Bed Bath & Beyond is closing approximately 150 “low-producing” stores and laying off 20% of its staff, the New Jersey-based home goods retailer announced Wednesday.
Why it matters: This may be the cash-strapped company's last bite at the turnaround apple, lest it join onetime rival Linens 'n Things in the retail refuse bin, Axios’ Dan Primack reports.
By the numbers: Sales at Bed Bath & Beyond Inc. plummeted by 25% in its first quarter of 2022, the retailer said in late June, also announcing the replacement of CEO Mark Tritton.
- In June, the company reported a net loss of $358 million in its latest quarter, more than 7 times worse than a year ago.
What they're saying: “We have taken a thorough look at our business, and today, we are announcing immediate actions aimed to increase customer engagement, drive traffic, and recapture market share,” interim CEO Sue Gove said in a news release.
- “The past few years of poor strategy have caused severe financial pain and the scars will be borne in around 150 store closures and a curtailment of refurbishment programs,” said Neil Saunders, managing director of GlobalData.
Bed Bath & Beyond store closings list
Bed Bath & Beyond said it has already "identified and commenced" the new round of closures.
- A list of the closing stores was not released and the company told Axios it would "share more information when available."
Flashback: Store closings aren’t new for Bed Bath & Beyond. In July 2020, company officials said 200 of its namesake stores were expected to close over the next two years, accounting for approximately 21% of its Bed Bath & Beyond stores.
- The retailer also operates buybuy Baby stores and stores under the names Harmon, Harmon Face Values or Face Values.
Between the lines: In past Bed Bath & Beyond liquidation events, all sales were final and coupons were not accepted.
- It was unknown Wednesday if members of the chain's new loyalty program, Welcome Rewards, would be able to earn points on purchases at liquidating stores.
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