Red Lobster closes Tyler restaurant, among 80 others
Published 6:45 pm Monday, May 13, 2024
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The Tyler Red Lobster is one of more than 80 locations that closed across the nation this week.
Locations in at least 27 states were listed as “temporarily closed” on the restaurant’s website. Workers at the shuttered restaurants, including Tyler workers, shared their disbelief on social media and said they didn’t receive any notice.
According to a report in Restaurant Business online, the closures were unexpected with employees showing up to work only to find out they no longer had a job.
Restaurant Business also reported that equipment from more than 50 Red Lobsters in 21 states is being auctioned off at RestaurantEquipment.bid.
“The 649-unit chain has been struggling for years with sales and profit declines,” Restaurant Business reported. “The situation reached a boiling point last year as the chain bled money, prompting minority owner Thai Union Group to abandon a turnaround effort and divest from the company.”
This past month, Bloomberg reported that Red Lobster was considering a bankruptcy filing to restructure its debt.
Red Lobster started with a single location in 1968.