The rumors that Mexican-inspired restaurant chain Chipotle was filing bankruptcy and shutting a massive number of restaurants are a case study in misinformation and misinterpretation.
The fast-casual chain, known for its large, Mission-style burritos, is not filing for bankruptcy, Chipotle spokesperson Erin Wolford told USA TODAY in a statement on Saturday.
The rumors appear to have started when Unión Rayo, a Madrid-based outlet that aggregates content from other sources, published a report last week about the closure of Farmesa Fresh Eatery, a concept Chipotle had tested in 2023. A promotional image for the story initially included the Chipotle logo and social media users were continuing to mourn what they thought was Chipotle’s demise almost a week later.
Chipotle, which opened its first store in 1993 in Denver and remained headquartered in Colorado until moving to southern California in 2018, has received an apology for the confusion, Wolford said.
No. It actually expects to expand this year.
The chain opened more than 300 restaurants in the U.S. in 2024, and Wolford told USA TODAY in a statement that Chipotle plans to open “between 315 to 345 new restaurants this year.”
No. In its most recent financial statement for 2024, the company reported that revenue increased 14.6% to $11.3 billion in 2024 and it had no debt on the books. It saw improvements in comparable-restaurant sales, operating margin and different measures of earnings per share — all signs of improving financial performance.
The confusion appears to have come from a report on the closing of Farmesa Fresh Eatery, a restaurant concept tested by Chipotle in 2023 in a southern California food hall. The report included Chipotle’s logo.
It’s not clear why the site published content about the closing recently. Chipotle announced in 2024 that it would not open more locations of Farmesa after its ghost kitchen partner in the venture closed down.
The chain lists 86 locations in Colorado, including its first shop at 1644 E. Evans Ave., across the street from the University of Denver.
Nate Trela covers trending news in Colorado and Utah for the USA TODAY Network.
This article originally appeared on Fort Collins Coloradoan: Is Chipotle filing for bankruptcy? Internet rumor sparks claim
