Chagee, Red Lobster, the economy
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June 1, 2026
Chagee is having some success in the U.S. The Chinese tea chain debuted here last year and now has nine locations. The company said that its early success in the ultra-competitive market bolsters its expansion outside its home country. Chagee operates more than 7,500 locations, most of which are in China. But it has started expanding aggressively in other global markets and believes that its premium position could give it a foothold in the U.S. and in other countries.
There are two economies in the U.S. The economy grew at 1.6% in the first quarter, according to recent federal data, but that was slower than initial estimates. And much of the economy is being propped up by wealthier consumers whose spending is bolstered by soaring stock prices. Stocks are up 10% this year, which helps explain why nearly half of all spending is now coming from the wealthiest 10% of consumers. But disposable personal income has started to decline, the savings rate is at historic lows and consumer sentiment is at its lowest rate in decades.
Red Lobster is leaving Times Square. The chain will close its lone New York City restaurant on June 14 after 23 years in the tourist hub. The company said ongoing construction on the building has hurt visibility and traffic, making it no longer viable. The restaurant will join the list of more than 100 Red Lobsters to close amid its bankruptcy filing in 2024.
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About the Authors
Leigh Anne Zinsmeister
Managing Editor
Leigh Anne Zinsmeister is a managing editor for Informa’s Foodservices Vertical, specifically Nation’s Restaurant News, Restaurant Hospitality, and Foodservice Director. Leigh Anne works on all of the brands’ special reports, including Nation’s Restaurant News’ annual Top 500 report and Restaurant Hospitality’s Best Cocktails and Best Sandwiches contests. She also manages the group’s digital engagement team, and was the managing editor for Supermarket News until December 2024.
Leigh Anne lives in New York City, but also claims Phoenix, Dallas and Cleveland as hometowns. Leigh Anne holds a bachelor’s degree in print journalism from the Walter Cronkite School of Journalism and Mass Communication at Arizona State University, where she also studied European history.
Email Leigh Anne at [email protected]
Leigh Anne Zinsmeister’s experience:
Group Managing Editor, Informa’s Foodservices Vertical (Aug. 2021-present)
Group Content Manager, Informa Restaurant and Food Group (Feb. 2020-Aug. 2021)
Digital Content Manager, Informa Restaurant and Food Group (April 2018-Feb. 2020)
Digital Content Producer, Informa Restaurant and Food Group (June 2016-April 2018)
Community Moderator, Mail Online (March 2014-June 2016)
Wire Editor, Gannett’s Phoenix Design studio (The Arizona Republic, The Reno Gazette-Journal, The Statesman Journal, The Great Falls Tribune, The Visalia Times-Delta, The Tulare Advance Register, The Salinas Californian, The St. George Spectrum, The Desert Sun, The Coloradoan) (Jan. 2012-March 2014)
Group Managing Editor, Informa’s Foodservices Vertical (Aug. 2021-present)
Group Content Manager, Informa Restaurant and Food Group (Feb. 2020-Aug. 2021)
Digital Content Manager, Informa Restaurant and Food Group (April 2018-Feb. 2020)
Digital Content Producer, Informa Restaurant and Food Group (June 2016-April 2018)
Community Moderator, Mail Online (March 2014-June 2016)
Wire Editor, Gannett’s Phoenix Design studio (The Arizona Republic, The Reno Gazette-Journal, The Statesman Journal, The Great Falls Tribune, The Visalia Times-Delta, The Tulare Advance Register, The Salinas Californian, The St. George Spectrum, The Desert Sun, The Coloradoan) (Jan. 2012-March 2014)
Lisa Jennings
Executive Editor, Restaurant Business
Lisa Jennings is a veteran restaurant industry reporter and editor who covers the fast-casual sector, independent restaurants and emerging chain concepts. Her experience includes other industry publications as well as the daily newspaper The Commercial Appeal in Memphis, Tenn., where she was Food Editor. Her work has been cited in the Los Angeles Times, Business Insider, FoodBeast, The Huffington Post, Time.com and more.
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