Planet HollywoodFrom staff and wire reports
closes Maui outlet
Planet Hollywood International Inc.has closed nine of its 32 U.S. restaurants, including the one opened in Lahaina in 1994, and filed for Chapter 11 bankruptcy today.
The company last week said it has agreed to sell another of its Hawaii restaurants, the Official All Star Cafe in Waikiki, to an investment group headed by Honu Group Inc., developers of the nearby King Kalakaua Plaza. The price was not disclosed.
That leaves the Orlando, Fla.-based company with one Hawaii restaurant, the Planet Hollywood in Waikiki, which opened in August 1995.
The company said there may still be a couple of additional closings or franchise conversions.
"Today is the first step in our plan to position Planet Hollywood for a return to long-term profitability and healthy growth," Robert Earl, chairman and chief executive officer, said in a statement issued by the company last night. The restructuring plan calls for upgrading a number of facilities and menus, Earl said.
In U.S. Bankruptcy Court in Wilmington, Del., the company listed $392.1 million in assets and $359.1 million in debts. The company had prenegotiated tentative agreements with holders of more than $160 million in senior subordinated notes for the restructuring, Planet Hollywood said.
In addition to the Maui outlet, Planet Hollywood restaurants closed yesterday were in Chicago; Costa Mesa, Calif.; Fort Lauderdale, Fla.; Gurnee, Ill.; Houston; Indianapolis; Miami and Phoenix.
Former president William Baumhauer resigned in June and co-founder Keith Barish, who started the venture with Earl and actors Sylvester Stallone, Demi Moore, Arnold Schwarzenegger and Bruce Willis, resigned from the board in March.
Honu Group said the All Star Cafe in Waikiki will be managed by Entertainment One Pacific, owner of the Ocean Club in Restaurant Row and the Big Island Steakhouse at Aloha Tower Marketplace. Its purchase from Planet Hollywood is expected to close Saturday.