Oregon’s famous doughnut chain, Bluestar, enters bankruptcy

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By Oregon Small Business Association,

The coronavirus pandemic has taken a huge bite out of Blue Star Doughnuts, forcing the Portland bakery into Chapter 11 bankruptcy. Blue Star owners announced the company is restructuring after permanently closing four of its eight Portland outlets this year because of COVID-19, according to the Portland Business Journal. After shutting down in March, the company laid off most of its employees. The company permanently closed stores on 23rd Avenue, downtown, at Multnomah Village and at Progress Ridge. Only stores on South Gaines, North Mississippi Avenue, Southeast Division Street and at the Portland Airport remain open. Blue Star also owns three Los Angeles area stores.

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In September, Pacific Education Corp. filed for voluntary Chapter 7 bankruptcy protection and US Outdoor Holding LLC filed for Chapter 11 bankruptcy protection.