Red Lobster’s Troubling Turn: 23 More Locations on the Chopping Block

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Red Lobster is set to close an additional 23 locations across the United States, following more than three months after its Chapter 11 bankruptcy filing. This brings the total number of closures to at least 129 nationwide.

The most recent closures include three restaurants each in Florida, Illinois, and Virginia; two in Minnesota and New York; and one each in Arizona, California, Colorado, Georgia, Indiana, Missouri, North Carolina, Ohio, and South Carolina.

In a court document submitted on August 22 in the U.S. Bankruptcy Court for the Middle District of Florida, the company announced it would be rejecting the leases for these 23 locations by August 31.

Red Lobster filed for bankruptcy on May 19, following the closure of numerous locations and efforts to streamline operations. The bankruptcy was attributed mainly to mounting debt, frequent changes in leadership, issues related to a promotion on all-you-can-eat shrimp, and a 30% decline in diners since 2019.

The newly announced closures are as follows:

Arizona: Yuma (1521 S. Yuma Palms Parkway)
Arkansas: Little Rock (8407 W. Markham Street)
California: La Mesa (8703 Murray Drive)
Colorado: Colorado Springs (4925 N. Academy Boulevard)
Florida: Fort Walton Beach (326 Miracle Strip Parkway S.W.), Pensacola (5110 N. 9th Avenue), and Port Richey (8909 US Highway 19)
Georgia: Jonesboro (6550 Tara Boulevard)
Illinois: Bourbonnais (1604 N. State Road Route 50), Geneva (902 Commons Drive), and Peoria (4625 N. Sterling Avenue)
Indiana: Michigan City (4353 Franklin Street)
Minnesota: Golden Valley (8900 Golden Valley Road) and Maple Grove (12515 Elm Creek Boulevard N.)
Missouri: Maplewood (2381 Maplewood Commons Drive)
New York: Bronx (925 Hunts Point Avenue), Queensbury (750 Upper Glen Street)
North Carolina: Jacksonville (304 A Western Boulevard)
Ohio: Strongsville (17227 Southpark Center)
South Carolina: Cayce (1270 Knox Abbott Drive)
Virginia: Alexandria (555 S. Van Dorn Street), Richmond (4415 S. Laburnum Avenue), Virginia Beach (709 Independence Boulevard)

In June, the company disclosed 228 leases it intended to reject, indicating it would incur further losses if these locations remained operational. This list included several restaurants that had already closed, leading to the current risk of 129 additional closures. The latest announcements follow the earlier shutdown of 106 restaurants.

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