There’s mixed reactions from Canadians in response to Red Lobster’s possible bankruptcy.
The seafood restaurant chain is reportedly considering a Chapter 11 bankruptcy filing as it looks to restructure its debt, unidentified sources told Bloomberg.
The sources said the restaurant is thinking about the move to remove some long-term contracts and renegotiate a bunch of leases.
The restaurant’s cash flow has reportedly been affected by leases and labour costs, along with other issues.
A final decision hasn’t been made and filing for bankruptcy would allow the company to keep operating while it works on a debt-cutting plan, Bloomberg reported.
Now Toronto reached out to Red Lobster for a comment but did not receive a response in time of publication.
News of the company’s possible bankruptcy is sparking mixed reactions online.
“Can’t believe so many people care about Red “Dead” Lobster,” Dr. Sylvain Charlebois, Agri-Food Analytics Lab, Dalhousie University, posted on X.
“But, the cheese biscuits! The ultimate indulgence,” another person chimed in.
“I better get in there one more time for The Fisherman’s Platter before it’s gone forever,” another person said.
“I’m happy to see all resto chains go. Keep the independent chef lead places and mom and pop joints,” one person added.
The American company was formed in 1968 by Bill Darden, who opened the first Red Lobster in Lakeland, Florida. The first Canadian restaurant was opened in Ontario in 1983.
And nine years later, the seafood chain introduced its iconic Cheddar Bay Biscuits.
