UNION, N.J. – Bed Bath & Beyond announced Sunday that it has filed for Chapter 11 bankruptcy in the United States Bankruptcy Court for the District of New Jersey.
“Bed Bath & Beyond Inc.today announced that it and certain of its subsidiaries filed voluntary petitions for relief under Chapter 11 of the U.S. Bankruptcy Code in the United States Bankruptcy Court for the District of New Jersey to implement an orderly wind down of its businesses while conducting a limited marketing process to solicit interest in one or more sales of some or all of its assets,” the company said.
Bed Bath & Beyond estimated its assets and liabilities in between the range of $1 billion and $10 billion, according to The Associated Press. The company filed for bankruptcy after it failed to secure enough funds to keep going which was partly why it started closing stores nationwide.
Bed Bath & Beyond announced last August that it was restricting its company and would close 150 stores and layoff employees, according to The New York Times. It included 62 announced in September and 56 announced in January, USA Today reported.
Bed Bath & Beyond was known for its home items like pots, pans, towels, bedding, and more, according to CNN. It was also known for its 20% off coupons — the blue-and-white coupons.
“For decades, Bed Bath & Beyond set the standard across the home goods sector and held its position through many different economic cycles and alongside a continuously evolving customer,” the company said in the news release. “In late 2022, the company initiated a significant turnaround plan to reset foundational elements of its operational and financial positioning to better serve customers, employees, and supplier partners. Actions have been underway to improve merchandise assortment, streamline supply chain, and optimize its store footprint.”
“Millions of customers have trusted us through the most important milestones in their lives – from going to college to getting married, settling into a new home to having a baby. Our teams have worked with incredible purpose to support and strengthen our beloved banners, Bed Bath & Beyond and buybuy BABY. We deeply appreciate our associates, customers, partners, and the communities we serve, and we remain steadfastly determined to serve them throughout this process. We will continue working diligently to maximize value for the benefit of all stakeholders,” CEO Sue Gove said in the news release.
360 Bed Bath & Beyond stores along with 120 buybuy Baby stores will remain open and serving customers as it starts to close its retail locations, according to the AP.
The company’s websites will remain open, according to CNBC.
The company started to see sales dip as Amazon, Target, and Walmart began investing in online operations for shoppers, the Times reported.
Bed Bath & Beyond said it would continue to “uphold commitments to customers, employees and partners,” according to the AP.