[cape chef]

Times are indeed rough.

http://www.nytimes.com/2003/04/11/nyregion/11REST.html

I'll never forget the Consomme' Epice' de fletans et bar de Atlantique avec liveches by Gray Kunz and in 1999 the Foie Gras hache' sur salade frisee avec vinaigrette au cidre by Mr Delouvrier.

[Suzanne]

Profitability is all. Not necessarily unreasonably.

[cape chef]

Originally posted by Suzanne
Profitability is all. Not necessarily unreasonably.

Yes,

and?

[momoreg]

That is sad. I'm sure that all 32 of their talented staff will spread their talent elsewhere, though, and the city will be blessed with an equally great restaurant one day.

[Suzanne]

What I mean is:

There are very few owners who INTEND TO run a restaurant as a not-for-profit. Even those places that are meant to be money-losers for tax purposes are eventually considered too much of a drain (think All-Star Cafe). A restaurant is a business. A place like Lespinasse may have been an artist's workshop, but it was also supposed to be a business. Especially in these days of lower occupancy, the hotel simply could not afford to continue to subsidize it.

I agree with Momoreg that while it's sad, the people who work there will surely be snapped up. And the industry may be better overall for it.

[kuan]

I cannot believe the tax "gains" a restaurant makes when it loses money is better than money in pocket from net gains. Nobody in their right mind would decline a higher paying job because they had to pay more in taxes. You always net out better.

Kuan

[panini]

Taxable write-offs are really becoming a thing of the past except for the larger monopolies(corps), and they are even paying a little closer attention if those losses cut into their large3 bonuses.. A tax write off is beneficial to offset abnormal profits. I have to laugh when people tell me "oh! that's a write-off for you"
When a company goes public and uninformed investors throw monies at a business, then these types of operations are no risk except to the loyal employees.