Ruby Tuesday announced after hours today a net loss of $15.1 million for their fiscal 2nd quarter.

Saying that "driving profitable same-restaurant sales at Ruby Tuesday is our first and most critical priority," the company also announced they are immediately closing all Marlin and Ray's restaurants. "[W]e have determined the Marlin & Ray's brand is not an optimal conversion vehicle for us going forward," said new CEO JJ Buettgen, who also projected flat same-store Ruby Tuesday sales for the the year.

The company is also discontinuing the Wok Hay and Truffle's Grill concepts. According to the new CEO, the moves will allow the company to "focus on the successful sales turnaround at our Ruby Tuesday restaurants, in addition to creating value with our Lime Fresh fast casual concept going forward."

Regarding affected employees, the company said " As we make these difficult decisions, we want to let the team members of these closed restaurants know that we appreciate their passion and commitment and we are working to ensure the employees affected by these planned closures are given opportunities at other Ruby Tuesday or Lime Fresh restaurants."

Ruby Tuesday opened the first Marlin and Ray's concept restaurant in Maryville in April 2011.

RT shares were down as much as 8.7% before leveling out to about -7.5% in after hours trading after missing earnings (loss) expectations.

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metulj's picture

Meanwhile, Cheddars is

Meanwhile, Cheddars is destroying all comers.

Dave Prince's picture

And all colons.

And all colons.

metulj's picture

True.

True.

Average Guy's picture

Strategy for a Top 10 Fattest State

The recurring compliment I hear on Cheddar"s generally focuses on "portion size".

I'd hate to think I made food for a living and was graded only how high I could pile it.

Hope RT can figure it out, but I'd guess it's real value is its real estate.

Factchecker's picture

That is why M&R parking lots were always empty

If there's anything worse than two "going forwards" in back to back sentences, it's describing a flop as "not an optimal conversion vehicle." Oh my.

Knoxoasis's picture

I never tried Marlin and

I never tried Marlin and Rays, but I had many pleasant meals at Wok Hay. I miss that place.

Average Guy's picture

Wok Hay

I too thought it was the best thing they had going.

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