Red Lobster Files for Bankruptcy. What Does This Mean for Restaurants in WA?

Last month it was reported that Red Lobster could be next to file for bankruptcy sooner than later.

It turns out those notions were correct.

CNN reported Red Lobster is filing for Chapter 11 bankruptcy protection.

A number of issues led to this decision including, as many are saying, the endless shrimp deal.

NBC stated that with their largest investor, Thai Union, that has 49% of the company leaving, that's going to make a huge impact in why they're deciding to file for Chapter 11.

Almost 100 locations closing from their almost 700 locations, 15% is quite a bit.

What does bankruptcy mean for Washington State Red Lobsters?

So far only the Silverdale, WA location has closed. There are no plans for the Yakima, Kennewick, or even Spokane locations to be closing as of this time.

Earlier this month they closed just shy of 100 locations across the United States including 5 in California and the Lewiston, Idaho, location. None of the Oregon locations were closed during this time.

With this Chapter 11 filing, the hope is they remain open long enough for a new buyer to come in and take care of things.

with 36,000 employees across so many restaurants, that would be a lot of people out of work as well.

Some locations have already closed and I won't be surprised if they decide to close more locations soon. Here's hoping the Yakima location stays open as it's a place we enjoy visiting at least a few times a year.