“Last year, Red Lobster reported $11 million in operating losses following its flubbed ‘Ultimate Endless Shrimp’ deal, which backfired when it reeled in too many customers after the limited-time promo became a permanent menu fixture last June. The restaurant chain later reported $12.5 million in losses in the fourth quarter of 2023.”
The previous owners purchased the company via a leveraged buyout. It’s not one quarters losses, it’s the massive long-term debt on it’s books.
This is a handy excuse to fuck over employees and suppliers.