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Red Lobster Closes Dozens of Locations Amid Financial Struggles

lobster on icy tray

DOTHAN, AL (WDNews) — Red Lobster has abruptly closed dozens of its locations nationwide, as the popular seafood chain grapples with significant financial challenges. According to CNN, at least 48 out of the nearly 650 restaurants have been shut down.

These closures come amid rumors that Red Lobster may be considering filing for Chapter 11 bankruptcy protection. Financial difficulties have been exacerbated by the chain’s popular Endless Shrimp promotion, which has put further strain on their resources.

The Wiregrass Daily News reached out to the local Red Lobster on Montgomery Highway in Dothan for a comment on the potential impact on the area’s restaurant. However, the manager declined to provide any information.

Currently, it appears that Red Lobster locations in Decatur, Auburn are among those in Alabama affected by the closures. Florida has been hit particularly hard, with 16 locations shutting down in the state.

The future of Dothan’s Red Lobster remains uncertain as the company navigates these turbulent times.