Chi-Chi’s, the cherished Mexican restaurant chain, is making a significant return. This week, the company announced plans to open new locations next year. These will be the first new restaurants since Chi-Chi’s faced bankruptcy protection back in 2003.
Michael McDermott, the son of Chi-Chi’s founder, has reached an agreement with Hormel Foods, the current owner of the Chi-Chi’s trademark. Hormel, headquartered in Austin, Minnesota, is also responsible for producing the popular Chi-Chi’s chips and salsas.
In a recent statement, Hormel highlighted the strong brand identity of Chi-Chi’s, calling it one of the best-loved names in Mexican cuisine. The company expressed enthusiasm for revitalizing the brand through new restaurant locations.
While McDermott did not reveal the exact number of locations or their specific sites, he mentioned that the new Chi-Chi’s will feature a fresh take on the beloved classic. He shared his belief that Chi-Chi’s has a significant role in many families’ dining experiences across the nation and sees a great opportunity to bring the brand back to appeal to today’s consumers.
Chi-Chi’s began its journey in 1975, founded by Marno McDermott and former Green Bay Packers player Max McGee. The restaurant flourished throughout the 1990s, boasting over 200 locations across the country. However, by 2003, it faced numerous challenges, including a series of ownership changes and heightened competition, leading to bankruptcy.
The chain’s troubles were exacerbated by a hepatitis A outbreak in one of its Pennsylvania locations around the time of its bankruptcy. The outbreak was linked to green onions used in various dishes, resulting in four tragic deaths and numerous illnesses.
The last Chi-Chi’s restaurant closed in 2004, leaving a gap in the market for a brand that once held a beloved place in American dining. With McDermott’s new vision and Hormel backing the brand, food lovers may soon have the chance to enjoy Chi-Chi’s food once again.