TAMPA, Fla. — Red Lobster employees and patrons were shocked on Monday when the Florida-based restaurant abruptly closed dozens of locations across the country.
It comes as bankruptcy rumors have been swirling around the seafood chain for weeks. Multiple media outlets reported last month that Red Lobster has been searching for a buyer to avoid filing for Chapter 11 bankruptcy.
While the company hasn't publicly acknowledged the closures, more than 80 Red Lobster locations in at least 27 states were listed as "temporarily closed" on the restaurant's website.
Red Lobster store closings in the Tampa Bay area
Red Lobster store closings in Florida
A Red Lobster location in Sarasota permanently closed in 2022.
The first-ever Red Lobster location opened in 1968 in Lakeland. The company moved its headquarters to Orlando in 2015.
Monday's closings aren't the first hurdle Red Lobster has faced in recent years. In 2021 and 2022, the company hired a new CEO, chief marketing officer, chief financial officer and chief information officer. They all left within two years, CNN reported.
Last summer, the company revived its endless shrimp menu deal, which led to a $11 million loss for the seafood chain, the news outlet added.
Red Lobster's top supplier, Thai Union, also recently cut ties with the seafood restaurant.
Earlier this year, Outback Steakhouse, another Tampa-based chain, announced it was closing dozens of restaurants across the U.S., including one in Sarasota.
Tegna Digital's Melissa Hernandez De La Cruz, Andrew Weil and Megan Divers contributed to this report.