More Red Lobster Locations in Danger of Closing
More Red Lobster locations across the country could be closing their doors for good, unless they can renegotiate their leases.
The company announced in May it was filing for bankruptcy protection after years of struggles ranging from the Covid-19 pandemic, to ownership turnover, and an all-you-can-eat shrimp deal that proved to be costlier than expected.
With the “$20 Ultimate Endless Shrimp” deal, Red Lobster said the promotion led to an $11 million operating loss in the third quarter of 2023 after company officials underestimated just how many customers would take advantage of the deal.
Red Lobster reported between $1 billion and $10 billion in debt in its bankruptcy filings and closed more than 50 locations, including 3 in Georgia soon after. The peach state locations that closed in May were in Roswell, Athens and Dublin.
Red Lobster Locations in Georgia that Could be Closing
More Red Lobster locations could be closing in:
- Columbus
- Jonesboro
- Rome
- Smyrna
If those 4 locations close, that would leave 16 still open in Georgia including two in Augusta, on Walton Way and Washington Road. The Red Lobster location on Aiken Mall Drive in Aiken is also still open. Locations in Cayce and Charleston are in danger of closing in South Carolina.
Several other major restaurant chains have announced some closures in 2024, citing sales and profits that were below expectations.
Other Restaurant Chains that have Closed Some Locations in the U.S.
- Applebees (closing 25 to 35 locations this year after closing 33 last year
- TGI Fridays (closing 36 locations
- Denny’s (closing 10 to 20 locations this year after closing 57 last year
- Cracker Barrel (closing four locations, including one in South Carolina)
- Mod Pizza (closing 26 locations)
- PDQ (already closed 8 locations in South Carolina and North Carolina
- Outback Steakhouse (Bloomin’ Brands closed 41 restaurants across its brands including Carrabba’s Italian Grill, Bonefish Grill, Fleming’s and Outback Steakhouse
- Hardees (already closed 39 locations in 2023 with more coming this year in Illinois, Tennessee and Missouri
