On May 13, Red Lobster at 655 Jefferson Road in Henrietta shut down abruptly, along with dozens of other locations across the country. A look at the restaurant chain's website reveals 87 stores "temporarily" closed across 27 states.
Online restaurant liquidator TAGeX Brands is auctioning off the contents of 48 of them, including the Henrietta location, and has indicated that those restaurants are closed permanently. The TAGeX website says the live auctions will end Thursday, and that each winner will receive the "entire contents of the Red Lobster location they bid on."
The Democrat and Chronicle reached out to the Henrietta location and found that the telephone number no longer worked, and the web page had been deleted. On Monday evening, the business was locked and dark, and the parking lot was empty. Red Lobster at 1515 W. Ridge Road, Greece, remains open.
Red Lobster closings: See the list
Each of these restaurants are currently listed as temporarily closed on the website:
Alabama
Arizona
California
Colorado
Florida
Georgia
Idaho
Illinois
Indiana
Iowa
Kansas
Louisiana
Maryland
Mississippi
Missouri
New Jersey
New York
North Carolina
North Dakota
Oklahoma
Pennsylvania
South Carolina
Tennessee
Texas
Virginia
Washington
Wisconsin
Red Lobster considered filing for bankruptcy in April
The seafood chain considered filing for Chapter 11 bankruptcy last month in an effort to restructure its debt, according to Bloomberg .
The company had been getting advice from law firm King & Spalding as it looked to shed some long-term contracts and renegotiate leases, Bloomberg reported, noting that Red Lobster's cash flows had been weighed down by leases and labor costs, among other issues.
Red Lobster suffered big losses with 'Ultimate Endless Shrimp' promotion
In 2023, the seafood chain's " Ultimate Endless Shrimp " deal became more popular than expected, inadvertently becoming a key factor in a $11 million loss in the third quarter.
The limited-time promotional deal, in which guests picked two types of shrimp to enjoy nonstop for $20, landed a permanent spot on Red Lobster menus in June. Red Lobster's parent company, Thai Union Group, said in November 2023 that the chain was headed toward a $20 million loss for 2023. Now the endless shrimp deal costs $25.
Thai Union Group CFO Ludovic Regis Henri Garnier said in an earnings report call that the company was aware the initial price for the endless-shrimp deal was cheap. The offer was intended to draw customers into restaurants, but orders exceeded expectations, he said.
"We wanted to boost our traffic, and it didn't work," Garnier told investors in November 2023, according to Restaurant Business Magazine . "We want to keep it on the menu. And of course we need to be much more careful regarding what are the entry points and what is the price point we are offering for this promotion."
Contributing: USA Today Network and Reuters
Reporter Marcia Greenwood covers general assignments. Send story tips to mgreenwo@rocheste.gannett.com. Follow her on Twitter @MarciaGreenwood .
This article originally appeared on USA TODAY: Red Lobster closes 87 locations in 27 states. See the complete list
Local New Jersey State
Most Popular
Comments / 0