Red Lobster Abruptly Closes “Dozens” Of Locations, Loses Its Key Supplier And Begins Fire Selling Kitchen Equipment

Recently, the company faced rumors of bankruptcy as it sought a buyer to avoid filing for Chapter 11, with multiple media outlets reporting the potential filing last month.

It was reported that it might file for bankruptcy to restructure its debt and reduce its 650 US locations.

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Al Buckner
Al Buckner
6 months ago

CEO marketing all you can eat shrimp didn’t work out very well…
They were late for Forrest Grump and Bubba shrimp boat….lol

Big Ruckus D
Big Ruckus D
6 months ago

I’ve been wondering when the cracks in the restaurant business were really going to start showing up. I figure there to be a massive shakeout starting in the latter half of this year.

So far, closures have been in dribs and drabs -- and heavily weighted towards fast food places -- but now it looks like entire companies in the fast casual segment could end up in chapter 7, and disappear all at once. A lot of these outfits have also been financially strip mined by PE firms who walked away with the cash and left them saddled with debt that they can’t possibly cover in a serious downturn, which now looks to be upon us.

Mass closures will definitely leave a mark. It will also further damage consumer confidence, as they see the wheels undeniably falling off all around them.

Chasman
Chasman
6 months ago

They sucked for years..

Stan Sylvester
Stan Sylvester
6 months ago

About a decade ago we went to one in NJ. I ordered a pasta meal with seafood and asparagus. When I got my meal, I noticed all the asparagus was stubs, no tips. I asked for the manager. A young lady came by. I asked her how I could possibly get all stubs and no tips. She didn’t know but was not going to do anything.
I wrote their headquarters. They sent me a free meal coupon. I used it and never went back after that. As for what happened to the tips? I told my wife that perhaps the cook had the hots for a fellow employee and gave them to her. Who knows, maybe the young manager that wasn’t interested in my complaint told the cook to set them aside for her. The plot thickens!

Stan Sylvester
Stan Sylvester
6 months ago
Reply to  Stan Sylvester

or, the cook saved ’em for his own 1/2 price employee meal.