Popular National Chain Files Bankruptcy, Closing More Stores

The number of companies filing for bankruptcy continues to grow. You can add Big Lots to the list.

There's good news and bad news for the national chain.

The good news is the company has found a buyer after filing for Chapter 11 bankruptcy. The bad news is, more stores will be closing.

Big Lots reported a net loss in the first quarter of 2024 of $205.0 million. Sales totaled $1.009 billion, over 10% less than last year's first quarter. High inflation and interest rates are to blame.

"While we made substantial progress on improving our business operations in Q1, we missed our sales goals due largely to a continued pullback in consumer spending by our core customers, particularly in high ticket discretionary items," said Bruce Thorn, President and CEO of Big Lots.

New Owners for Big Lots

Nexus Capital Management LP has agreed to acquire substantially all of the Company's assets and ongoing business operations.

"The actions we are taking will enable us to move forward with new owners who believe in our business and provide financial stability, while we optimize our operational footprint, accelerate improvement in our performance, and deliver on our promise to be the leader in extreme value," Thorn said.

More Big Lots Closings

The Empire State is home to 64 locations, including 6 in Central New York.

Utica
Rome
New Hartford
Hamilton
Liverpool
Oswego

More New York Closings

The company announced 3 closings in New York in July. 7 more locations were added to the list, including the one on Commercial Drive in New Hartford.

More Closings Coming

The closings aren't done yet. The new company plans to continue assessing its operational footprint, which they say will include shutting additional stores.

There's no word on which stores will close or even how many. Only time will tell.