(WFMY) — K&W Cafeterias announced it filed for chapter 11 bankruptcy protection. The company said it plans to continue to serve customers while it restructures.
The new measure comes as K&W Cafeterias already closed six unprofitable locations including those in Chapel Hill, Raleigh (Cameron Village), Goldsboro, Salisbury, North Carolina; Greenville, South Carolina and Bluefield, West Virginia. However, it also has several restaurants in other areas of the Carolinas, Virginia and West Virginia.
Currently, K&W Cafeterias has a location in Wilmington on Oleander Drive. An assistant manager confirmed to WWAY that there are no plans to close the Wilmington restaurant.
K&W Cafeterias said it’s been hit hard by the impact of COVID-19.
The company released the following statement:
“Over the last few years, our team has made significant progress in modernizing our cafeterias to enhance our guests’ experience, such as the introduction of online ordering and delivery, while preserving the made-from-scratch food quality we have provided guests for more than 80 years,” Dax Allred, President and grandson of K&W’s founder said. “Unfortunately, the impact of COVID-19 and related operating restrictions had a disproportionately negative impact on our loyal guests and cafeteria-style dining. We are hopeful this restructuring will allow our cafeterias to weather the storm and continue serving guests for years to come.”
K&W Cafeterias said it will continue to serve guests in 18 locations during their restructuring.