[fallingknife]

Correct. Everything is working fine. If those individual Red Lobster locations are making money, they will continue to exist because the lenders will get paid back more by cutting a deal and continuing to operate than by closing the restaurants. If the individual restaurants are not making money then they will close, as they should. The overall demand for restaurants is unchanged in either scenario, so if they close, their place will be taken by other restaurants.

[civilized]

And I suppose the individual owners were paying rent in some form to Red Lobster Inc, since it owned the land? It might be that all that changes for them is who they write the check out to. And possibly the amount, if Red Lobster Inc was in the habit of subsidizing its locations.