04-18-2024, 02:30 AM
......$12.5 million operating loss in the fourth quarter of 2023.....according to Bloomberg.....
Red Lobster Is Considering Bankruptcy Partly Due to $11 Million Loss from Endless Shrimp Deal: Report
....This comes after Red Lobster reported a $12.5 million operating loss in the fourth quarter of 2023
Red Lobster is considering a Chapter 11 bankruptcy filing, according to news sources.
The restaurant chain is considering filing for bankruptcy amid growing debt, sources with knowledge on the matter told Bloomberg.
The restaurant has been finding it difficult to make money with their current leases and labor costs, and are currently seeking advice from commercial law firm King & Spalding in order to figure out how to restructure to cut costs, the outlet also reported.
The sources said that Red Lobster still hasn’t made a final decision when it comes to whether or not to file for bankruptcy, but noted that it would help the business continue to operate while they figure out their next plan, which may include renegotiating some leases and removing some contracts.
Red Lobster did not immediately respond to request for comment.
This comes amid difficult financial times for the restaurant, as it reported a $12.5 million operating loss in the fourth quarter of 2023, despite its endless shrimp promotion, according to CNN.
A month later, Thai Union Group Plc, which took over the company in 2021 announced its plan to exit Red Lobster since it caused “negative financial contributions to Thai Union and its shareholders,” the outlet reported.
There have also been some recent internal changes at the company as Red Lobster named Jonathan Tibus as its new CEO last month, according to a report by Orlando Business Journal. He has been known for his expertise in restructuring restaurants on the verge of bankruptcy, according to Nation’s Restaurant News.
In the past several months, Red Lobster has tried to drum up some publicity. In February, the chain announced that it would offer a limited number of guests a free meal of endless lobster in honor of their annual Lobsterfest.........
.........losing..........money............?!
Red Lobster Is Considering Bankruptcy Partly Due to $11 Million Loss from Endless Shrimp Deal: Report
....This comes after Red Lobster reported a $12.5 million operating loss in the fourth quarter of 2023
Red Lobster is considering a Chapter 11 bankruptcy filing, according to news sources.
The restaurant chain is considering filing for bankruptcy amid growing debt, sources with knowledge on the matter told Bloomberg.
The restaurant has been finding it difficult to make money with their current leases and labor costs, and are currently seeking advice from commercial law firm King & Spalding in order to figure out how to restructure to cut costs, the outlet also reported.
The sources said that Red Lobster still hasn’t made a final decision when it comes to whether or not to file for bankruptcy, but noted that it would help the business continue to operate while they figure out their next plan, which may include renegotiating some leases and removing some contracts.
Red Lobster did not immediately respond to request for comment.
This comes amid difficult financial times for the restaurant, as it reported a $12.5 million operating loss in the fourth quarter of 2023, despite its endless shrimp promotion, according to CNN.
A month later, Thai Union Group Plc, which took over the company in 2021 announced its plan to exit Red Lobster since it caused “negative financial contributions to Thai Union and its shareholders,” the outlet reported.
There have also been some recent internal changes at the company as Red Lobster named Jonathan Tibus as its new CEO last month, according to a report by Orlando Business Journal. He has been known for his expertise in restructuring restaurants on the verge of bankruptcy, according to Nation’s Restaurant News.
In the past several months, Red Lobster has tried to drum up some publicity. In February, the chain announced that it would offer a limited number of guests a free meal of endless lobster in honor of their annual Lobsterfest.........
.........losing..........money............?!
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I reject your reality and substitute my own!
I reject your reality and substitute my own!
