Restaurants Struggling as Gas Prices Rise

8-23-05 – As gas prices go up, the cost of going out to eat may also increase.

At Bari’s Italian Restaurant in Sherman, managers say they’ve avoided raising prices on their menus. Manager Reggie Fera says the cost of doing business has gone up and sales have gone down, but the restaurant is holding off on raising prices to stay competitive.

Restaurants are paying more for food and supplies because distributors are paying more to ship the products. In some cases, prices have gone up. A few local restaurants have raised prices by about three percent.

The restaurant employees are also feeling the crunch. At La Mesa, in Sherman, managers and the kitchen staff have taken pay cuts and on some nights the managers have fewer on staff – saying they have to do more with less.

In Sherman on Tuesday, prices were about $2.54 a gallon for regular, self serve gasoline.