Red Lobster rebounds with the return of Crabfest after bankruptcy

In the United States, Red Lobster has made a significant comeback by launching its beloved Crabfest menu on June 23, 2025, following a period of financial turmoil that led to its bankruptcy in 2024. The fast-casual chain, which emerged from Chapter 11 bankruptcy last summer, is now offering a limited-time celebration featuring popular crab dishes that appeal to both loyal customers and newcomers alike. The new Crabfest includes seafood boils designed for tableside service, offering patrons a unique dining experience to enjoy a mixture of seafood and seasonal vegetables. The Mariner's Boil, filled with a Maine lobster tail, shrimp, snow crab legs, corn, and red potatoes, highlights the offerings, while the Sailor's Boil features shrimp and smoked sausage, served with different flavor options like Roasted Garlic Butter and Cajun Butter. Crab-themed dishes have been expanded to include Crabby Stuffed Mushrooms, Crab-Topped Asparagus, and a choice between Steak or Salmon Oscar with lump crab meat. This revitalized menu reflects the organization’s commitment to enhancing customer experiences and showcases its recovery from financial struggles. The chain's rebound follows the acquisition by RL Investor Holdings and the appointment of CEO Damola Adamolekun, who is steering the brand towards a younger demographic. Red Lobster had to shut down numerous locations due to financial mismanagement linked to its previous marketing strategies, including an unsustainable promotion of endless shrimp that resulted in heavy losses. By focusing on seasonal events like Crabfest, Red Lobster aims to draw in customers with its high-quality seafood offering and to reestablish itself as a leading dining destination. With Crabfest running until September 14, the chain is not only back in the market but is also actively promoting innovative seafood dishes paired with refreshing cocktails, aiming to create a festive atmosphere that fosters community dining experiences. This move marks a positive shift for Red Lobster, demonstrating its resilience and adaptability in facing previous challenges while focusing on customer satisfaction and engagement during the bustling summer season.