Hooters has filed for Chapter 11 bankruptcy, but the chain says restaurants remain open and business continues. It’s a striking turn for a brand that built a loud, unmistakable identity—and expanded it across the globe. Along the way came a glossy calendar, a brief airline experiment, pandemic whiplash, and rising debt. Here’s the fast, visual recap of how Hooters went from boom to bankruptcy—and what the reset looks like.
Bankruptcy Filed, Doors Stay Open
Hooters filed for Chapter 11 in the U.S. Bankruptcy Court for the Northern District of Texas. The company says locations will keep serving customers and operations continue as usual. The plan includes selling some company-owned stores to a franchise group backed by its founders. Hooters aims to emerge from bankruptcy in roughly 90 to 120 days.
Almost 42 Years To The Day
The filing landed one day before Hooters’ 42nd anniversary. The company was incorporated on April Fool’s Day in 1983. That timing underscores how long the brand has been a fixture. Four decades later, the next chapter begins under court protection.
Six Founders, Zero Restaurant Experience
Hooters started in Clearwater, Florida, with six businessmen who had never run a restaurant. Their origin story is tongue-in-cheek: build the hangout they wouldn’t get tossed from. The irreverence became part of the pitch from day one. It set a tone the brand would lean into for decades.
First Store: Clearwater, October 1983
The debut location opened on October 4, 1983. Florida became the launchpad for the look, menu, and game-day vibe. That single store proved the concept could draw a crowd. Expansion followed quickly.
“Delightfully Tacky” Became The Brand
Hooters branded itself as “Delightfully Tacky, Yet Unrefined.” The uniform—tight white tank tops and bright orange shorts—became instantly recognizable. Big screens, sports everywhere, and a playful tone rounded out the experience. The Hooters Girls were central to the brand’s identity.
Menu: Wings, Burgers, Big Sports Energy
The food lane stayed classic American: chicken wings, burgers, sandwiches, tacos, and even cakes. Cold beer and wall-to-wall sports set the scene. The formula blended comfort food with a viewing party. It was built for game nights and casual meet-ups.
420+ Restaurants, 42 States, 29 Countries
From one Florida spot, Hooters grew to more than 420 restaurants. The footprint spans 42 U.S. states and 29 countries. Growth mixed company-owned and franchised locations. The orange-and-owl brand went truly global.
Singapore Opened The World In 1996
Hooters’ first international store outside North America opened in Singapore in 1996—and it’s still operating. The brand later planted flags in Thailand, China, Brazil, and the United Kingdom, among others. International fans got the same sports-bar energy. The look and menu traveled well.
The Calendar Became A Tradition
Since 1986, Hooters has released an annual calendar featuring swimsuit models. It turned into a long-running piece of brand merch. The 2025 edition sold out on the company’s website. It was priced at $19.95.
Yes, There Was An Airline
In 2003, Hooters launched a low-cost carrier within the U.S. Two Hooters servers staffed each flight, leaning hard into the brand experience. Jets wore the owl logo and that unmistakable orange. The airline shut down in 2006 after a reported $40 million loss.
Pandemic Hit, Then Pent-Up Demand
Like the rest of the industry, Hooters absorbed a pandemic shock. After reopening in mid-2020, leadership said customers rushed back. The chain reported reversing declines and getting comps to flat. It was a stabilizing moment after a brutal stretch.
A Big Loan In 2022
In 2022, Hooters secured a five-year, $70 million loan. The money was for working capital and general corporate purposes. It signaled the need for breathing room. Debt, however, adds pressure when sales aren’t growing.
Profit Squeeze, Heavy Debt Service
The bankruptcy cites decreased profitability and substantial debt-service payments. That combo can choke cash flow even when stores are open. It’s a common trap for mature chains with uneven sales. Restructuring aims to reset those obligations.
$40 Million In Fresh DIP Cash
The plan includes $40 million in debtor-in-possession financing. That’s the lifeline to keep the lights on during the restructuring. Suppliers, payroll, and operations rely on it. It buys time to execute the turnaround.
Selling Stores Back To Founder Ties
Hooters plans to sell some company-owned locations to a franchise group backed by its founders. The move leans on operators who know the playbook. It also lightens the corporate load. The goal: a leaner structure with motivated local owners.
Casual Chains Are Under Fire
Hooters isn’t alone—Red Lobster, Bar Louie, and TGI Friday’s have also filed for bankruptcy in the past year. Costs are up, traffic is choppy, and debt is expensive. The casual segment is getting squeezed from all sides. Survival often requires a hard reset.
Chasing The Family-Friendly Lane Again
A founding-group executive said the brand struggled when it moved away from its family-friendly roots. In some regions, customers say they avoid Hooters because a spouse wouldn’t approve. The team wants to change that perception. Expect a push toward a more broadly comfortable dining pitch.
