Another beloved restaurant chain has officially filed for bankruptcy and closed a handful of locations across 24 states, including Illinois.

According to The Street, On The Border Mexican Grill & Cantina filed for Chapter 11 bankruptcy on Tuesday (March 4) and announced the closure of restaurants covering nearly half of the country, effective immediately.

Court filings obtained by Fast Company reveal that On The Border experienced a "rapid loss of liquidity in recent months," which led to the decision to close 77 of their 80 operating locations in the U.S. and South Korea. A select number of stores will remain open as the restaurant chain navigates bankruptcy.

On The Border president Chris Rockwood assured that this was not the end of the well-known Tex-Mex chain, as they are simply "restructuring."

"Restructuring is the best path forward for On The Border. It allows us to address several financial and operational challenges and emerge stronger and re-focused on our growth."

The popular chain also filed for "first-day relief pleadings" to ask permission to continue to pay their workers wages as they figure out their next move. Fast Company mentioned that there are currently 375 full-time hourly employees, 216 are full-time salaried employees, and 2,210 part-time hourly workers employed at On The Border Mexican Grill & Cantina locations throughout the U.S.

For more information on the closures, read Popular Tex-Mex Chain Announces Bankruptcy, Dozens Of Restaurant Closures.

Candace McCollum