Schlotzsky's - Wikipedia

American restaurant franchise chain Schlotzsky's

"The Original", Schlotzsky's signature sandwich
Company type	Subsidiary
Industry	Restaurants
Genre	Fast food
Founded	1971; 54 years ago (1971) in Austin, Texas, U.S.
Founders	Don and Dolores Dissman
Headquarters	200 Glenridge Point Parkway, Suite 200, Atlanta, Georgia, U.S.
Number of locations	310+
Area served	United States
Key people	William Armstrong (president)Megan Thomas (VPM)Randy Hayworth (VPO)
Products	Sandwiches, pizzas, salads, calzones, soups
Parent	GoTo Foods
Website	schlotzskys.com

Schlotzsky's is an American franchise chain of restaurants, specializing in sandwiches and pizza. The company is headquartered in Atlanta, Georgia. Schlotzsky's has over 310 franchised and company-owned locations throughout the United States.[1] Most locations are in the south and southwestern United States, but the company is expanding into areas across the country, particularly the north and southeast.[2]

On November 21, 2006, Schlotzsky's was acquired by Focus Brands,[3] which on February 21, 2024, rebranded to GoTo Foods.[4]

History

[edit]

In 1971, Don and Dolores Dissman founded the company in a "small, hole-in-the-wall shop" in Austin, Texas, on South Congress.[5] The initial menu consisted of one sandwich, called "The Original," consisting of mixed meats, cheeses and black olives on a freshly made, toasted bun."[6] It was based on the muffuletta sandwich.[5] In 1981, the company had 100 franchise stores when real estate investors, John and Jeff Wooley and Gary Bradley, purchased the company for less than $3 million. Bradley split with the Wooleys in 1982, with Bradley taking the real estate business while the Wooleys kept the chain.

The Wooleys expanded Schlotzsky's menu to include specialty pizzas, toasted wraps, salads, soups, and other items.[7] The Wooleys also took the company public on 15 December 1995, trading as BUNZ on NASDAQ.[8]

The chain peaked in 2001 with 759 stores and over $400 million in sales,[9] when same-store sales began to plateau. 2003 saw the company posting an $11.7 million loss; as a result, the Schlotzsky's board of directors relieved the Wooley brothers of day-to-day management on 17 June 2004 and named Sam Coats as the new chief executive officer of the company.[10] The Wooleys eventually resigned from the board in July 2004.[11]

On August 3, 2004, Schlotzsky's filed for voluntary Chapter 11 protection in U.S. Bankruptcy Court in San Antonio, Texas, reporting liabilities of approximately $71.3 million and assets of approximately $111.7 million.[12]

The company ceased public trading when Bobby Cox Companies acquired Schlotzsky's assets out of bankruptcy.[13] Under new ownership and management, Schlotzsky's spent two years strengthening its franchise operations and restructuring the brand.[14][15] The new owner operated the business under the corporate entity Schlotzsky's, Ltd., and began streamlining the menu.[16] Schlotzsky's strengthened franchise operations and licensed new franchisees in Texas and other states. The company also planned to open several new corporate-owned stores.[17]

On 21 November 2006, Schlotzsky's was acquired by Focus Brands, an affiliate of private equity firm Roark Capital Group, parent company of Moe's Southwest Grill, Carvel, Cinnabon and Auntie Anne's.[18] The following year, the company named Kelly Roddy as president, who joined Schlotzsky's from H-E-B Grocery Company.[19] With Kelly on board, Schlotzsky's planned for growth and a system-wide reimage,[20] which included updated restaurants, improved menus,[21] table service, and the addition of Cinnabon.[22] The company remodeled locations across the country with a "Lotz Better" look, which included bright, bold colors, circle-themed furniture and decor and playful slogans.[23]

Slogan

[edit]

The current slogan is "It's a mouthful", launched in 2021. Former slogans include "All 'Round, Lotz Better", "Lotz Better", "Every Bite Lotz Better", "Funny name. Serious sandwich", "No substituteskys", and "Just one sandwich, it's that good."

See also

[edit]

• List of submarine sandwich restaurants

References

[edit]

1. ^ "Schlotzsky's opening 5 stores in Detroit". Sep 25, 2024.
2. ^ "Schlotzsky's Growth Skyrockets". QSR Magazine. 27 June 2011.
3. ^ "GoTo Foods Acquires Schlotzsky s | Mergr M&A Deal Summary". mergr.com. Retrieved 2025-12-20.
4. ^ Richardson, Alyssa (2024-02-21). "Introducing GoTo Foods: Focus Brands® Unveils New Name and Identity". GoTo Foods. Retrieved 2025-12-20.
5. ^ a b Smith, Amy (8 October 2004). "Original History". Austin Chronicle. Retrieved 15 October 2008.
6. ^ "Our Rise to the Top" (Press release). Schlotzsky's. Retrieved 26 October 2005.
7. ^ "Can Schlotzsky's Be Saved?". Austin Chronicle. 8 October 2004.
8. ^ "The Life of a Sandwich". Austin Chronicle. 8 October 2004.
9. ^ "Schlotzsky's new owners want to simplify". Austin American-Statesman. 11 January 2005. Archived from the original on 29 September 2007.
10. ^ "Schlotzsky's board fires Wooley brothers". Austin American-Statesman. 17 June 2004.
11. ^ "The Beard Gambit". Austin Chronicle. 8 October 2004.
12. ^ "Schlotzsky's Files for Bankruptcy". qsrmagazine.com. QSR. 3 August 2004. Retrieved 26 April 2018.
13. ^ "Cox Closes Sale of Schlotzsky's". Dallas Business Journal. 10 January 2005.
14. ^ "Fort Worth company buys Schlotzsky's". Austin American-Statesman. 9 December 2004.
15. ^ "Schlotzsky's next move". Austin Business Journal. 23 September 2005.
16. ^ "Schlotzsky's new owners want to simplify". Austin American-Statesman. 11 January 2005.
17. ^ "Restaurant chains bounce back from bankruptcy". Houston Business Journal. 9 December 2005.
18. ^ "Focus Brands buying Schlotzsky's". Austin Business Journal. 20 November 2006.
19. ^ "Schlotzsky's Names Kelly Roddy President". QSR Magazine. 10 December 2007.
20. ^ "Schlotzsky's gears up for a comeback". Austin Business Journal. 4 April 2010.
21. ^ "Schlotzsky's adds healthier fare to menu". Austin Business Journal. 18 August 2010.
22. ^ "Schlotzsky's to co-brand with Cinnabon". Fast Casual Magazine. 25 March 2010.
23. ^ "Schlotzsky's goes all in with Cinnabon, new look". QSR Magazine. 23 March 2010.

External links

[edit]

• Official website

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