Popular Shropshire pubs look safe as group restructures
The operator of some of Shropshire's most popular pubs and restaurants has admitted it is to close eight more sites around the country after racking up a £40 million loss last year.
The Restaurant Group owns the Frankie and Benny's and Chiquito restaurant brands plus the Brunning & Price pub chain, including The Armoury in Shrewsbury, The Fox at Chetwynd Aston and The Woodbridge at Coalport.
It is likely that the well-known Shropshire eateries will be among those which are safe from the restructuring as chief executive Andy McCue said the company wants to continue growing its pubs arm.
The company said it would "optimise its menus and invest in marketing" to further add to demand for its pubs, which have a "loyal and increasing customer base who rate the offering highly".
The group experienced a "challenging" year during 2016, and while total revenue grew by 3.7 per cent to £710.7 million thanks to the expansion of the chain, sales fell by 3.9 per cent for pubs that have been open for more than a year.
In August, the firm, which is also behind Garfunkel's, said it would shut 33 under-performing sites as part of a strategic review in a move that affected around 1,000 staff. The group will now close an additional eight restaurants this year, with around 80 jobs set to go.
Chief executive Andy McCue said: "Having completed the strategic reviews of our brands, we are now pursuing a new and focused plan to turnaround and grow the business."
"There is much to change in our leisure businesses to provide customers with better value and an improved experience while, at the same time, ensuring we continue to grow our pubs and concessions businesses.
"It will take time to effect the scale of change required and for customers to respond but I'm proud of how our colleagues are rising to the challenge."
In January the company admitted it has lost value-conscious customers at Frankie & Benny's after significant price hikes and the firm pledged to "look at the pricing architecture of the menu" and "reinvigorate the value offer" in a bid to attract more families to its outlets.
Investors warmed to Mr McCue's comments, sending shares up over nine per cent in morning trading.
