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Johnson City Perkins to close Jan. 19 due to rising operating costs

David Floyd • Jan 8, 2020 at 11:36 AM

The Perkins Restaurant and Bakery in Johnson City, 2608 N. Roan St., will close on Jan. 19 because of rising costs.

Northcott Hospitality, the franchise group that independently owns and operates the restaurant in Johnson City, said in a statement Tuesday afternoon that increases in operating costs made it “untenable” for the Perkins in Johnson City to remain open.

“We are very grateful to have served the Johnson City community for 43 years and appreciate our customers’ continued loyalty,” the company said. “We plan to continue to be a gathering spot at our other 21 open Perkins locations, including in nearby Bristol, Virginia and Kingsport, Tennessee, which will remain open.”

The company said the 28 impacted employees were given two weeks notice and offered severance or the option to transfer to any of Northcott Hospitality’s other Perkins locations, including Bristol and Kingsport. 

There are still two other Perkins locations in the area: One in Kingsport at 4618 Fort Henry Dr. and another in Bristol, Virginia at 102 Bristol East Road.

“We know that Perkins plays a special role in the community and in our loyal guests’ lives,” the company said in a statement. “We are making certain that our other locations maintain their pledge to be an ally to the towns, neighborhoods, families and individuals that we serve. We thank them for many years of loyalty.”

Perkins was founded in 1958 and consists of 342 restaurants in 32 states and Canada. Of those restaurants, 101 are company owned and operated while 241 are franchised. The restaurant and bakery combined with Marie Callender’s in 2006.

Perkins & Marie Callender’s, Perkin’s former parent company, announced in early August last year that it would voluntary start Chapter 11 bankruptcy proceedings. As part of that process, the company closed 10 underperforming Perkins locations and 19 Marie Callender’s on Aug. 4.

In September, according to Nation’s Restaurant News, Huddle House Inc. announced it would purchase 342 Perkins Restaurant & Bakery locations.

According to a press release issued by Huddle House in September, combining Huddle House and Perkins resulted in more than 700 open or under development locations between the two brands, generating more than $800 million in sales.

Full statement from Northcott Hospitality:

Perkins Restaurant and Bakery has a close relationship with our loyal guests in Johnson City and the surrounding area, and we have cherished our opportunity to serve the community.

We recently made the difficult decision to close Perkins in Johnson City on Jan. 19 as a result of increasing operating costs that made it untenable to remain open.

We are very grateful to have served the Johnson City community for 43 years and appreciate our customers’ continued loyalty. We plan to continue to be a gathering spot at our other 21 open Perkins locations, including in nearby Bristol, VA and Kingsport, TN, which will remain open.

All 28 impacted employees were given two weeks notice and offered severance or the option to transfer to any of Northcott Hospitality LLC’s other open Perkins locations, including Bristol and Kingsport.

We are so thankful for the dedicated service of our Perkins team members in Johnson City, some of whom have been with us for a very long time and we truly appreciate their years of service.

We know that Perkins plays a special role in the community and in our loyal guests’ lives. We are making certain that our other locations maintain their pledge to be an ally to the towns, neighborhoods, families and individuals that we serve. We thank them for many years of loyalty.

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