The no. 3 burger sequence has posted six direct quarters of falling sales. Now one of its biggest operators is emotion the heat.
One of Wendy’s biggest franchisees fair went bankrupt, and Wendy’s wants its prosperity back. Meritage Hospitality Group, which operates 314 Wendy’s restaurants throughout 15 states, submitted for Chapter 11 bankruptcy delayed final week, CNBC reports. Quality Is Our Recipe LLC, Wendy’s franchise business, is listed as Meritage’s top unsecured creditor. It’s due $24.9 myriad in deferred franchise fees.
The filing comes following a brutal extend for the burger chain. Wendy’s has reported same-store revenue declines for six direct quarters, and its inventory has misplaced two-thirds of its value complete the former three years. At an capitalist gathering in June, Meritage CEO Bob Schermer Jr. stated store-level earnings had plummeted 48% in 2025, blaming rising beef expenses and heavier discounting.
“Because the significant bulk of Meritage’s eatery portfolio operates under Wendy’s brand, those system-wide pressures have had a important effect on the Company’s financial position,” Meritage stated in a statement.
Meritage estimated its resources and liabilities all autumn between $10 myriad and $50 million. The business plans to keep its restaurants operating through the restructuring process, alongside alongside its one Bojangles and five independently tagged locations.
