Red Lobster Suddenly Closed Dozens of Restaurants

Red Lobster suddenly closed 48 of its restaurants around the country this week without warning.

The locations affected have signs posted that simply say, "temporarily closed."

Red Lobster is reportedly considering filing for bankruptcy protection amid ongoing economic and management struggles.

There are no hours listed on the company's website for any of the restaurants listed as temporarily closed .Red Lobster currently operates two locations in Augusta. One at 2847 Washington Road, and the other at 44 Walton Way. There's also a Red Lobster location at 950 Aiken Mall Drive. All 3 remain open.

Red Lobster, which has been in business for 56 years, operates nearly 650 restaurants nationwide and abroad.

Red Lobster started facing financial struggles in 2021 when a new group of executives was introduced at the helm. They didn't stay long. The CEO, chief marketing officer, chief financial officer and chief information officer all left within 2 years.

In 2023, the company offered its "Ultimate Endless Shrimp" promotion, which turned out to be a financial disaster for the company. In fact, Red Lobster reported losing more than $11 million in the third quarter of that year thanks, in part, to the promotion that cut the company's profits.

TAGeX Brands is in the process of conducting an online auction of Red Lobster restaurant inventory, including kitchen equipment, furniture, tables and chairs. The auction began Monday and is scheduled to run through this Thursday. The message on TAGeX's website reads:

"As of today, select Red Lobster locations are closed. On our Restaurant Equipment marketplace, we are auctioning off 50+ locations across the country. These auctions are winner takes all--meaining, each winner will receive the entire contents of the Red Lobster location they bid on. Auctions are live and will end periodically on Thursday, May 16, 2024."

For more information, visit www.tagexbrands.com.