This audio is automatically generated. Please let us know if you have any feedback.
Diving certificate:
- CEO and President of BJ’s Restaurants Gregory S. Levin resigns from his leadership positions and the Board of Directors effective August 28. C. Bradford Richmond, current BJ’s Board member and former CFO at Darden Restaurants, was appointed interim CEO
- Levin has been with the company for 19 years and held various leadership positions before becoming CEO and president in 2021. Prior to his appointment as CEO, he served as CFO, the press release said.
- Levin played a key role in stabilizing and revitalizing the company during turbulent times, BJ’s CEO Lea Anne S. Ottinger said in a statement. During his tenure, the chain reached 217 restaurants in 31 states.
Diving insight:
Levin’s career at BJ’s spans nearly two decades, and his departure is the latest in a series of CEO announcements this month as the industry grapples with declining traffic. Levin’s departure from the chain is a termination “without cause” under Levin’s employment agreement dated June 30, 2021, according to a filing with the U.S. Securities and Exchange Commission. It is not related to any disagreements between Levin and BJ’s.
Richmond is expected to help the company achieve sustainable comparable sales and net unit growth, including by working with senior management and field sales team leaders, Ottinger said.
The chain’s store-related sales fell 0.6 percent in the second quarter, even though about half of its restaurants posted record sales in the second quarter, according to an earnings release.
BJ’s is working to increase brand awareness, improve operational efficiency, improve its service model and redesign its restaurants, Levin said during the company’s recent quarterly earnings call.
The casual chain is working to reduce build-out costs and has developed a new restaurant prototype that will cost about $1 million less than the previous model, the company said in its earnings release. The new prototype includes a new bar with a 130-inch television as its centerpiece.
The brand is also in the process of remodeling its existing restaurants to improve customer traffic. BJ’s expects to have about half of its stores remodeled or built with the new prototype by the end of the year.
Richmond has been on BJ’s board since February and was CFO at Darden from 2006 to 2015. He also served as corporate controller at Darden from 2005 to 2006, according to the press release. He has held various leadership positions in finance and strategic planning at Olive Garden and Red Lobster since 1982. He has also served on the board of Coast Entertainment Holdings since 2017 and helped turn around the Main Event brand, ultimately leading to its acquisition by Dave & Buster’s in 2022.
“We believe (Richmond’s) leadership style, combined with his extensive experience and expertise as a successful manager of a public company during his long career at Darden, will lead to operational excellence,” Ottinger said. “His steady hand and disciplined approach to improving financial results have led to a record of increased growth and profitability.”
