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California Pizza Kitchen Files for Bankruptcy Caused by Coronavirus Shutdowns

The chain restaurant’s revenues have fallen 40 percent year-over-year because of shutdowns related to COVID-19.

The California Pizza Kitchen restaurant group filed for Chapter 11 bankruptcy Thursday after disclosing its revenues had fallen by 40 percent year-over-year, the latest dining company hobbled by the ongoing coronavirus pandemic. “The unprecedented impact of Covid-19 on our operations certainly created additional challenges, but this agreement from our lenders demonstrates their commitment to CPK’s viability as an ongoing business,” CEO Jim Hyatt said in a statement. The shuttering of indoor dining has devastated the company, which relies on on-site dining for 80 percent of its sales. The chain reportedly hasn’t paid rent on a majority of its 200 locations in recent months.