Following the Chapter 11 bankruptcy filing from On the Border Mexican Grill & Cantina, court records show that the restaurant chain is closing more than 70 locations, asking the court to allow it to reject its leases across the U.S.
Earlier this month, On the Border filed for Chapter 11 bankruptcy, citing difficult economic conditions, labor shortages, underperforming restaurants and creditor enforcement actions.
OTB Holdings Chief Restructuring Officer Jonathan Tibus said the company had been affected by “macroeconomic factors.”
“On The Border has been weighed down in recent years by macroeconomic factors that have negatively impacted the Company. Casual dining restaurants are acutely impacted by consumer sensitivities to eating out versus staying in,” Tibus said in court records obtained by USA TODAY.
