Mexican food chain in US forced to file for bankruptcy
The leading Mexican restaurant chain in the US has admitted defeat after a slow retailing year and has filed for bankruptcy.
El Torito, Chevys Fresh Mex and Acapulco Mexican Restaurant chains are up for sale after the company lost hope on Tuesday (October 4th), Reuters reports.
Real Mex Restaurants said it was suffering from a sluggish economy, high lease and debt obligations and sharp increases in food costs.
Other food chains in the country have reported financial struggles due to a lack of demand and the rising prices of supplies caused through the recession.
El Torito restaurant, one of the chains in the group, opened in 1954 in Encino, California.
The company told a court hearing that it was down $1 million (£600,000) in cash.
However, a recent opinion poll of chefs and entrepreneurs conducted by ABC News showed that Mexican restaurants are amongst the most popular choices for those eating out.
