The second-biggest franchisee of Applebee’s restaurants plans to close about 10 to 20 of its 159 locations in the next month or so as part of its bankruptcy reorganization, the Wall Street Journal reported. RMH Franchise Holdings Inc. on Thursday asked the U.S. Bankruptcy Court in Wilmington, Del., for permission to pay up to $700,000 in severance, saying that it planned to close poor-performing restaurants in coming weeks. The filing didn’t specify how many restaurants that could include. A person familiar with the matter, however, said that about 10 to 20 could close in this cost-cutting round, with the severance being enough to cover up to 21 restaurants in this early stage of reorganization. In the Thursday court filing, Atlanta-based RMH said that it plans to close “certain underperforming restaurant locations in the next approximately 30 days.”
