Famous Dave's Douses Local Flames

ATLANTA-Famous Dave’s of America Inc., a Minnetonka, MN-based barbecue restaurant chain, closed its three area locations this week as a result of what it terms as current and expected continuing cash losses from those units. The company’s shares have lost more than a quarter of their value since the start of this week.

The affected Atlanta locations, which the company acquired from a franchisee in the third quarter, are at 1935 Powers Ferry Rd. SE, 575 Morosgo Drive NE and 2247 Northlake Parkway in suburban Tucker. Famous Dave’s says it is continuing discussions with the landlords of all three restaurants regarding a buyout of those leases.

In a related move, Famous Dave’s terminated two leases for restaurants slated to open next year in Hoffman Estates, IL and Hyattsville, MD. The company says it could recognize $2.5 million in charges during its fiscal fourth quarter related to the Atlanta closings and lease terminations.