Could One Popular Seafood Chain Close All Texas Locations?

Well, so much for the endless shrimp! Because they lost so much money through their endless shrimp promotion one of our favorite seafood places in Texas is considering filing for bankruptcy!

Numerous reports are stating that Red Lobster is reportedly considering a Chapter 11 bankruptcy filing in hopes of restructuring its debts. According to this report, the originator of those delicious cheddar bay biscuits reported a loss of $23 million last year- resulting in the restaurant shutting down several locations through 2023.

And that endless shrimp promotion that most of us took advantage of? Well, it cost them big time! Its $20 Ultimate Endless Shrimp deal cost the company $11 million in its third quarter alone, according to Restaurant Business.

I think the main question that many are wondering is: does this mean Red Lobster is closing entirely!?!

The short answer is no- for now at least. Bloomberg reports that Red Lobster is being advised by law firm King & Spalding on the subject, and that discussions about restructuring are ongoing but no final decisions have been made about a bankruptcy filing- which means our cheddar bay biscuits are safe for now.

Bloomberg does report that even if Red Lobster were to file for Chapter 11 bankruptcy, the company could still 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.

Nothing is set in stone as of now, but considering I'm in El Paso- it's already hard to get some good lobster and cheddar bay biscuits! I know I can buy the mix and make them myself, but it just doesn't come out the same!