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.

[Texas resident]

When Darden owned them it was a pretty good place.
After they sold to whoever, it went downhill quickly.

[Red Badger]

I haven’t gotten over Macho Grande!..........

[ArcadeQuarters]

Going out to Red Lobster used to be special. Not so much anymore. Good riddance.

[Red Badger]

They serve anyone!..........

[MinorityRepublican]

They should close 75% of their locations. Then remake Red Lobster. Keep their Cheddar Bay Biscuits. And renovate their locations so it’s more like Chiptole’s but specialize in shrimp and long Island iced tea.

[Bull Snipe]

Red Lobster is to sea food what Taco Bell is to Mexican food.
JMO

[cpdiii]

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

You nailed it. Olive Garden has some good dishes but not really Italian cooking. Tilapia is plain damn awful.

[Texas resident]

Tilapia is cheap to grow. But it has no taste.

[drSteve78]

Used to be good at one time. Haven’t set foot inside in at least a decade.

[drSteve78]

Tilapia is plain damn awful.

Tilapia is tasteless bait fish. One step above worms and insects.

[montag813]

There are at least 10 videos on X of Black families abusing the "endless shrimp" entree (intended for ONE person) by sharing it among the whole family. In half of them, when busted, they leave without paying at all, and several wreck the place.

If THIS is their new "clientele" then it's no wonder they are going out of business.

[HonkyTonkMan]

Long John Silver and Capt D’s are pleased.

[VanShuyten]

I remember a long time ago, that our Midwestern town thought that we’d made it when Red Lobster came to town.

[TonyM]

My absolute worse dining experience was my first and only visit to Red Lobster. So I for one will not miss them.

[Zhang Fei]

[When Darden owned them it was a pretty good place.
After they sold to whoever, it went downhill quickly.]

---

The simplest remedy would be to sell it back to Darden in exchange for assumption of debt and maybe a seafood supply contract with the current Thai owners. The question is whether the Thai seafood wholesaler owners are willing to swallow the loss this would entail.

[FrankRizzo890]

I don’t think I’ll EVER be over Macho Grande, those wounds run pretty deep.

[ETCM]

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

Like the Black Angus of steakhouses.

[frank ballenger]

cheddar biscuits....

In cases of national emergency there will have to be measures taken to have supplies of them baked and brought to people by the National Guard.

[Celtic Conservative]

As long as it’s the same people who will make twinkies and moon pies I’m on board.

[frank ballenger]

Good. Important for us to all be together in a crisis.