Red Lobster is betting on a new 35-year-old CEO to turn around its ailing business.
The beleaguered seafood chain last month announced the hire of former P.F. Chang’s CEO Damola Adamolekun under its reorganization plan, in addition to its sale to a lender group led by asset manager Fortress Investment Group. After scoring approval from a U.S. bankruptcy judge last week to move forward with its proposal, the Orlando, Florida-based company now awaits an exit from Chapter 11 bankruptcy protection.
Red Lobster’s recent troubles stemmed from poor business decisions, including the expansion of its infamous Endless Shrimp promotion from an annual special to a daily offering. The $20 all-you-can-eat menu staple meant to lure customers back to dining tables was indeed popular with guests, but proved costly. The scheme resulted in an $11 million loss, and its restructuring team directly pointed to the deal as a direct contributor to its bankruptcy filing in May.
The chain is now enlisting the leadership expertise of Adamolekun, 35, the former Wall Street whiz who led P.F. Chang’s for about three years through the turbulent COVID-19 pandemic, refreshing the menu and introducing takeout offerings.
Adamolekun is no stranger to commercial success. The Harvard Business School graduate’s resume includes the likes of banking giant Goldman Sachs, private equity firm Paulson & Co., and asset management firm TPG Capital.
With his sights now set under the sea, Adamolekun intends to “reinvigorate the brand by making it the best place to work for our employees and improving the experience for our guests,” according to a press release announcing his hire.
He also made sure to get a taste of the murky business waters before accepting his new gig. In May, Adamolekun started visiting Red Lobster locations across the U.S., discreetly sampling menu staples–especially the crab legs–and speaking with longtime customers to learn about the chain’s pitfalls, according to the Wall Street Journal.
Red Lobster enthusiasts “just want quality food in a comfortable setting and to connect with the history of the brand,” Adamolekun told the publication. “That’s the first step.”
The young CEO is poised to hit the ground running with an expected $70 million investment from Fortress to improve the restaurants. He most likely won’t be taking many breaks either, previously telling Fortune he doesn't believe in work-life balance.
“My life is my work. My work is my life,” he said in a 2023 interview chronicling his daily routine as the chief executive of P.F. Chang’s. Unlike most workers, his days kicked off sharply at 4 a.m.
The daily routine of a CEO
Running a global restaurant chain through a turbulent economic period is a 24/7 operation, and for Adamolekun, it genuinely is.
“Even on a Saturday, I'll be by my pool, but I'll still be checking emails and responding to things,” he said. “To me, it’s fine and it doesn’t stress me out.”
It’s a habit he picked up in his early career as a Goldman Sachs analyst.
“I thought it was awesome,” he said. “I wasn't worried about going in on a Saturday, I thought it was cool.”
Adamolekun told Fortune he’s never been one to separate work and life, saying “it mixes,” but acknowledging that it’s not for everyone.
“I'm not saying people shouldn't separate work and life, but I never really have.” he said.
As CEO of P.F. Chang’s, Adamolekun said he encouraged employees to build in “buffers,” throughout the week, like taking a day off on a Tuesday or Wednesday since weekends are usually the busiest time for the restaurants.
The around-the-clock nature of the restaurant industry typically involves long hours and late nights, yet Adamolekun’s days start earlier than most.
During his tenure at the Asian-inspired restaurant chain, Adamolekun kicked off his mornings “very early” at 4 a.m. before heading out on an eight-mile run.
“It's a great thing to do to start your day,” he said. “You'll feel better the whole day, you'll be smarter, you'll be sharper, you'll be more energetic. So I try not to miss that.”
After showering and preparing for the work day, Adamolekun checked his email for metrics gathered from the previous day before heading on his 20-minute commute to P.F. Chang’s headquarters in Scottsdale, Ariz.
After a prompt arrival time of 7 a.m., Adamolekun was often greeted in the office by fellow early birds in his C-suite, including his chief financial officer and chief operations officer. The leaders often popped into each other’s offices to “level set” on performance and observations from the day prior.
Adamolekun’s first meetings of the day kicked off at 8 a.m., and his schedule included a mix of conversations with other teams at the company, direct reports, investors, and external partners. Between Zooms and in-person chats, Adamolekun prioritized responding to emails requiring his approval “so whoever is waiting for me can go do what they need to do.”
The nonstop nature of the new messages in his inbox was a full-time job: “A lot of my emails I'll get to later in the day, frankly, because the days just get pretty busy.”
Even after leaving his office around 6 p.m., Adamolekun was still responding to emails, but the work day wasn’t always over. As the boss of a restaurant brand, the chief executive often attended business dinners after hours.
“But if I don't have something like that, then I typically try to relax and take it easy, especially during the week,” he said.
An avid sports fan, relaxation often included watching a sports game on TV, reading books, or smoking a cigar on his patio.
“I used to have [Phoenix] Suns season tickets,” he said. “I used to go to games all the time for that, but then I moved. I live far now, it's too far–it’s like an hour–so I gave those out.”
Adamolekun said his after-work activities weren’t “too exciting,” considering his incredibly early wake-up time.
“Early to bed, early up is my routine.”
