Franchisee closes Dahlgren Arby’s, nine more [The Free Lance-Star, Fredericksburg, Va.]

Dec. 28--An Arby's franchisee in Maryland has closed its 10 locations, including one on U.S. 301 near Dahlgren.

KBK Inc., based in Charlotte Hall, Md., said in a post on its website that "due to financial difficulties brought on by the economy we have been forced to close our stores by the Arby's Restaurant Group."

It added that after many attempts to negotiate with the fast-food chain's corporate office, Arby's decided last Friday that it was better for KBK to close than for the franchisee "to continue to make progress on securing long-term solutions."

The statement on the website said negotiations regarding the restaurants, nine of which are in Maryland, are continuing. No decision about re-opening will be made until talks have concluded. Updates will be posted on its website, arbyskbk.com. KBK's phone has been disconnected.

Cathie Koch, a spokeswoman for Arby's corporate office in Atlanta, said the company doesn't comment on the circumstances of individual franchisees, who are independent business people.

"It's always difficult when restaurants close," she said.

Dan Wallace, who owns six Arby's in the Fredericksburg area with his father, said that they would be interested in buying the Arby's in Dahlgren if KBK closes it.

"We're really interested in that area," he said. "Dahlgren's done well. It's an area that we would like to be in, so we will see what happens."

Wallace added that he would not be interested in KBK's Arby's in Maryland "at this time."

KBK will give employees at its Arby's their final checks by Friday. Managers, however, must first mail their store keys to Box 128, Hughesville, Md., in order to receive theirs.

For those with company-sponsored health insurance, co-payments will continue to be deducted through Friday. Afterward, they will have the option of continuing their health-care plan through COBRA.

W-2 forms will be mailed to the address on file at KBK's office. Updates to addresses can be made by emailing the company at

Email: closed@arbyskbk.com. Additional questions or concerns also can be emailed to that address.

Cathy Jett: 540/374-5407

Email: cjett@freelancestar.com

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