insane, led by the evil. You can’t persuade the stupid or the insane and you had damn well better fight the evil." - Skeptic

"There is no better way to stamp your power on people than through the dead hand of bureaucracy. You cannot reason with paperwork." - David Black, from Turn Left For Gibraltar

"The limits of tyranny are prescribed by the endurance of those whom they oppress." - Frederick Douglass

"Give me the media and I will make of any nation a herd of swine." - Joseph Goebbels

“I hope we once again have reminded people that man is not free unless government is limited. There’s a clear cause and effect here that is as neat and predictable as a law of physics: As government expands, liberty contracts.” - Ronald Reagan

"Ain't no misunderstanding this war. They want to rule us and aim to do it. We aim not to allow it. All there is to it." - NC Reed, from Parno's Peril

"I just want a government that fits in the box it originally came in." - Bill Whittle

Subscribe to CF!

Support options

Shameless begging

If you enjoy the site, please consider donating:

Best of the best

Neutral territory

Alternatives to shitlib social media:

Fuck you

Image swiped from The Last Refuge

2016 Fabulous 50 Blog Awards

Rss feed

RSS - entries - Entries
RSS - entries - Comments

Contact


mike at this URL dot com

All e-mails assumed to be legitimate fodder for publication, scorn, ridicule, or other public mockery unless otherwise specified

Boycott the New York Times -- Read the Real News at Larwyn's Linx

Copyright © 2020