Bed, Bath, and Beyond raises possibility of bankruptcy
A home goods retail chain known for its discount coupons has raised concerns about its ability to continue as a “going concern” suggesting the possibility of bankruptcy.
In a Security and Exchange filing, Bed, Bath, and Beyond announced that it expects to report of net loss of $386 million for the three months ending November 26, 2022.
Expecting a decline in sales from the period in the previous year, the retailer blamed problems on lower customer traffic, reduced levels of available inventory, among other factors.
While the Bed, Bath, and Beyond says it is pursuing actions to improve its cash position and mitigate a shortfall, the company reported that there is substantial doubt about its ability to continue as a going concern.
Executives say they are considering measures including restructuring or refinancing its debt, seeking additional debt or equity capital, reducing, or delaying the Company’s business activities and strategic initiatives, or selling assets
However other measures are being considered, including obtaining relief under the U.S. Bankruptcy Code.
The SEC filing notes that those measures may not be successful.
Bed, Bath, and Beyond has 955 stores, including one in Boardman.