Red Lobster will close an additional two dozen locations during August reducing the number of stores to approximately 500, down from 650 before their bankruptcy filing.

Fortress Credit Corp. will be the beneficial owner of the chain when it emerges from Chapter 11.  This investment group operates Logan’s Roadhouse and other restaurant and QSR chains that previously encountered financial hardship due to mismanagement.

Fortress has announced the appointment of Damola Admolekun as CEO.  He has accepted the Red Lobster challenge after a four-year tenure with P.F. Chang’s restaurant chain.

Management have developed a rehabilitation program involving closing unprofitable restaurants, reorganization, reducing costs, introducing new menus and above all, abandoning unprofitable ventures such as “endless shrimp. ” The program should restore viability especially under experienced management.