Oprah-backed True Food Kitchen files for bankruptcy, closes 3 California restaurants
Published in Business News
LOS ANGELES — The health-focused restaurant chain True Food Kitchen has shut down three locations in Southern California after filing for Chapter 11 bankruptcy over the weekend.
The closures are among nine others across the country that served customers for the last time on Sunday.
Backed by Oprah Winfrey, True Food Kitchen says it serves nutrient-dense meals including pasta, salads and chicken dishes with thoughtfully sourced ingredients.
It was founded in Phoenix in 2008 by restaurateur Sam Fox and physician Andrew Weil.
The three locations closed in Southern California were at the Westfield mall in Century City; The Point, an outdoor shopping center in El Segundo; and at the Westfield UTC mall in San Diego.
The chain has five other locations in California, including in Pasadena and Newport Beach. It operates a total of 34 restaurants across 14 states.
The company announced its bankruptcy filing on Monday and said it would pursue a court-supervised sale process.
"We are committed to approaching this difficult moment with care and respect," Chief Executive Jeff Chandler said in a statement. "This process is the best path forward to simplify the business and focus on what we do best."
True Food Kitchen has also filed first-day motions seeking court approval to continue operations during the bankruptcy process, including paying employee wages and benefits.
The company said its remaining restaurants will continue serving customers, but legal filings show that it owes rent at multiple locations. True Food Kitchen owes more than $77,000 in rent to Fashion Island in Newport Beach, according to bankruptcy filings. It also has about $42 million in debt.
Before the latest closures, True Food Kitchen had expanded from 20 locations in 2017 to 46 across the United States. Oprah Winfrey joined the board in 2018. She is no longer on the board but remains a minority investor, according to Business Insider.
Last month, the popular Southern California brunch chain Marmalade Cafe filed for Chapter 11 bankruptcy and said it owned more than $1 million.
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