Romano’s Macaroni Grill Closes Majority of Locations After Bankruptcy

The Italian restaurant chain, Romano’s Macaroni Grill, has closed a significant number of its locations following its recent bankruptcy filing. The chain, which has been in operation for 37 years, now has only 16 remaining restaurants after shuttering a location in Harrisburg, Pennsylvania, last week. Customers were informed of the closure through a notice on the restaurant’s door, which thanked patrons for “20 great years” of service.

Romano’s Macaroni Grill has completely exited the Pennsylvania market, leaving it with a limited presence across just nine states, including California, Colorado, Florida, Hawaii, Illinois, Nevada, Ohio, Texas, and Utah. This closure marks a continuation of a troubling trend for the chain, which has struggled financially in recent years.

Impact of Bankruptcy on Operations

Since filing for Chapter 11 bankruptcy in 2017, Romano’s Macaroni Grill has closed over 77 of its 93 locations throughout 25 states. In its bankruptcy report, the company cited approximately $23 million in secured debt and identified several issues contributing to its financial decline. These included falling sales, rising operational costs, and a broader industry downturn as consumers increasingly opted for “cheaper, faster alternatives.”

A company statement indicated that restructuring efforts were aimed at eliminating “legacy liabilities and obligations” from previous ownership. After successfully emerging from Chapter 11 in 2018, the chain was sold in March 2023 to RMG Acquisition Company. At that time, it operated 28 company-owned restaurants and 10 franchise locations. The current operational footprint has dramatically decreased to fewer than 20 locations.

Despite the chain’s website listing 16 open locations, local news reports and updates on platforms such as Google Maps suggest that some of these listings may no longer be accurate. According to information from The Street, the confirmed operational locations include:

– El Cerrito, California: 8000 El Cerrito Plaza
– Milpitas, California: 110 Ranch Dr.
– Temecula, California: 41221 Margarita Rd.
– Church Ranch, Colorado: 10411 Town Center Dr.
– Orlando International Airport, Florida: 9301 Jeff Fuqua Blvd
– Chicago O’Hare International Airport, Illinois: 10000 W O’Hare Ave
– Montrose, Ohio: 41 Springside Dr.
– McAllen, Texas: 3500 West Expressway 83
– South Jordan, Utah: 10622 S. Riverfront Parkway

Broader Industry Trends

The decline of Romano’s Macaroni Grill reflects a broader trend in the restaurant industry, where established brands are facing challenges in maintaining profitability. In a similar vein, the diner chain Denny’s has also been closing locations following its acquisition by a group of investors who plan to take the brand private.

As the restaurant landscape continues to evolve, the closure of these beloved dining establishments raises concerns about the future of casual dining in the face of mounting financial pressures. With significant debt and a shrinking market presence, Romano’s Macaroni Grill serves as a poignant example of the challenges that many traditional restaurant chains are currently navigating.

As the situation develops, industry watchers will be keen to see how the remaining locations adapt to the evolving dining preferences of consumers.