The prognosis for Dave & Buster’s Entertainment Inc., a chain of entertainment centers that offer food, drinks and arcade games, looked increasingly dire this week as the coronavirus economy took a massive bite out of revenue and the company looked to lay off hundreds of workers, FoxBusiness.com reported. The company warned yesterday that it may need to file for bankruptcy if it can’t reach a deal with its lenders amid the coronavirus’ squeeze on the industry, WSJ Pro Bankruptcy reported. That’s after Dave & Buster’s second-quarter revenue plummeted 85 percent this year compared to last, the company announced last Friday — falling from $344.6 million in 2019 to just $50.8 million. In the first quarter, revenues were down to $159.8 million in 2020 from $363.6 million last year. The chain also plans to lay off more than 1,300 employees across seven states, Restaurant Business Online, a trade publication, reported yesterday. D&B will reportedly try and rehire workers from that pool once it is allowed to expand its reopening. The company reached a short-term debt-relief deal with its lenders until Nov. 1, according to the WSJ report, but if that isn’t extended the chain is warning that it may need to file for bankruptcy.
