10mo ago

Red Lobster eyes bankruptcy option after $11M in losses from endless shrimp

abcnews.go.com Red Lobster eyes bankruptcy option after $11M in losses from endless shrimp

Red Lobster has a new CEO and is focused on possible restructuring through Chapter 11 bankruptcy, according to Bloomberg.

"Last year, Red Lobster reported $11 million in operating losses following its flubbed 'Ultimate Endless Shrimp' deal, which backfired when it reeled in too many customers after the limited-time promo became a permanent menu fixture last June. The restaurant chain later reported $12.5 million in losses in the fourth quarter of 2023."

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87 comments

Filing bankruptcy over 11 million? Really? Doesn't seem like a lot for a big restaurant chain.
- Well considering that I'm a "millennial" and literally not a single person I know has ever visited, requested, or mentioned Red Lobster as a restaurant choice... they might have deeper trouble than some shitty shrimp. Can't run a business forever when your largest potential market is 65+...
  
  The "endless shrimp" excuse seems like a marketing ploy. Doesn't hit as hard as "no one's coming to our restaurants to eat our shitty food."
  
  The biscuits are the best part and they sell the mix, so not a lot of reason to visit if there's any other options for seafood.
  
  The biscuits are amazing
  
  God yes. When i die, take my ashes to cheddar bay
  
  Now you can make them at home!
  
  I live in Saskatchewan, which is as land locked as it gets in Canada. And for some reason, my city has a Red Lobster. I don't think I've heard anyone talk about going to it because who would expect a seafood restaurant all the way out here to be good? I have no clue how they're making enough money to operate.
  (Also, nice pfp! 🐾 )
  
  Everything in red lobster is frozen anyway.
  But then again, all fish is frozen before being served to kill parasites. Even the most delicious sushi will be flash frozen first. I've had high end raw fish in Las Vegas, a literal dessert.
  That said, yeah, Red Lobster isn't going to be top notch on the coast, let alone butt fuck nowhere.
  
  I've had high end raw fish in Las Vegas, a literal dessert.
  Fish as a dessert??
  
  Desert. The fish was a desert. It's Las Vegas that's in a dessert, obviously.
  
  cries in iron chef *
  
  las vegas flies in a cargo jet of fish hourly.
  
  Thanks ///
  
  Once their cheddar biscuits became purchasable on a store shelf, I imagine that decreased the impetus to visit the actual restaurant.
  Their biscuits are the best part.
  
  In the late 90s I mentioned never having tried lobster. This resulted in a dangerous u-turn and a drive to the closest red lobster. Only time I went and I forgot until your comment.
  
  I don’t know man. I went to a red lobster once in 2004.
  
  For me it's just not really an option because there are no locations in Québec. The closest one is in Ottawa, two hours away.
  It's one of our favorite places to go eat when we go to Ottawa. It's honestly not as bad as people say it is. The food is always great at that location.
  
  @cyborganism @wreckedcarzz If you take internet reviews there are only three types of restaurants.
  Excellent places that deserve their Michelin Stars
  Excellent places that should have Michelin Stars
  Diarrhea fuel garbage pits. With food so disgusting you shouldn't even feed it to the stray dog that bit your baby.
  On our national deal hunting website you can see all the "It gives you diarrhea comments" every time there's a coupon for McDonalds or franchised Shawarma
  
  Chain restaurants also have a ton of variance. Most Olive garden is shit these dates, but A. They were great in the mid 90s before they enshittified, and B. I'm sure there's still a great Olive Garden out there somewhere.
  
  olive garden is the same company as red lobster and chili's
  
  Red lobster was sold off from the olive garden parent company 10 years ago
  
  They always had the perception of expensive for me. So growing up, they were a special occasion place to get seafood. I've been a few times in the last few years. Their food was good, but not great and the places were never packed.
  Between Red Lobster and almost any other seafood place, the other one would win out for taste and quality.
  They had a huge marketing issue, offering "cheap" all you can eat, but making the place look and try to feel like a upscale option when it was basically a seafood Applebee's.
  
  It’s like Panera or Olive Garden. Just boring flavorless food that is only attractive to people who don’t know better.
  
  It is peak 90s restaurant culture.
  And then in some areas seen as luxury. Same goes for Olive Garden.
  
  @wreckedcarzz @cyborganism
  this is hilarious fellow millennial, because I just went to Red Lobster today and had a great time.
  Of course this was the first time I've been in 20+ years so it's not like I'm a regular.
  
  I've been to red lobster once and spent a very uncomfortable period of time on the porcelain throne shortly after. The news of bankruptcy does not surprise me.
  
  Millennial here hooked on their biscuits. It's just you.
  
  You can make them at home. Sam's Club, and Costco both sell the dough mix. It also allows you to use white extra sharp cheddar to make them that much yummier
- The previous owners purchased the company via a leveraged buyout. It's not one quarters losses, it's the massive long-term debt on it's books.
  This is a handy excuse to fuck over employees and suppliers.
- It's also really expensive importing biscuits from Cheddar Bay

87 comments