Considered one of America’s favourite informal eating chains has had a rocky few months—and so they’re blaming it on shrimp.
In Might, Pink Lobster filed for chapter after greater than 50 places closed amid large losses from its too-popular Infinite Shrimp promotion. Then in August, the seafood chain reeled in a brand new CEO: Damola Adamolekun, the 35-year-old former P.F. Chang’s chief government.
“That is, with out exaggeration, some of the necessary corporations in American historical past,” Adamolekun instructed CNN. “There have been actually large errors remodeled the previous few years.”
However Since taking the nook workplace, Adamolekun has been on a mission to present Pink Lobster again its sea legs. One of many main errors he was referring to was the chain’s Infinite Shrimp promotion. Whereas wildly common with company, it led the corporate to thousands and thousands in working losses. Plus, it put undue stress on servers and kitchen workers, Adamolekun instructed CNN.
Beneath Adamolekun’s management, the corporate plans to make large modifications, like repairing eating places and truncating its menu, which he mentioned had too many dishes. They’re additionally “achieved closing eating places,” Adamolekun mentioned, and the chain at present has 545 places. That is all a part of a greater than $60 million plan to maintain the seafood chain from drowning once more.
Along with structural and menu modifications, Pink Lobster can be refreshing its C-suite. Simply previously week, the seafood chain has began stacking its government group with seasoned restaurant leaders, each with a long time of expertise.
On Tuesday, the corporate introduced Bob Baker would take over as chief monetary officer. He has an extended historical past of restaurant management having beforehand served as CFO of Checkers & Rally’s in Tampa, Fla., Benihana in Miami, and Cafe Rio Mexican Grill. Earlier than that, he held finance, operations, M&A, and accounting positions with Fortune 1000 quick meals company Yum! Manufacturers. He replaces Stephanie Medley, who had been interim CFO since February and was beforehand chief technique and monetary officer of Ruby Tuesday.
Picture courtesy Pink Lobster
Then on Wednesday, Pink Lobster additionally introduced the appointment of its new chief advertising and marketing officer, Nichole Robillard. She most lately led barbecue chain Smokey Bones by way of a rebranding and enterprise transformation interval, which might serve Pink Lobster effectively because it claws its means out of a monetary downturn. Throughout its chapter interval, Pink Lobster’s advertising and marketing was dealt with by Sara Bittorf, a specialist in turnarounds and restructurings, in response to Advertising and marketing Dive.
Courtesy of Pink Lobster
Pink Lobster didn’t reply to Fortune’s request for remark concerning the new management appointments or whether or not there can be extra C-suite bulletins within the close to future.
In mid-September, Adamolekun reassured clients and buyers the model was swimming in the best route because it exited Chapter 11 chapter.
“Pink Lobster is now a stronger, extra resilient firm,” he mentioned in a Sept. 16 assertion. “And at present is the beginning of a brand new chapter in our historical past.”
