You might have some vivid fond memories of going to Red Lobster with your friends and family, but making future ones there might not be possible — and it’s all because of one key mistake.

Earlier, we reported that Red Lobster is considering bankruptcy, but we now have some insider information.

This Food Is the Reason Red Lobsters Across America Might Close Forever

Although most widely known for their cheddar bay biscuits, Red Lobster has a love/hate relationship with shrimp.

You see, in 2023, Red Lobster made a vital error in estimating how much Americans love eating shrimp. They offered unlimited shrimp for just $20.

Now, because of that, the fast-casual seafood chain is reportedly eyeing Chapter 11 bankruptcy after the endless shrimp deal proved way too popular.

The CFO for Red Lobster, Ludovic Regis Henri Garnier, told investors, “We knew the price was cheap, but the idea was to bring more traffic in the restaurants.”

The head of the once successful, now floundering seafood chain continued, “So we wanted to boost our traffic, and it didn’t work.”

Now, Red Lobster has to face a huge decision: Is it worth it to try to go on, or is it time to file for bankruptcy? According to Bloomberg.com, the restaurant is eyeing overall losses of around $20 million.

Facing the issue of pulling back an all-you-can-eat shrimp promotion that was widely popular, but costing the company too much money, was no laughing matter. Pulling the promotion could garner negative press.

Red Lobster had to put their tail between their legs and recognize that the $20 price tag for all-you-can-eat shrimp was far too low.

So now, Red Lobster has upped the price to $25, which they hope will keep them afloat a while longer.

Only time will tell if your last meal at Red Lobster will indeed be your last meal at Red Lobster.

Evan Paul is the host of Taste of Country Nights, a syndicated radio show heard on more than 130 country radio stations nationwide, every night from 7PM to midnight. He plays the best new country music and interviews today’s top stars, like Luke Combs, Morgan Wallen, Kenny Chesney, Miranda Lambert, Dan + Shay, Keith Urban, Carrie Underwood, Luke Bryan, Chris Stapleton, Lady A, + more!