The operator of five KFC restaurants in Wisconsin is ceasing operations in the state, according to a WARN notice sent to the Department of Workforce Development.
Irving, Texas-based
EYM Chicken is a multi-unit KFC franchise company that operates in Wisconsin, Illinois and Indiana.
The company plans to close these KFC restaurant locations in Wisconsin:
- 2425 Milton Ave., Janesville
- 2735 Prairie Ave., Beloit
- 1324 Nygaard St., Stoughton
- 1733 E. Main St., Reedsburg
- 605 S. Church St., Watertown
The restaurant closures will result in 81 employees losing their jobs, including: six in Janesville, 15 in Beloit, 12 in Stoughton, 19 in Reedsburg and 16 in Watertown.
“EYM Chicken of Wisconsin will permanently cease operations in Wisconsin due to (an) unforeseen business circumstance and not being able to reach a resolution with KFC,” according to the WARN notice. “Because of the above, EYM started closing restaurants starting Friday, Aug. 16 and we expect to close all locations on or about Aug. 31.”
KFC had a total of 63 franchise locations in Wisconsin at the start of 2023 and ended the year with 54 locations, according to the corporation’s franchise disclosure document.
"KFC franchisee, EYM Chicken, has closed KFC locations they own in Illinois, Indiana and Wisconsin," KFC’s parent company, Louisville, Kentucky-based
Yum! Brands, said in a statement issued Friday. "The decision to close a restaurant is always difficult for both the franchisee and the brand. All other KFC locations in these states remain open to our guests."
Yum! Brands reported second quarter sales growth of 3% across all of its restaurants. Yum! Brands also owns Pizza Hut and Taco Bell. KFC specifically saw 2% sales growth globally.
“I’m incredibly pleased with how well our teams have managed through a challenging operating environment to deliver a 10% increase in core operating profit," said
David Gibbs, CEO of Yum! Brands, during the company's second quarter earnings announcement. "Our twin growth engines of Taco Bell U.S. and KFC International combined delivered 5% system sales growth led by 8% unit growth."
