Here Are The Red Lobsters Closing In New York Due To Bankruptcy

Many Red Lobster Restaurants across the country abruptly closed as the Florida-based company filed for chapter 11 bankruptcy.

According to USA TODAY,  the company's website listed 99 locations that closed across 28 states including New York, with some of them having their kitchen equipment auctioned off on an online restaurant liquidator.

The liquidator known as TAGeX Brands, announced that it was auctioning off equipment from 48 locations that have closed for good. The website even mentioned that each winner would receive the "entire contents of the Red Lobster location they bid on."

Red Lobster has struggled in various ways over the past few years including a 30% drop in guests since 2019. Red Lobster CEO Jonathan Tibus explained why the seafood restaurant chain filed for bankruptcy and why he supports this decision.

"Recently, the debtors have faced a number of financial and operational challenges, including a difficult macroeconomic environment, a bloated and underperforming restaurant footprint, failed or ill-advised strategic initiatives, and increased competition within the restaurant industry," - Jonathon Tibus, CEO of Red Lobster

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Who's the parent company for Red Lobster?

Thai Union Group which is based in Thailand has been the largest shareholder since 2020, which owns 49% of the company. Darden Restaurants originally sold off Red Lobster to a private equity firm known as Golden Gate Capital in 2014 for about $2.1 billion.

Personally I have never been eaten at a Red Lobster but after looking at their menu, I'm going to have to give it a try before they decide to close anymore locations that are close to home.