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Red Lobster says it will soon exit bankruptcy protection after judge approves seafood chain's sale
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FILE - A Red Lobster restaurant is seen in Schaumburg, Ill., May 20, 2024. - photo by AP Photo/Nam Y. Huh
NEW YORK (AP) — After months of dozens of restaurant closings and headlines about “endless shrimp” woes, Red Lobster says it will soon exit from Chapter 11 bankruptcy protection. A U.S. bankruptcy judge on Thursday approved the casual seafood chain's reorganization plan, which includes a lender group led by asset manager Fortress acquiring the business. The green light arrives under just four months after Red Lobster filed for bankruptcy protection as it pursued a sale, following years of mounting losses and dwindling customers while it struggled to keep up with competitors.