Twenty years after bankruptcy and an outbreak of food poisoning forced the closure of all its locations, a popular Mexican restaurant is making a comeback.
Hormel Foods, which owns the trademark, struck a deal to bring Chi-Chi’s back after all stores closed in 2004.
Michael McDermott, son of Chi-Chi’s founder, said in a press release that he wanted to honor his family’s legacy by combining a traditional Mexican restaurant with modern influences.
The Chi-Chi’s brand was founded in the 1970s by former Green Bay Packers players Marno McDermott and Max McGee. Restaurant Business explains that the brand and its 200-plus locations will change ownership several times over the next few decades.
In late 2003, the brand filed for Chapter 11 bankruptcy. A short time later, a hepatitis A case reported in the Pittsburgh area was traced to green onions served at a Chi-Chi’s shopping mall near Monaca, Pennsylvania, according to Restaurant Business.
In all, 660 people became ill in the outbreak. According to NBC, four people died. Approximately half of those who became ill sought compensation from the company.
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In 2004, Chi-Chi’s officially closed. Hormel Foods purchased the trademark and manufactures Mexican food products under that brand.
Tuesday’s press release did not provide any additional information about exactly when or where Chi Chi’s restaurant will open in 2025.
McDermott built a career in the restaurant industry with brands like Kona Grill and Rojo Mexican Grill.
“I still have fond memories of growing up at the CHI-CHI’S™ restaurant that my father spent his life building and instilling in me the passion and determination to pursue my own career in the restaurant industry. ” says current founder Mr. McDermott. CHI-CHI’S™ Restaurants, LLC, a new company established to revitalize restaurants.
Hormel and McDermott’s collaboration is sure to excite fans of ’80s and ’90s Mexican food.
As Georgie once said on the hit TV show “Young Sheldon,” “It’s like an upscale Taco Bell.”
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