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Felix's Bankrupt?

hamsoda Jul 20, 2012 03:34 PM

From Bloomberg: http://www.bloomberg.com/news/2012-07...

Anyone dropped by to see if it's shuttered?

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  1. g
    Gizmo56 RE: hamsoda Jul 20, 2012 11:34 PM

    It should not be shuttered, since your Bloomberg article states that the bankruptcy filing is under Chapter 11. The whole purpose of Chapter 11 is to allow a business to maintain continuing operations, with relief from existing creditors, while the business is reorganized to regain profitability.

    I think that the bigger issue (over time) is whether Felix's will be able to access the same quality of ingredients from major vendors, who will be understandably wary about the cash flow for the business, and its ability to honor invoices in a timely manner..

    Sad to see such a long-running restaurant having struggles. I hope they can come up with a viable plan for survival.

    1. h
      Hockey19 RE: hamsoda Jul 23, 2012 07:49 AM

      Pulled into Felix's right before closing last night. We always go to Acme but decided to try it. Should have known there was going to be a problem when I was told they could not sell me an Abita, or any other beer as they lost their license. We ordered a oyster po'Boy which my wife liked and gumbo which was not good. Jambalaya was good as was the red beans and rice on the sampler but etoufee was brutal. Finally asked the waitress how it is possible to lose a license inNOLA. Seems the IRS was a bit unhappy about being stiffed for 400 k. I guess it was good we went since it may be tough to recover.

      5 Replies
      1. re: Hockey19
        Gizmo56 RE: Hockey19 Jul 25, 2012 01:09 PM

        I am puzzled by what the waitress said about the liquor license being connected to the IRS debt. The liquor license should be a Louisiana thing, not under the IRS jurisdiction.

        Since IRS debts can not be discharged in bankruptcy, the Feds have not (yet) been stiffed. Therefore they have a shared interest in the ability of Felix's to remain a going concern and eventually satisfy that debt. It would not be in the self-interest of the IRS to see the business being hobbled by an inability to offer alcoholic beverages. They have other recourse if Felix fails, like the ability to slap a lien on the property.

        1. re: Gizmo56
          hazelhurst RE: Gizmo56 Jul 25, 2012 01:27 PM

          NOLA defender had an article stating the liquore license had been lost and that they were woroking on getting it back. My first thought was that with the cash problem they missed renewing it. The big question is: how long will the wholesalers go along? Oysters are not something to skimp on

          1. re: hazelhurst
            Gizmo56 RE: hazelhurst Jul 25, 2012 04:00 PM

            hh, your theory about a missed renewal makes perfect sense to me.

            Yes, I am sure that the present and future vendors will have them on a strict cash and carry basis, and that the vendors who are now on the creditors list will have nothing further to do with Felix's. I read somewhere that Felix's and Acme used the same source for their oysters. If that was true, it won't be from now on.

            It really is a shame for such a long-established business, having survived the Great Depression, the storms, etc., to find itself in such dire straits. I hope the old loyalists continue to bring them some business.

            1. re: Gizmo56
              hazelhurst RE: Gizmo56 Jul 26, 2012 05:09 AM

              Re: "old loyalists", A-men brother. Acme has become so corporate that I have gravitated more towards the Family Shop. truth to tell, though, I have not investigated their vendors in quite some time. I do know that the best oysters I've had in quite some time (and this is emphatically NOT a slam at P&J whom I admire) come from something called Rock Hard Oyster Co. These things were simply gorgeous last year.

          2. re: Gizmo56
            Hockey19 RE: Gizmo56 Jul 25, 2012 01:46 PM

            I asked that to the waitress but she clearly said IRS not the state. She seemed to be pretty unhappy as my guess is she figured her witholdings were never sent in but either taken or used to prop up the business.

        2. Bill Hunt RE: hamsoda Jul 24, 2012 08:58 PM

          This is sad.

          Felix's was my "go-to," as my half of the family went there, while the other half went to ACME.

          We almost went, last week, but go hung up on the Grill Room, Restaurant August and R'evolution, instead.

          Sorry that I missed an "old friend."


          1. j
            Johnbliss RE: hamsoda Jan 12, 2013 06:39 PM

            We had a fine meal last night 1-11-13. The oysters were great and they had a full bar . We ate early and they had a good crowd but did not have to wait.

            2 Replies
            1. re: Johnbliss
              hazelhurst RE: Johnbliss Jan 14, 2013 06:24 AM

              I saw teh Rock hard vendor last week and he said he is supplying Felix. His oysters are superb.

              1. re: hazelhurst
                Johnbliss RE: hazelhurst Jan 14, 2013 07:02 AM

                I ate some of them Friday night and they were great. The bet I have had in a long time.

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