(NEXSTAR) \u2014 Red Lobster is reportedly shuttering at least 48 of its locations, and a restaurant supply liquidator is auctioning off kitchen equipment from the impacted eateries this week.<\/p>\n\n\n\n
TAGeX Brands announced on Monday<\/u><\/a> that it\u2019s conducting the online auction through Thursday, May 16, for select Red Lobster restaurants closing in multiple states. Most notably, California and Florida are losing five locations each, while Maryland and Colorado are losing four.<\/p>\n\n\n\n Nexstar\u2019s KETK<\/u><\/a> also reported that three Red Lobster restaurants in Texas abruptly shut down this week, listing their hours as \u201cclosed.\u201d None of those locations could be reached via phone.<\/p>\n\n\n\n In Illinois, the mayor of Danville posted a message on Facebook about the sudden closure of the city\u2019s only Red Lobster and extended his prayers to the affected workers.<\/p>\n\n\n\n \u201cI was just notified by one of our local Red Lobster managers that after 31 years of serving our community, without notice, their parent company laid off the entire crew and closed the restaurant effective immediately,\u201d wrote Danville Mayor Rickey Williams Jr.<\/u><\/a><\/p>\n\n\n\n \u201cThis is despite the fact that they were rated number 15 out of over 600 stores for customer service & satisfaction last year,\u201d he added.<\/p>\n\n\n\n These 95 Express stores are set to close amid bankruptcy: court documents\u2002<\/strong><\/u><\/strong><\/a><\/p>\n\n\n\n As for the auction, several items are up for grabs \u2013 from high-performance ovens to upright refrigerators and dining room furniture. TAGeX Brands called it \u201cthe largest restaurant equipment auction ever\u201d on its website. It\u2019s important to note that the items aren\u2019t being sold individually. Each location will have one winning bidder who will take all contents from the restaurant.<\/p>\n\n\n\n \u201cThese auctions are WINNER TAKES ALL \u2013 meaning, each winner will receive the ENTIRE contents of the Red Lobster location they bid on,\u201d TAGeX Brands noted.<\/p>\n\n\n\n Back in April, Bloomberg<\/u><\/a> and CNBC reported<\/u><\/a> that the seafood chain, which has been a staple of the American restaurant scene for decades, considered filing for bankruptcy. Though, Red Lobster has not publicly confirmed this. The report noted that people who were familiar with the matter said Red Lobster was looking for restructuring advice to address leases and labor costs.<\/p>\n\n\n\n The company has faced some financial and internal challenges within the past few years. Between 2021 and 2022, the company welcomed a fresh lineup of executives, including a new CEO, chief marketing officer, chief financial officer, and chief information officer,\u2002according to CNN<\/u><\/a>. All of them reportedly left within two years.<\/p>\n\n\n\n Then, there was the endless shrimp fiasco. In June 2023, the company offered its \u201cUltimate Endless Shrimp\u201d \u2014 typically a limited offer \u2014 on their regular menu for $20. The attempt to get more people into the store worked, but it came at a cost.<\/p>\n\n\n\n Red Lobster lost shocking amount of money after endless shrimp \u2018success\u2019\u2002<\/strong><\/u><\/strong><\/a><\/p>\n\n\n\n Red Lobster posted an operating loss of more than $11 million in Q3 of that year, according to Restaurant Business<\/u><\/a>. It\u2019s a loss that parent company Thai Union Group said the endless shrimp deal was a \u201ckey factor\u201d in creating.<\/p>\n\n\n\n Thai Union Group announced earlier this year that it was looking to sell its stake in the brand, citing the impact of a \u201ccombination of [the] Covid-19 pandemic, sustained industry headwinds, higher interest rates and rising material and labor costs\u201d on profits.<\/p>\n\n\n\n Created by Bill Darden, the first Red Lobster opened in 1968 in Lakeland, Florida, advertised as fresh seafood for people of all walks of life. As of Monday, the website claims that there are over 700 Red Lobster locations around the world.<\/p>\n\n\n\n