KFC Files for Bankruptcy, Shuttering All Turkish Locations
The bankruptcy of Iş Gıda, KFC and Pizza Hut’s Turkish franchisee, resulted in the closure of all 537 restaurants, impacting over 7,000 employees and significantly impacting Turkey’s economy. Yum! Brands terminated its agreement with Iş Gıda due to non-compliance, leaving Iş Gıda with substantial debt and sparking widespread protests over unpaid wages. The Turkish court granted a three-month reprieve for debt restructuring, but Yum! Brands has yet to announce future plans for the Turkish market, leaving the future of these brands and the livelihoods of thousands uncertain. The situation exacerbates existing economic challenges and raises concerns about foreign investment in Turkey.
John Q. Hosedrinker