• Delphia@lemmy.world
      link
      fedilink
      arrow-up
      11
      ·
      1 month ago

      Probably a gambit to remind people that Red Lobster exists and trying to pump the brand back up before offloading it or an attempt at a loss leader strategy hoping they would make up any loss on the shrimp in drinks and extras.

    • aberrate_junior_beatnik@midwest.social
      link
      fedilink
      English
      arrow-up
      5
      ·
      1 month ago

      It could actually be both; the equity group bought it, sold the land to itself (a subsidiary), used rent to extract money from the business as it was going down. Then they sold the business to a Thai company that sourced their shrimp, with Red Lobster buying at a loss. Once the financials got too bad, they had Red Lobster file chapter 11 so its debts were written off, but the equity group & Thai company get to hold on to the money they got through the process. I can’t verify this is exactly what happened, though, take what I’m saying with a grain of salt.

    • shalafi@lemmy.world
      link
      fedilink
      English
      arrow-up
      3
      ·
      1 month ago

      That is indeed a major chunk of it. The Thai group said they wouldn’t change or fuck with suppliers, no worries. Then they said, nope, you have to buy all your shrimp from us. Then they said, let’s have an endless shrimp promotion.