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Red Lobster’s Endless Shrimp was a Recipe for Trouble

Red Lobster's Endless Shrimp was a Recipe for Trouble

Remember that “endless shrimp” deal you loved? Yeah, it might be ending for real at some locations. Here’s the lowdown on Red Lobster’s recent restaurant closures.

Endless Shrimp Disaster

Red Lobster has been struggling with a hefty debt load for a while. This makes it tough to keep all its locations running smoothly. In May 2024, Red Lobster filed for Chapter 11 bankruptcy, citing a five-year-long customer decrease.

“Red Lobster’s annual guest count has declined by approximately 30% since 2019 and has only marginally improved from pandemic levels seen during 2020 and 2021.”
– Jonathan Tibus, Red Lobster CEO (via USA Today)

Remember their famous “endless shrimp” promotion? It wasn’t as endless as their profits would’ve liked. This deal might have attracted customers but could have hurt their bottom line in the long run.

Tibus added that the “endless shrimp” menu is one of the major causes of the bankruptcy. Former CEO Paul Kenny’s “endless” dream became a $11 million nightmare for Red Lobster. They got stuck with a ton of shrimp they couldn’t sell, and their main investor, Thai Union, wasn’t exactly thrilled either. Tibus even suspects Kenny and Thai Union might be behind those major shrimp shortages that left restaurants high and dry for weeks.

Red Lobster Branches Closing Down

Alabama

Huntsville Decatur
Mobile Auburn

California

Fremont Montclair
Rohnert Park Sacramento
San Diego Torrance
Redding Chico

Florida

Hialeah Tampa
Largo Kissimmee
Leesburg Orlando
Altamonte Springs Gainesville
Jacksonville Sanford
Daytona Beach Shores Jensen Beach

Texas

College Station Dallas
Houston Lake Jackson
Longview Lufkin
Pasadena

Other States

Arizona:
Oro Valley
Colorado:
Lakewood, Lone Tree, Wheat Ridge, Denver
Georgia:
Roswell, Athens, Dublin
Idaho:
Lewiston
Illinois:
Bloomingdale, Danville
Indiana:
Indianapolis, Elkhart
Iowa:
Waterloo, Council Bluffs
Kansas:
Olathe, Kansas City
Louisiana:
Bossier City
Maryland:
Columbia, Laurel, Silver Spring, Gaithersburg
Michigan:
Fort Gratiot Township
Mississippi:
Jackson
Missouri:
Jefferson City
New Jersey:
Ledgewood
New York:
Amherst, Kingston, Rochester
North Dakota:
Grand Forks
Oklahoma:
Lawton
South Carolina:
Myrtle Beach
Virginia:
Colonial Heights, Williamsburg, Newport News
Washington:
Silverdale
Wisconsin:
Wauwatosa, La Crosse

 

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