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Red Lobster Revives Endless Shrimp After Bankruptcy

Wall Street Journal US Business •
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Red Lobster is betting big on a promotion that helped drive it into bankruptcy. The casual dining chain, which filed for Chapter 11 protection last year, is reviving its infamous Endless Shrimp campaign despite it being a major factor in its financial collapse. The chain insists it has learned from past mistakes and can make the promotion profitable this time around.

When the promotion ran previously, kitchen workers were overwhelmed preparing mountains of shrimp. Other food orders would sit in windows too long and get cold, forcing staff to throw them away and remake them while still cooking more shrimp. The operation became unsustainable, contributing to the chain's descent into bankruptcy.

Larry Konecny, recruited to Red Lobster in November 2024, quickly learned the horror stories from the past. After months of planning and debate, the company believes it has solved the operational challenges. This time, servers won't act as "shrimp police" - a role that likely added friction to the customer experience previously.