Chuck E. Cheese’s parent company, CEC Entertainment, filed for bankruptcy Thursday, blaming the financial strain caused by Covid-19 and the prolonged closures of its entertainment centers from stay-at-home orders issued across the United States.
CEC, which also owns Peter Piper Pizza, said it will use Chapter 11 protection to “achieve a comprehensive balance sheet restructuring that supports its re-opening and longer-term strategic plans.”
The company expects to operate normally, which includes the reopening of its Chuck E. Cheese locations. So far, nearly half of Chuck E. Cheese’s 555 locations have reopened, with plans to reopen more locations weekly. Unlike other bankrupt brands, it didn’t immediately announce store closures.