As Bed Bath & Beyond has warned it could soon file for bankruptcy, at least one of the homewares retailer’s stores in Delaware is set to close.
Closing sales will take place “over the next few months” at Bed Bath & Beyond in downtown Brandywine, according to a company spokesperson. They declined to comment when asked when the store would close.
In a public filing on Thursday, Bed Bath & Beyond said it faced “substantial doubt” about its ability to continue in business. The company said it would consider all “strategic alternatives,” including bankruptcy protection.
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Bed Bath & Beyond has three stores in Delaware: Brandywine Town Center, Christiana Town Center near Route 273, and Coastal Highway in Rehoboth Beach. The company also operates the Buy Buy Baby chain, which has a store in downtown Christiana.
The company’s spokesperson declined to say whether Thursday’s announcement would affect other stores.
The closure of downtown Brandywine is part of a decision announced in August to close 150 “low production” stores.
“We embrace a simple back-to-basics philosophy,” CEO Sue Dove said in a statement at the time.
Last summer, Bed Bath & Beyond had approximately 32,000 employees and 900 stores. The company said Thursday it expected to report a 33% decline in sales in the previous quarter and a net loss of $386 million, from $276 million a year earlier. The drop in sales was driven by lower customer traffic and reduced levels of inventory availability, they said.
“Bad Bath & Beyond has gone too far to be saved in its current form,” wrote Neil Saunders, retail analyst and managing director of GlobalData in an analysis. “A catalog of missteps has driven the company to the ground and made it less and less relevant. Only very drastic action will allow it to survive and even if it does, it will be a shadow of herself.”
Delaware stores have already survived a few rounds of closings. At the end of 2019 and 2020, Bed Bath & Beyond closed approximately 75 stores.
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Contact Brandon Holveck at email@example.com. Follow him on Twitter @holveck_brandon.