American interior chain Bed Bath & Beyond is in danger of collapsing after previous rescue plans have failed. The retailer is seeking protection from creditors and launching a major liquidation sale.
No surprise
Bed Bath & Beyond has been loss-making for years, despite attempts to turn things around. The chain has closed hundreds of stores in recent months and tried to raise additional capital from investors, but this does not appear to be enough to ensure the survival of the chain. The retailer is now seeking protection from creditors through the so-called Chapter 11 procedure. The 360 remaining shops and the online store will remain open for a big sale for the time being. Sister company buybuy Baby, a children’s retail chain with some 120 stores, will also remain open.
The announcement does not come as a big surprise: last January, Bed Bath & Beyond announced that the survival of the chain was in doubt. The category killer, specialising in bedding and small interior items, relies on large physical stores and never found an answer to the rise of e-commerce. Sales took an additional hit during the corona pandemic.
