Red Lobster’s Bankruptcy Exit Plan Approved. Former P.F. Chang's CEO to Step In to Lead Restructuring

A bankruptcy court has approved Red Lobster’s plan to exit Chapter 11, bringing the seafood chain closer to emerging from bankruptcy. The company filed for bankruptcy in May due to competitive pressures, expensive leases, and a failed shrimp promotion. Under a restructuring plan, RL Investor Holdings will acquire Red Lobster by the end of the month. Former P.F. Chang’s CEO, Damola Adamolekun, will become the new CEO. The restructuring includes a $60 million investment to revitalize the brand, which will continue to operate nearly 500 restaurants across North America.