Bed Bath & Beyond files for bankruptcy protection, leaving future of Oklahoma stores uncertain

After closing hundreds of stores in a failed turnaround plan, big box retailer Bed Bath & Beyond filed for bankruptcy protection Sunday.

The filing comes after four Oklahoma Bed Bath & Beyond stores were announced as closing in February, while the Oklahoma City and Edmond stores have remained open. The company will begin an orderly wind down of its operations, including eventually closing its remaining namesake and other stores.

Two stores in Tulsa, Norman and Moore were put on the chopping block initially after not performing well enough in sales. The Oklahoma City and Edmond stores will remain open for now, while the company attempts to find a buyer for its businesses.

More: Bed Bath & Beyond files for bankruptcy protection, joining a growing list of major retailers

Why is Bed Bath & Beyond closing?

Bed Bath & Beyond warned on Jan. 5 it was considering filing for bankruptcy and there was "substantial doubt" it could stay in business. In late January, it noted in a government filing it was in default of its loans and didn't have the funds to repay what it owes.

As speculation of impending bankruptcy increased, the company's shares continued to tumble. Its financial performance has also deteriorated. In late March, it noted that preliminary results showed anywhere from a 40% to 50% decline in sales at stores opened at least a year for the quarter ended Feb. 25.

Bed Bath & Beyond joins a growing list of retailers that have filed for bankruptcy so far this year including party supplies chain Party City and David's Bridal. In the depths of the pandemic, a number of other retailers like Neiman Marcus and J.C. Penney filed for Chapter 11 bankruptcy.

But in 2022, a respite came as shoppers spent their government stimulus money and savings. Now, shoppers have had to tighten their purse strings due to inflation.

How many Bed Bath & Beyond stores are left?

There are 360 Bed Bath & Beyond stores and 120 Buy Buy Baby stores left in the company's assets, according to USA Today.

The retailer said it secured a commitment of roughly $240 million in financing from Sixth Street Specialty Lending, Inc. to allow it to keep operating during the bankruptcy process.

This article originally appeared on Oklahoman: Bed Bath & Beyond files for bankruptcy; future of Oklahoma stores uncertain