Bankruptcy close for Quiznos after Subway smackdown

|By:, SA News Editor

Quiznos is moving closer to filing for bankruptcy, according to the WSJ.

Many Quiznos franchisees are reported monthly losses and are looking for an exit.

A Chapter 11 filing would give the restaurant chain the ability to rework some of its more restrictive leases and contracts.

The Quiznos quandary: The rise of Subway has severely thwarted the growth track of Quiznos, while emerging chains such as Potbelly (PBPB) and Jimmy John's have also set it back. Analysts see even a post-bankruptcy turnaround as difficult with the brand set back.