News

Poor sales force Long John Silver’s franchisee to close 16 stores

June 12, 2014

One Long John Silver’s franchisee suffered enough reputational damage from last year’s anti-transfat campaign that it is closing 16 of its 31 locations. According to the Times-Republican, the franchisee, Urbandale, Iowa-based Nellis Management Company, said the locations are being closed because of “poor sales.”

Richard Levitt, chairman of the board of Nellis, told the publication that the poor performance stems from last year’s negative publicity regarding the company’s use of transfat(see full story here).

The chain has since transitioned away from transfat oils in its cooking techniques. 

The 16 stores are located in multiple states and are the lowest-performing in sales in the franchisee's portfolio.