Red Lobster Said to Be Considering Bankruptcy

A popular seafood restaurant chain is apparently in deep financial trouble. Red Lobster is reportedly considering a Chapter 11 bankruptcy filing to restructure its debt, according to sources cited in a Bloomberg report. The seafood chain is looking to address long-term contracts and lease agreements. While a final decision hasn’t been made, Chapter 11 bankruptcy could provide protection from creditors as Red Lobster works on a repayment plan. Red Lobster, established in 1968, operates over 30 locations in Pennsylvania.