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Cosi Inc., announced today that it has filed for bankruptcy, closed 40 percent of company-owned restaurants and is up for sale. The move comes just one month after Cosi terminated CEO R.J. Dourney, following the company’s statement that it would not generate positive cash flow in the third quarter as it had anticipated.

Cosi has recorded operating losses of $15.5 million, $15.8 million and $11.5 million in the past three years, respectively. The constant losses have forced the company to change CEOs, explore sales processes and undertake complex stock transactions just to stay afloat.

“This was a difficult step, but it was necessary to address our liquidity issues,” Patrick Bennett, interim CEO of Cosi, said in a statement. “We believe this process will allow the company to right-size its balance sheet, reduce its debt, and focus on improving the business and stabilizing the brand.”

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Nick Powills

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Nick Powills

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Nick Powills, CFE, founded No Limit Agency in 2008 and serves as Chief Brand Strategist for the Chicago-based firm. No Limit is a full-service communications agency that establishes and elevates brands by bridging Public Relations, Social Media, Marketing, Advertising, Digital, and a lot of creativity, to best strategize well-rounded and successful campaigns for 50+ global franchise brands. By presenting visionary ideas and building real relationships, No Limit is able to create effective media branding strategies to help companies grow. Nick currently leads a staff of writers, media strategists, designers, social media experts and digital producers in an office think-tank where brands are humanized for strong, compelling media stories. Prior to starting No Limit at the age of 27, Nick spent four years working at a franchise PR agency where he mastered the art of building rapport with media outlets and creating newsworthy pitches for earned media placements. He holds a Bachelor of Journalism from Drake University in Iowa.

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