Aug. 3, 2004, 11:37AM Austin-based Schlotzsky's files for bankruptcy Associated Press AUSTIN -- Schlotzsky's Inc., a delicatessen franchiser with more than 500 outlets in 36 states and six countries, filed for protection from its creditors under Chapter 11 of the federal bankruptcy laws today. Schlotzsky's said operations at its 513 shops would continue normally during the financial restructuring. It owns 21 shops itself while franchisees own the balance. Austin-based Schlotzsky's cut 20 percent of its corporate staff and closed 15 corporate-operated shops in July. The deli company reported a net loss of $11.7 million in 2003 versus a loss of $199,000 in 2002. It lost another $671,000 in the first quarter of 2004. "It became apparent to our board that this action was necessary to protect Schlotzsky's from millions of dollars in claims, judgments, and debts accumulated during the past few years, while enabling us to restructure the company," Sam Coats, Schlotzsky's president and CEO, said after the filing was made in U.S. Bankruptcy Court in San Antonio. "I believe the actions taken by the board took great courage and are clearly in the best interest of the company," Coats said. Chron
I went way out of my way the other day to go into a Schlotzsky's for lunch as I hadn't been there in years. I was really disappointed. Overpriced, not nearly as good as I recall, and the service was really slow for lunchtime. I remember thinking as I left, "well....that's my last time to ever go there."
Does anyone remember Zappo's when it was in Meyerland? That place kicked ass! Screw Schlotski's. Zero's has a similar sandwich in downtown that, tastewise, runs circles around their crappy sandwichs. Anyone who will miss Schlotski's: Go to Zero's. You won't miss Schlotski's anymore.
I like their bbq chicken pizza and their Salt and Vinegar Potato chips. I also like going into the only Schlotzky's in Manhattan(56th and 6th) knowing that I am in an Austin Texas based company. sandwiches i could pass on, bbq chicken pizza with jalapenos and onions, bring em on all day long
I love Schlotzky's original sandwich. I know the bread is piratically fried, but I got hooked on them as a kid round '83 and I still love them. I considered them to be a special treat back then. They were one of the first places to serve the salt 'n vinegar chips back when they were impossible to find. I love those too. I don't know if the quality of their food has gone down as much as others have gone up. I don't eat there much anymore due to price and fat content, but if they all close I will miss it.
I first ate at Schlotzsky's in '73 at dobie mall. They were friggin awesome then. I still crave them because of how good they used to be. I rarely find a sandwich at one now that even remotely compares to what they once were. I sent a couple of e-mails to their corporate office regarding the decline in their sandwiches, and never even got a response. crappy management: ruined an awesome product and lousy customer service
Filing chapter 11 doesn't mean you go away. Besides, Boston Market was bought out by... (this is funny)... McDonald's.
Like MR MEOWGI, I too, first got turned on to Schlotzsky's in the early 80's! They had a small location next door to an arcade in my hometown. My sister and I would go to the arcade and then we'd get a big ol sandwich (back then they were big) and take them home. There were just a handful of Schlotzsky's back then and it was all about the sandwich with the funny name. Good times, good times. Cohen's right... Maybe this bankruptcy can give them a chance to rethink their strategy and instead of going in the upscale, wine, coffee bar, wood floors, bakery, hearth oven route, they should concentrate on the sandwiches and customer service and start fresh. I would give them another chance.
I've never shied away, even with their mistakes. I can't explain exactly why the sandwiches used to be so much better, except that the onion flavor was much more pronounced (and the sandwiches were GIANT). The flavors complimented each other and the overall taste was VERY unique. Their sandwiches now are bland compared to those early ones. (It was strange waiting in line for 30 minutes just to order a fast-food sandwich!) Reminds me of the story of Olive Garden. They had a competition to pick their sauce. They rec'd many outstanding and unique entries, but went with the one that most people found 'acceptable'. yuck.
