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Pizza Hut's largest U.S. franchisee files for Chapter 11 bankruptcy

MULTIZ321

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Thx Richard.
Pizza Hut used to be the only game in town, but now there's so much competition, and many are very good.
So I'm not at all surprised to hear about Pizza Hut.
We like Marco's locally for a quick delivery, and there are several family-owned Italian restaurants who have take out,
and those are extremely good....fresh ingredients and perfectly done.
 

pedro47

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Excellent way to balance your books and to eliminate some unprofitable franchisees . IMHO.
 

am1

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Not the best or the cheapest. I am not a fan of going to a sit down place for pizza. If I would it would not be to Pizza but but a local spot.

Pizza is very cheap and easy to make (at least on a large scale).

I am surprised that Boston Pizza does as well as they do as the prices are quite high. I guess JIm knows what he is doing. I also do not get the use of Boston in the name. And for that Im out.
 

dayooper

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We haven’t had Pizza Hut in years. It used to be such a treat but they changed their crust recipe and we haven’t been back since. Maybe they have changed back, but with so many other great options to choose from so why go back?

We have several smaller franchises around us that make great pizza. Guido’s and Cottage Inn make excellent pizza respective of their styles.
 

pedro47

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I agree dayooper, there crust now is totally difference liked card board paper.:eek::poop:
 

Brett

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it's been years since I've eaten at Pizza Hut
there are better pizza options :)
 

LannyPC

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I am surprised that Boston Pizza does as well as they do as the prices are quite high. I guess JIm knows what he is doing.

It could be because BP sells a lot of other dishes. If it were just pizza, it probably would not do as well.
 

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The Fed has been flooding the public markets with money but they cannot do much for the private companies.
 

controller1

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Not the best or the cheapest. I am not a fan of going to a sit down place for pizza. If I would it would not be to Pizza but but a local spot.

We have at least a half dozen Pizza Huts in our town and I don't believe any of them offer dine-in service (and not due to the pandemic). They're all take out or delivery only.
 

T_R_Oglodyte

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There may be some pandemic-related winnowing of the herd going on.

++++++++++++++

What I'm hearing from my food service processing clients is that companies that sell to retail outlets are seeing little to no effect - some have increasing sales. Those are the brand name companies, especially those that provide foods that can be stored (canned, frozen, aseptically packaged). "Comfort foods" are also doing well.

The food service industry is getting bombed, except in a few sectors. The food service sector that is doing fine is sales to restaurants and fast food chains for which take-out has generally been the biggest part of their business (think KFC and Taco Bell), where the in-store seating is minimal. Whereas operations, even fast food, that relied more on in-store are doing poorly, and that is traveling up the supply chain. I know of companies that are simultaneously shutting down some production lines where sales have collapsed, while doing everything they can to expand production on lines where demand is soaring.

Surprisingly, this seems to be a good time to be a producer of Tater Tots and similar products, as compared with French fries. (Tater Tots is a registered trademark of Kraft Heinz, so if you see "Tater Tots" on a package that's a Kraft Heinz product. But there are several companies that provide competing products, that are equal to or better than real "Tater Tots".)

++++++++++++++

That's background for my main point. Although I have little involvement in the pizza end of the market, I would guess that operations that have built their business on pizza-to-go, especially the take-and-bake operations, are probably doing well, as are the operations that focused heavily on delivery. But operations that relied more on in-store sales and consumption are doing worse,

And if Pizza Hut was the most tenuous of those operations, it's not surprising they might the operation getting thinned.

+++++++++++++

Personally, 50+ years ago when I was in high school, Pizza Hut was one of the places we would go to occasionally on the weekend. I don't think I've been to Pizza Hut more than two or three times since. In the 1980s when Chucky Cheese was the place where children of a certain age wanted to go, I remember thinking that if I wanted to eat mediocre pizza, we could go to Pizza Hut and get better pizza for less money. Which was a lesson that success too often has more to do with marketing and sales than with quality and execution.
 
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