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Chuck E. Cheese files of bankruptcy protection as pandemic closings continue

Chuck E. Cheese and Peter Pipes Pizza files for protection

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This Jan. 16, 2014 file photo shows paintings hanging on a wall at Chuck E. Cheese’s in Dallas. Chuck E. Cheese pizzeria, that Mecca of fun for children but the bane of many parents, is filing for bankruptcy protection.

This Jan. 16, 2014 file photo shows paintings hanging on a wall at Chuck E. Cheese’s in Dallas. Chuck E. Cheese pizzeria, that Mecca of fun for children but the bane of many parents, is filing for bankruptcy protection.

Associated Press

CEC Entertainment — the parent company of Chuck E. Cheese — filed for Chapter 11 bankruptcy protection Wednesday after the coronavirus pandemic forced the company to close locations across the country, USA Today reports.

What’s the news:

  • CEC Entertainment — which owns Peter Piper Pizza, too — said it wants to use the Chapter 11 protection to help the company cut some of its debt and negotiate new deals with landlords, according to USA Today.
  • The company hopes to emerge stronger than before the pandemic so it can continue to create places “where a kid can be a kid.”
  • CEC David McKillips said the COVID-19 pandemic has been “the most challenging event in our company’s history.”
  • He said the company hopes to “get back to the business of delivering memories, entertainment and pizzas for another 40 years and beyond.”

Will someone buy it?

  • According to The Wall Street Journal, there are some potential buyers looking at CEC Entertainment since it has struggled to keep up success amid the pandemic. The company announced a merger with an acquisition company in 2019 but the deal fell through.
  • Per CNBC, CEC Entertainment joins Hertz, J.Crew, Neiman Marcus and J.C. Penney as companies impacted by the pandemic.