Texas-based Luby's Cafeteria reveals timeline for closing all remaining locations
The days of LuAnn platters are drawing to a close. Luby's expects to cease most restaurant operations by the end of its fiscal year in August, the company reports in a filing with the Securities and Exchange Commission.
The beleaguered, Texas-based cafeteria chain adopted a plan of "liquidation and dissolution" in November that will see the company sell off its assets — including the restaurants Luby's and Fuddruckers, as well as its real estate holdings — and distribute the proceeds to shareholders. Luby's estimates each share will generate $3.82 in proceeds. Shares of the company's stock (NYSE: LUB) closed at $3.12 on Wednesday, February 3.
The company has been steadily closing locations statewide, including its restaurant in Duncanville off East Highway 67. Currently, Luby's operates 10 stores in Dallas-Fort Worth, according to its website.
- Fort Worth: 1200 Bridgewood Dr.
- Fort Worth: 3801 Northeast Loop 820
- Fort Worth: 5901 S. Hulen St.
- Forest Hill: 3312 Southeast Loop 820
- DeSoto: 801 North Beckley Rd.
- Dallas: 6221 East Mockingbird Ln.
- Dallas: 13455 Midway Rd.
- Dallas: 5600 South Hampton Rd.
- Plano: 5040 West Park Blvd.
- Rockwall: 2235 S Goliad St.
Perkins Management Services, a Washington, D.C.-based company, acquired 13 locations of Fuddruckers in December. It will operate them as a franchisee. Dallas-Fort Worth has seven Fuddruckers locations.
In addition to winding down its restaurant operations, the company announced that Christopher Pappas has resigned as the company's CEO. John Garilli, of Winthrop Capital Advisors, will serve as interim president and chief executive officer. Pappas and his brother Harris Pappas own approximately 36-percent of the company's stock.
Among the company's various liabilities, the Small Business Administration has placed the company's $10 million Paycheck Protection Program loan under review. Luby's states that it has complied with all necessary procedures to have the loan forgiveness, but it cannot complete that process until the SBA makes it ruling. The agency tells the Houston Chronicle that all loans over $2 million are under review.