Just to clarify, the red region in the map looks pretty senseless if you look at the pink State all together. In this case, the final red region can potentially comprise the pink States in the Southwest or those in the North, but obviously not both.
What about "neither," the option that I support?
Neither is obviously an option for these maps, generally speaking. But as I try to make regions with at leats 4 States each, I'd still try to add one or two more States to the dark red core.
Of course it could be that the Outer South/Appalachia is just not a region with four states. That certainly can be the case given the other regions that you have established.