Orlando based Darden Restaurants finalizes sale of Red Lobster
ORLANDO, Fla. (AP) -
NEW YORK (AP) -- Red Lobster wants to be seen as a purveyor of quality seafood, so it's getting rid of some of its promotional discounts and plating dishes higher like fancier restaurants.
The changes mark the latest attempt by the struggling seafood to stop a years-long sales decline as it embarks on a new era.
On Monday, Darden Restaurants Inc. said it finalized its sale of the chain to investment firm Golden Gate Capital, despite contentious protests from activist investors.
Sit-down chains like Red Lobster have been struggling since the economic downturn as people cut back on spending. Such chains are also losing business to places like Chipotle and Panera.
New Red Lobster CEO Kim Lodrop says he hopes a move away from "2 for $25"-style discounting will improve Red Lobster's image.