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WeightWatchers files for bankruptcy protection to eliminate debt burden

ZEKE MILLER
May 06, 2025

NEW YORK (AP) -- WeightWatchers said Tuesday it is filing for Chapter 11 bankruptcy protection to eliminate $1.15 billion in debt and focus on its transition into a telehealth services provider.

Parent WW International Inc. said it has the support of nearly three-quarters of its debt holders. It expects to emerge from bankruptcy within 45 days, if not sooner.

WeightWatchers, which was founded more than 60 years ago, has struggled recently. In 2023, the company moved into the prescription drug weight loss business -- particularly with the $106 million acquisition of Sequence, now WeightWatchers Clinic, a telehealth service that helps users get prescriptions for drugs like Ozempic, Wegovy and Trulicity.

Its latest earnings report Tuesday showed that first-quarter revenue declined 10% while its loss on an adjusted basis totaled 47 cents per share. However, clinical subscription revenue -- or weight-loss medications -- jumped 57% year over year to $29.5 million.

In September, WW International CEO Sima Sistani resigned, and the New York company named Tara Comonte, a WeightWatchers board member and former Shake Shack executive, interim chief executive.

Comonte, now CEO, said in a statement Tuesday that, "As the conversation around weight shifts toward long-term health, our commitment to delivering the most trusted, science-backed, and holistic solutions --grounded in community support and lasting results -- has never been stronger, or more important."

Shares of the company have traded at under $1 since early February. In after-hours trading, the stock plunged by half to 39 cents.

The bankruptcy filing was made in U.S. Bankruptcy Court for the District of Delaware.

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