Red Lobster May be Saved From Bankruptcy…at Least for Now

As most of us have heard, Red Lobster, which is originally based in Florida, has been going through some financial difficulty.  They filed Chapter 11 bankruptcy protection.  They did also announce that they were closing several restaurants across the United States.  Just two of those restaurants were in Minnesota, however.

The located here in St. Cloud was not in danger of closing... at least at first.  And now, we hear that the restaurant is now coming out of bankruptcy thanks to someone who decided to buy the restaurant chain.

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After the restaurant chain announced their financial woes, one of which actually included their endless shrimp promotion.  Who knew that would be that big of an issue?  But thanks to some social media challenge, where you go in and see how many you can actually eat, the endless shrimp was about to put the chain out of business.  I'm guessing they won't do that again.

Red Lobster did have to close around 50 or more locations.  They will now operate 544 locations across the United States, which is down from 578 locations when they did finally file Chapter 11 back in May.

From KARE 11:

A U.S. bankruptcy judge on Thursday approved the casual seafood chain's reorganization plan and sale to a lender group led by asset manager Fortress. The green light arrives under just four months after Red Lobster filed for bankruptcy protection as it pursued a sale...

Under the new ownership, Red Lobster chain will now operate as an independent company.