Update 2/5/10: This is making news all over. Statesman Journal, Columbian.
The fish house chain with two stores in Salem, eight in Oregon and twenty stores overall has filed for chapter 11 bankruptcy protection. According to an article in Nations Restaurant News, the company "had too much debt and a number of under-performing stores in far-flung markets." A lot of debt, read about it here in the Portland Business Journal. McGrath's Fish House was opened in 1980 in downtown Salem and has since expanded to as far away as Colorado.