Bed Bath & Beyond has warned that it may soon file for bankruptcy, with at least one of the home goods retailer’s locations in Delaware closing.
A company spokeswoman said final sales will roll out “in the next few months” at Bed Bath & Beyond in Brandywine Town Center. They declined to comment when asked when the store would close.
In a public filing Thursday, Bed Bath & Beyond said there was “substantial doubt” that it could continue operations. The company said it is considering all “strategic alternatives,” including entering bankruptcy protection.
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Bed Bath & Beyond has three Delaware stores: Brandywine Town Center, Christiana Town Center off Route 273 and Coastal Highway in Rehoboth Beach. The company also operates the Bye Bye Baby chain, which has a store in Christiana Town Center.
A company spokeswoman declined to comment on whether Thursday’s announcement would affect other stores.
The Brandywine Town Center closure is part of the operation Announced in August150 “low productivity” shops to be closed.
“We adopt a straight-forward, back-to-basics philosophy,” CEO Sue Dow said in a statement at the time.
As of last summer, Bed Bath & Beyond had about 32,000 employees and 900 stores. The company said Thursday it expects sales to fall 33% from the previous quarter and a net loss of $386 million, compared with $276 million a year earlier. They said the sales decline was due to lower customer traffic and lower inventory availability.
“Bad Path & Beyond is too far to save in its current form,” Neil Saunders, retail analyst and managing director at GlobalData, wrote in an analysis. “A catalog of misdeeds has crippled the company and made it increasingly irrelevant. Only more drastic action will allow it to survive, and even if it does, it will be a shadow of its former self.”
Delaware stores have already survived a few rounds of closings. In late 2019 and into 2020, Bed Bath & Beyond closed about 75 stores.
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Contact Brandon Hollweck [email protected]. Follow him on Twitter @holveck_brandon.