Out of a restaurant's bankruptcy, came an unexpected gift

Posted to: Business

Download free Flash player to view videos:
Get Adobe Flash Player
Video: A restaurant's loss, Foodbank's gain.
JIm Washington | The Virginian-Pilot


Employees from Foodbank of the Virginia Peninsula collected an estimated 50,000 pounds of food from Steak & Ale in Hampton. (Jim Washington | The Virginian-Pilot)



HAMPTON

The silverware wrapped in black napkins still sat on the tables Tuesday at the darkened Steak & Ale restaurant. Flowers decorated the restrooms and half-empty liquor bottles lined the bar.

In the kitchen, thousands of pounds of meat, dairy, produce and other food stuffed the freezers.

The S&A Restaurant group, the company that owns Steak & Ale and Bennigan's, filed for Chapter 7 bankruptcy last week - one day after Steak & Ale on Coliseum Drive received a truckload of food.

The events led to a decision to donate its usable food to Foodbank of the Virginia Peninsula. On Tuesday morning, Foodbank employees loaded an estimated 50,000 pounds of food onto a refrigerated truck.

"We were shocked to get the call," said Loretta Jones, Foodbank's chief development officer.

She watched as Foodbank employees stacked containers of steaks, cheese, potatoes, green peppers, asparagus, onions, tomatoes, carrots, celery and other vegetables onto hand carts and wheeled them out to the truck.

The food, which would have cost about $100,000, would provide about a week of meals for children, senior citizens and the homeless, Jones said. The windfall was especially welcome at this time of year, when donations are typically slower, she said.

"So many people are going to benefit from this," Jones said.

The donation idea came from the corporate office of Peninsula Town Center, which is taking control of the Steak & Ale and the Bennigan's properties in Hampton.

"We're really excited to be giving back to some needy Peninsula residents and try to make lemonade out of the lemons we were dealt last week," she said.

The Foodbank loaded up all the lemons, limes, salt and pepper, bottles of ketchup, Grey Poupon mustard,

A.1. steak sauce and everything else they could, down to the forks, knives and plates.

"It's bad for them, but great for the community," Jones said.

Jim Washington, (757) 446-2536, jim.washington@pilotonline.com



ADVISORY: Users are solely responsible for opinions they post here and for following agreed-upon rules. Comments do not reflect the views or approval of The Virginian-Pilot or its Web sites. Comments are automatically checked for inappropriate language, but readers might find some comments offensive or inaccurate. If you believe a comment violates our rules, click the "Report Violation" link below the comment to alert an editor. Repeat offenders will be denied automatic posting privileges.

Orion...

As far as I can tell, the group that donated it runs the local restaurants and they are not declaring bankruptcy. They would not have a tax write off if they gave it to the employees instead of the food bank. It was really a smart business decision that gave them a write off and helped the food bank. The employees of the restaurant are eligible for unemployment until they find another job.

re: Maybe they did?

It's not a publically traded company, therefore, no stock.

If they were publically traded, the stock would be worthless anyway...

Maybe they did?

Maybe they did give the employees part of the stock. The article doesn't say.

This is a great thing for the Foodbank...

...but bad for the employees whose last paychecks are bouncing.

Why isn't this company helping those who worked for them to the last minute by giving them the food?

They didn't donate it, the distributer did!

This food should have been returned to the distributer. Steak & Ale did not donate it. The company already declared bankruptcy, so the distributer will never be paid for the shipment. If the distributer wanted to donate, fine. This was not Steak & Ale's food to donate. Perishables maybe, but all bottled/canned/frozen etc. was not theirs to donate. I'm glad for the families, but it's a big hit to suppliers not to get paid for their items.

CORRECT ME IF IM WRONG

correct me if im wrong, the resturant is history then the food bank gets the stuff to make the resturant operate, thats the most sensible news ive heard in a long time..


More Stories Like This

More articles from: Business rss feed   


Toolbox