The Rise and Fall of Chuck E. Cheese, Which Just Filed for Bankruptcy

The chain's parent company, CEC Entertainment, filed for Chapter 11 on Thursday, citing pandemic-related reasons.
The Rise and Fall of Chuck E. Cheese, Which Just Filed for Bankruptcy
Image credit: Getty Images via BI
Chuck E. Cheese is 43 years old.

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This story originally appeared on Business Insider

Chuck E. Cheese has been through a lot over the last 43 years. 

The mascot - full name Charles Entertainment Cheese - was originally created by Atari cofounder Nolan Bushnell, to serve as the cigar-chewing mascot at Pizza Time Theatre in the 1970s. Since then, the chain that took the mascot's name has been restructured and sold numerous times in attempts to keep up with the trends. 

In April, Business Insider's Casey Sullivan and Alex Morrell reported that parent company CEC Entertainment was struggling under a heavy debt load. Lenders had tapped restructuring lawyers, according to people familiar with the situation. And Thursday, the dinnertainment chain's parent company, CEC Entertainment, filed for Chapter 11 bankruptcy protection after weeks of speculation over the chain's impending demise.

Change is nothing new for Chuck E. Cheese. Read on to see how the chain evolved, as Chuck E. Cheese transformed from an animatronic rat from New Jersey to a rock star mouse performing live shows on YouTube. 

Related: GNC Is Closing 248 Stores After Filing for Bankruptcy. Here's the Full List.

Atari cofounder Nolan Bushnell founded Pizza Time Theatre in 1977.

Atari cofounder Nolan Bushnell founded Pizza Time Theatre in 1977.
Silicon Valley technology pioneers Nolan Bushnell (right) and Steve Wozniak
Image credit: Getty Images/Bettmann
Source: Fast Company

The star of the restaurant was Chuck E. Cheese, a cigar-smoking rat with a Jersey accent.

The star of the restaurant was Chuck E. Cheese, a cigar-smoking rat with a Jersey accent.
Nolan Bushnell in one of his Pizza Time Theater Restaurants.
Image credit: Ted Thai/The LIFE Picture Collection via Getty Image
Source: Fast Company

"I always felt that was something that was lacking in restaurants," Bushnell told Fast Company. "I wanted to add a dimension of fun to the act of having a meal."

"I always felt that was something that was lacking in restaurants," Bushnell told Fast Company. "I wanted to add a dimension of fun to the act of having a meal."
Giant novelty robot The King posing with Nolan Bushnell, founder/owner of Pizza Time Theater
Image credit: Ted Thai/The LIFE Picture Collection via Getty Images
Source: Fast Company

Originally, Chuck E. Cheese made abrasive and sometimes sexual jokes, aimed at adult customers. But the chain transitioned to a more kid-friendly approach relatively quickly in its early years.

Originally, Chuck E. Cheese made abrasive and sometimes sexual jokes, aimed at adult customers. But the chain transitioned to a more kid-friendly approach relatively quickly in its early years.
Adam Roberts; the man inside; dresses up as Chuck E. Cheese; rodent restaurateur. And he loves his job. The little ones kiss my nose and say: 'I love you Chuckee.' They pass me notes and drawings; he says.
Image credit: John Mahler/Toronto Star via Getty Images

In the '80s, the pizza chain went public, followed by various restructuring efforts as sales slumped. By 1992, all locations of the pizza chain that had grown out of the Pizza Time Theatre concept were rebranded as Chuck E. Cheese's.

In the '80s, the pizza chain went public, followed by various restructuring efforts as sales slumped. By 1992, all locations of the pizza chain that had grown out of the Pizza Time Theatre concept were rebranded as Chuck E. Cheese's.
Chuck E. Cheese at the Annual Hollywood Christmas Parade in 2003.
Image credit: Mark Sullivan/WireImage
Source: Nation's Restaurant News

Chuck E. Cheese's continued to evolve and grow, reaching 300 locations in 2000.

Chuck E. Cheese's continued to evolve and grow, reaching 300 locations in 2000.
Ed Porter, Area Director for Chuck E. Cheese, chats with a family having a birthday party.
Image credit: Bryan Chan/Getty Images
Source: Show Biz Pizza

The chain was famous for its arcade games, prize tokens and pizza, as well as performances by an animatronic Chuck E. Cheese and crew.

The chain was famous for its arcade games, prize tokens and pizza, as well as performances by an animatronic Chuck E. Cheese and crew.
Chuck E. Cheese's in Springfield, Mo., as seen Sunday, January 6, 2008.
Image credit: Mark Schiefelbein/Getty Images

However, in 2012, Chuck E. Cheese's struggled to boost sales. After decades of Chuck E. Cheese being portrayed as a rat, the company remade the mascot as a "rock star" mouse.

However, in 2012, Chuck E. Cheese's struggled to boost sales. After decades of Chuck E. Cheese being portrayed as a rat, the company remade the mascot as a "rock star" mouse.
Image credit: Mike Mozart of TheToyChannel and JeepersMedia on YouTube

According to the company, the mouse's full name is Charles Entertainment Cheese, an orphan who celebrates others' birthdays to make up for his own sad childhood.

According to the company, the mouse's full name is Charles Entertainment Cheese, an orphan who celebrates others' birthdays to make up for his own sad childhood.
Pasqually The Chef, Chuck E. Cheese, and Helen Henny attend the 84th Annual Hollywood Christmas Parade on November 29, 2015 in Hollywood, California.
Image credit: Photo by Phillip Faraone/FilmMagic
Source: Insider

The makeover failed to bring in customers, and Chuck E. Cheese Entertainment was acquired by private-equity firm Apollo Global Management in 2014 for nearly $1 billion.

The makeover failed to bring in customers, and Chuck E. Cheese Entertainment was acquired by private-equity firm Apollo Global Management in 2014 for nearly $1 billion.
Image credit: YouTube
Source: The Wall Street Journal 

The last few years have seen plenty of change at Chuck E. Cheese. The chain retired its tokens in 2016 and the animatronics in 2017. The chain also changed its name slightly, dropping the possessive to become Chuck E. Cheese in 2017.

The last few years have seen plenty of change at Chuck E. Cheese. The chain retired its tokens in 2016 and the animatronics in 2017. The chain also changed its name slightly, dropping the possessive to become Chuck E. Cheese in 2017.
CEC Entertainment CEO Tom Leverton, right, speaks to attendees with Chuck E. Cheese during the Chuck E. Cheese Grand Reopening on Wednesday, Aug. 9, 2017, in San Antonio.
Image credit: Darren Abate/AP Images for Chuck E. Cheese's
Source: Business Insider

Since 2017, the chain has been working to revamp locations with new designs, dynamic pricing and better birthday packages.

Since 2017, the chain has been working to revamp locations with new designs, dynamic pricing and better birthday packages.
Chuck E. Cheese's debuts its fresh new look on Wednesday, Aug. 9, 2017, in San Antonio.
Image credit: Darren Abate/AP Images for Chuck E. Cheese's

In April 2019, CEC Entertainment announced that the company would return to the New York Stock Exchange through a merger. But, the deal fell apart.

In April 2019, CEC Entertainment announced that the company would return to the New York Stock Exchange through a merger. But, the deal fell apart.
Image credit: Susan Montgomery/Shutterstock
Source: Business Insider

The coronavirus pandemic hit the chain hard, with sales sinking 21 percent in the first quarter. Chuck E. Cheese has attempted to keep fans engaged with pizza delivery and "live performances" from the mascot.

The coronavirus pandemic hit the chain hard, with sales sinking 21 percent in the first quarter. Chuck E. Cheese has attempted to keep fans engaged with pizza delivery and "live performances" from the mascot.
Image credit: Chuck E. Cheese/YouTube
Business Insider's Casey Sullivan and Alex Morrell reported this week that the chain has already cut hours and staffing, furloughed most of its hourly employees and some 65 percent of support-center staff and deferred rental payments on its company-operated venues.

CEC Entertainment is struggling under a heavy debt load and lenders have organized and tapped restructuring lawyers, according to three people familiar with the matter.

CEC Entertainment is struggling under a heavy debt load and lenders have organized and tapped restructuring lawyers, according to three people familiar with the matter.
An image of the sign for a Chuck E Cheese store as photographed on March 18, 2020 in Hicksville, New York.
Image credit: Photo by Bruce Bennett/Getty Images
Various representatives were not available or declined to comment on Sullivan and Morrell's reporting.

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