Red Lobster considering bankruptcy filing: report

Fox News ^ | 4/16/2024 | Eric Revell

[Zhang Fei]

Red Lobster is reportedly considering filing for bankruptcy to relieve financial pressures that have weighed on the company.

According to a report by Bloomberg citing people familiar with the discussions, Red Lobster is weighing a Chapter 11 bankruptcy filing to renegotiate burdensome leases and address other long-term contracts as well as rising labor costs.

The outlet reported that the seafood restaurant chain is being advised by law firm King & Spalding on the subject, and that while discussions about restructuring are ongoing and that no final decisions have been made about a bankruptcy filing.

By filing for Chapter 11 bankruptcy, the company could continue to operate while it works with creditors and investors to put in place a debt reduction plan that would allow it to head into the future on a better financial footing.

[Zhang Fei]

Seafood lovers alert. It used to be a Darden brand, but was sold to a Thai seafood supplier.

[henkster]

The Applebees of fish.

[EvilCapitalist]

Too much endless shrimp?

[Vermont Lt]

Can they take Olive Garden with it?

[Celtic Conservative]

No, not the cheddar bay biscuits!

CC

[Roman_War_Criminal]

It actually used to be an awesome restaurant.

Poorly run and catering to a customer base that is disappearing is always a losing proposition.

[Tijeras_Slim]

I still haven’t gotten over Arthur Treachers going under.

[thegagline]

Can they take Olive Garden with it?

Olive Garden is to Italian food what tilapia is to seafood.

[Wasichu]

I read recently they were losing $$ on the endless shrimp but intended to continue it because it brought in customers.

“We lose money on every sale, but we’ll make it up in volume!”

[TChad]

No more crab legs? Boo!

[Deepeasttx]

Poorly run...

---

Ditto. Daughter and I ate at our nearby one in Tyler, TX, for the final time, approx 10-yrs ago. She ordered snow crab legs. They came out on her plate still frozen. Swore to never eat at another again.

[logi_cal869]

Good. Rotten chain.

[logi_cal869]

No kidding.

[posterchild]

Same here. I think i was maybe 10 years old the last time i ate at one and it was awesome.

[logi_cal869]

Worms to seafood.

[Brandonmark]

Their Cheddar Bay Biscuits are the only thing worth eating.

[nwrep]

Daughter and I ate at our nearby one in Tyler, TX, for the final time, approx 10-yrs ago. She ordered snow crab legs.

They serve crab legs in Texas?

[TribalPrincess2U]

Use to be good eating but something went wrong!

[HartleyMBaldwin]

You can buy boxed Cheddar Bay Biscuit mix at the grocery store and bake them at home. We make them every so often, but I haven’t been to Dead Lobster in about 30 years.

[Red Badger]

They suck....