### Jack in the Box Faces Major Restructuring: Up to 200 Locations to Close Amid Financial Struggles Jack in the Box, a prominent fast-food chain based in San Diego, is undergoing significant restructuring due to declining sales and changing consumer spending habits. The company has announced plans to close between 150 and 200 underperforming locations across the United States as part of its "JACK on Track" initiative aimed at improving operational efficiency and financial performance. Additionally, Jack in the Box is considering selling its Del Taco brand, which it acquired in 2022, as part of its strategy to reduce debt and enhance growth prospects in a challenging market environment [https://abc7.com/post/jack-box-close-200-underperforming-locations-may-sell-del-taco/16279460][https://www.latimes.com/business/story/2025-04-24/california-based-fast-food-chain-jack-in-the-box-to-close-more-than-150-locations]. ### Overview of Jack in the Box's Restructuring Strategy 1. **Closure of Locations**: - Jack in the Box plans to close **150 to 200** locations, primarily targeting underperforming stores [https://www.independent.co.uk/life-style/jack-in-the-box-location-closure-list-b2739669.html]. - The closures are expected to occur over the next few years, with **80 to 120** of these closures happening by the end of 2025 [https://www.delish.com/food-news/a64592564/jack-in-the-box-is-closing-200-restaurants]. 2. **Financial Performance**: - The company has reported consecutive losses over the last three quarters, with a **4.4% decline** in same-store sales in Q2 2025 [https://www.fastcompany.com/91322804/jack-in-the-box-del-taco-closing-restaurants-locations-list-2025]. - This financial downturn has prompted the need for a restructuring plan to stabilize operations and improve profitability [https://www.washingtonexaminer.com/news/business/3390429/jack-in-the-box-closing-200-locations]. 3. **Potential Sale of Del Taco**: - Alongside the closures, Jack in the Box is exploring the sale of its Del Taco brand, which could further streamline its operations and focus on core offerings [https://www.nbcsandiego.com/news/local/san-diego-based-jack-in-the-box-closures/3811371/?os=io..refapp]. - The decision to sell Del Taco is part of a broader strategy to reduce debt and enhance growth potential in a competitive fast-food market [https://www.wtae.com/article/jack-in-the-box-closes-locations-del-taco-sale/64579567]. ### Supporting Data and Financial Context - **Location Statistics**: - Jack in the Box currently operates approximately **2,200 restaurants** across **22 states** [https://www.independent.co.uk/life-style/jack-in-the-box-location-closure-list-b2739669.html]. - The planned closures represent about **10%** of its total locations [https://www.washingtonexaminer.com/news/business/3390429/jack-in-the-box-closing-200-locations]. - **Sales Performance**: - The reported **4.4% decline** in same-store sales indicates a significant drop in customer spending, which has been a critical factor in the decision to restructure [https://www.fastcompany.com/91322804/jack-in-the-box-del-taco-closing-restaurants-locations-list-2025]. ### Conclusion: Strategic Moves Amidst Financial Challenges In summary, Jack in the Box is taking decisive steps to address its financial challenges through a comprehensive restructuring plan that includes the closure of up to **200 locations** and the potential sale of Del Taco. The company's efforts are aimed at stabilizing its operations and improving profitability in a rapidly changing fast-food landscape. 1. **Closure of 150-200 locations** to enhance operational efficiency. 2. **Exploration of Del Taco sale** to reduce debt and refocus on core business. 3. **Response to declining sales** with a strategic initiative called "JACK on Track." These actions reflect the company's commitment to navigating current market challenges while positioning itself for future growth [https://abc7.com/post/jack-box-close-200-underperforming-locations-may-sell-del-taco/16279460][https://www.latimes.com/business/story/2025-04-24/california-based-fast-food-chain-jack-in-the-box-to-close-more-than-150-locations].