Bed Bath and Beyond, the popular retail store known for its wide selection of household items, has filed for bankruptcy protection (CNN). The company’s failure to properly adapt to the rise of online shopping has resulted in their decision to go out of business (The New York Times). In an effort to raise cash and avoid bankruptcy, the company tried several last-ditch efforts which were ultimately unsuccessful (CNBC).
It has been announced that Bed Bath and Beyond will now liquidate all inventory with store closing sales starting on Wednesday (The New York Times). Those who heavily relied on the store’s famous big blue 20% off coupons will need to use them before they expire, as they will no longer be valid (CNN).
The company filed for Chapter 11 bankruptcy on April 23, and will begin an “orderly wind down” of their business (TODAY). After warning for months that they may have to resort to bankruptcy following poor holiday sales (Fox Business), they were unable to raise $300 million to keep the company alive (The Washington Post).
While the news of Bed Bath and Beyond’s bankruptcy may come as a shock to some, it does not evoke an emotional response for most (CNN Opinion). However, the closure of the retail chain could potentially result in the loss of jobs for many employees.
Bed Bath and Beyond Inc. filed voluntary Chapter 11 petitions and announced that certain subsidiaries would also be included (PR Newswire). As of now, the company is considering asset sales and a Sixth Street bankruptcy loan (Yahoo Finance).
In summary, Bed Bath and Beyond’s initial failure to adapt to the rise of online shopping has resulted in their bankruptcy and liquidation of inventory. Customers must use their coupons before they expire, and employees may be at risk of losing their jobs.
