Current Events > Red Lobster files for bankruptcy.

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Makeveli_lives
05/20/24 10:43:14 AM
#1:


That endless shrimp really did a number on them didnt it.

https://twitter.com/dexerto/status/1792552931159331241?s=46&t=MclOgjiC_DZiKahxLVoZDg

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UnholyMudcrab
05/20/24 10:45:00 AM
#2:


I can't believe they literally endless shrimp'd themselves into bankruptcy

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Were_Wyrm
05/20/24 10:46:58 AM
#3:


They've been doing endless shrimp for decades; I doubt that's what really did them in.

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mystic_belmont
05/20/24 10:47:21 AM
#4:


Endless shrimp was probably an excuse.

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#5
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Makeveli_lives
05/20/24 10:48:53 AM
#6:


[LFAQs-redacted-quote]

None in Jersey. Must be more plentiful in California.

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saspa
05/20/24 10:49:16 AM
#7:


That's a shame I really liked them. From crab cakes to even bay biscuits, Red Lobster had some food I enjoyed eating.

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#8
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#9
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UnholyMudcrab
05/20/24 10:51:32 AM
#10:


Were_Wyrm posted...
They've been doing endless shrimp for decades; I doubt that's what really did them in.
Yeah, but it was a limited thing like the McRib. Last year they made it permanent

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GhostFaceLeaks
05/20/24 10:52:01 AM
#11:


Let's be real. Seafood restaurants in the caliber of Red Lobster and Long John Silver are likely going to disappear. Seafood is too niche of a product to survive solely on these days.

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#12
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Ultima_Fury
05/20/24 10:54:20 AM
#13:


I hope they release the recipe for their Cheddar Bay Biscuits if they go under.
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#14
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CommonStar
05/20/24 10:55:22 AM
#15:


Ultima_Fury posted...
I hope they release the recipe for their Cheddar Bay Biscuits if they go under.
You can buy the box mixes in grocery stores. It's the exact same.
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Pikachuchupika
05/20/24 10:55:57 AM
#16:


GhostFaceLeaks posted...
Let's be real. Seafood restaurants in the caliber of Red Lobster and Long John Silver are likely going to disappear. Seafood is too niche of a product to survive solely on these days.

It's probably this.
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kingdrake2
05/20/24 10:56:04 AM
#17:


jeffhardyb0yz posted...
you've never taken your date out to long john silvers?


there isn't a long john silvers around where i live.

did go to one when i was a child (5-6 years old).

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Monolith1676
05/20/24 10:57:59 AM
#18:


Makeveli_lives posted...
None in Jersey. Must be more plentiful in California.
It isn't. They are disappearing pretty fast. We had a lor of them in Sacramento and are now down to 2.

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WingsOfGood
05/20/24 11:07:15 AM
#19:


Probably price was too high for poor quality food. It was expensive back like 10 years ago. Hadn't been to one since.
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DeathVelvien
05/20/24 11:07:43 AM
#20:


Is this different from when they announced their bankruptcy a month ago or so?

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#21
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Bio1590
05/20/24 11:09:58 AM
#22:


https://twitter.com/ElectProject/status/1792541353760473595

A tale as old as time

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PeteyParker
05/20/24 11:11:29 AM
#23:


Makeveli_lives posted...
None in Jersey. Must be more plentiful in California.

There is one by me. It's a hybrid with Taco Bell though.

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RetuenOfDevsman
05/20/24 11:12:01 AM
#24:


They don't actually know what happened.

If they did, they wouldn't have let it happen.

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BakonBitz
05/20/24 11:12:35 AM
#25:


Bio1590 posted...
https://twitter.com/ElectProject/status/1792541353760473595

A tale as old as time
I wouldn't doubt it, but is there sources to that claim? Not familiar with that guy.

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WingsOfGood
05/20/24 11:18:07 AM
#26:


Bio1590 posted...
https://twitter.com/ElectProject/status/1792541353760473595

A tale as old as time

So hedgefund killed them. Sad.

I bet they shorted them at the same time?
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TheLiarParadox
05/20/24 11:25:02 AM
#27:


Good. Commercial fishing is an abomination.

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Quezovercoatl
05/20/24 11:27:04 AM
#28:


TheLiarParadox posted...
Good. Commercial fishing is an abomination.
So only people who personally fish should have fish?
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UnholyMudcrab
05/20/24 11:28:31 AM
#29:


BakonBitz posted...
I wouldn't doubt it, but is there sources to that claim? Not familiar with that guy.
Well, for starters, if that happened, it would have been a private equity fund, not a hedge fund. They're not the same thing.

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RetuenOfDevsman
05/20/24 11:29:03 AM
#30:


Quezovercoatl posted...
So only people who personally fish should have fish?
If it was good enough for Spinosaurus, it's good enough for us.

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tripleh213
05/20/24 11:29:44 AM
#31:


Meh the ones by me sucked

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TheLiarParadox
05/20/24 11:29:54 AM
#32:


Quezovercoatl posted...
So only people who personally fish should have fish?
Yep!

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Enclave
05/20/24 11:32:09 AM
#33:


BakonBitz posted...
I wouldn't doubt it, but is there sources to that claim? Not familiar with that guy.

I mean, that DID happen.

Let me see if I can find a link.

https://www.prnewswire.com/news-releases/american-realty-capital-properties-closes-15-billion-red-lobster-sale-leaseback-transaction-268936111.html

Basically firm buys Red Lobster, doesn't have enough money to buy Red Lobster so they sold off all the property Red Lobster owned and leased it back in order to pay for Red Lobster.

This likely had far more to do with why Red Lobster went broke than endless shrimp. It's insane to me how it's legal to buy a company with the companies own assets.

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BakonBitz
05/20/24 11:36:10 AM
#34:


Enclave posted...
I mean, that DID happen.

Let me see if I can find a link.

https://www.prnewswire.com/news-releases/american-realty-capital-properties-closes-15-billion-red-lobster-sale-leaseback-transaction-268936111.html

Basically firm buys Red Lobster, doesn't have enough money to buy Red Lobster so they sold off all the property Red Lobster owned and leased it back in order to pay for Red Lobster.

This likely had far more to do with why Red Lobster went broke than endless shrimp. It's insane to me how it's legal to buy a company with the companies own assets.
Thanks. I found other news sources too that confirms this. Such a shame that this stuff is allowed.

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WingsOfGood
05/20/24 11:36:58 AM
#35:


Enclave posted...
I mean, that DID happen.

Let me see if I can find a link.

https://www.prnewswire.com/news-releases/american-realty-capital-properties-closes-15-billion-red-lobster-sale-leaseback-transaction-268936111.html

Basically firm buys Red Lobster, doesn't have enough money to buy Red Lobster so they sold off all the property Red Lobster owned and leased it back in order to pay for Red Lobster.

This likely had far more to do with why Red Lobster went broke than endless shrimp. It's insane to me how it's legal to buy a company with the companies own assets.

So they bought Red Lobster for their prime spots which were likely the best performing spots to only replace them with something else?
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Kimberly
05/20/24 11:37:49 AM
#36:


Bio1590 posted...
https://twitter.com/ElectProject/status/1792541353760473595

A tale as old as time

Isn't it great that hedgies can just do that

Sarcasm. I hate it here.

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PowerMan5000000
05/20/24 11:37:56 AM
#37:


If Im gonna get seafood, Id rather spend a lot going to Pappaduex.

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gamerofNS
05/20/24 11:43:40 AM
#38:


TheLiarParadox posted...
Good. Commercial fishing is an abomination.
As the son of a fisherman, I agree. Lobster and crab fishing SUCKS. Under no circumstance will I ever fish again.
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Enclave
05/20/24 11:45:38 AM
#39:


WingsOfGood posted...
So they bought Red Lobster for their prime spots which were likely the best performing spots to only replace them with something else?

No.

Golden Gate Capital bought Red Lobster but couldn't afford to buy it so what Golden Gate Capital did to finance the purchase of Red Lobster was they sold the land Red Lobster owned to American Realty Capital Properties, Inc. and part of the deal was a 25 year land leasing deal so the restaurant locations wouldn't simply no longer have a place to be.

So this effectively jacked up the cost of rent. Locations went from owning the land outright and only having to pay property tax to having to start paying off a fucking lease.

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WingsOfGood
05/20/24 11:47:36 AM
#40:


Enclave posted...
No.

Golden Gate Capital bought Red Lobster but couldn't afford to buy it so what Golden Gate Capital did to finance the purchase of Red Lobster was they sold the land Red Lobster owned to American Realty Capital Properties, Inc. and part of the deal was a 25 year land leasing deal so the restaurant locations wouldn't simply no longer have a place to be.

So this effectively jacked up the cost of rent. Locations went from owning the land outright and only having to pay property tax to having to start paying off a fucking lease.

Sounds like incompetence. How is Golden Gate Capital doing?
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Enclave
05/20/24 11:50:34 AM
#41:


WingsOfGood posted...
Sounds like incompetence. How is Golden Gate Capital doing?

I'm sure they're doing fine. This was probably pretty profitable for them.

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Cemith
05/20/24 11:51:09 AM
#42:


UnholyMudcrab posted...
I can't believe they literally endless shrimp'd themselves into bankruptcy

Genuinely baffling

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UnholyMudcrab
05/20/24 11:54:59 AM
#43:


Cemith posted...
Genuinely baffling
I was joking. It wasn't actually the endless shrimp, that just sounds funnier

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#44
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Golden_Key33
05/20/24 11:57:03 AM
#45:


Oh wow, I haven't eaten there in decades but had just decided to go there sometime this week.

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WingsOfGood
05/20/24 11:58:01 AM
#46:


Golden_Key33 posted...
Oh wow, I haven't eaten there in decades but had just decided to go there sometime this week.

How much did it cost?
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#47
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kingdrake2
05/20/24 12:10:30 PM
#48:


Enclave posted...
This was probably pretty profitable for them.


we're all rich and loaded

duncan do.

16-BITTER posted...
"The ocean called, they're running out of shrimp"


ocean will run out of things (not naming countries) but they're contributing to the extinction of fish species for food.

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WingsOfGood
05/20/24 12:11:38 PM
#49:


[LFAQs-redacted-quote]


American whales eating more shrimp than ocean whales.
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CE_gonna_CE
05/20/24 12:12:59 PM
#50:


I had a $75 gift card for RL that was sitting around for a few years, so all this bankruptcy press now finally got me to use it. Happy to have gotten it in, as it would have been a shame to have that go to waste.

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