![]() “The Company has identified and commenced the closure of approximately 150 lower-producing Bed Bath & Beyond banner stores,” the U.S.-based company said in the release. Last August, the retailer announced in a press release that it would make strategic changes “intended to meet the demand of its customers, drive growth and profitability, and improve its balance sheet and cash flows.” “BBBC's (Bed Bath & Beyond Canada’s) fate is not surprising, given the weak performance and repeated largescale store closures by its U.S. The documents added that the parent company is no longer able to give financial support to the Canadian division. ![]() Last week, Bed Bath & Beyond Canada was granted an initial order for creditor protection by the Ontario Superior Court of Justice.ĭocuments posted to the court-appointed monitor Alvarez & Marsal Canada Inc.'s website showed the retailer posted a $99.5 million net loss for the nine-month period ending Nov. “We also see most of the expected vacancies being back-filled over the near/medium term.”ĭamiani called the news about Bed Bath & Beyond Canada shutting down its stores “unsurprising,” and said landlords “have had time to consider options, including holding discussions with potential replacement tenants.” “Based on the overall health of Canada's retail leasing market and BBB's (Bed Bath & Beyond’s) unique circumstances, we do not see this as being indicative of a coming wave of meaningful failures or store closures in Canada,” he explained. “Although small in relation to past retail failures such as Target Canada and Sears Canada, this still represents one of the largest in recent years.”īut he said the recent string of store closures is not necessarily an indication of overall weakness in Canada’s retail leasing market. “BBBC's (Bed Bath & Beyond Canada’s) 65 stores represent an estimated 1.7 million square feet, or 0.3 per cent of total retail space in Canada,” Damiani said in the note. In a note to clients on Monday, Damiani said Bed Bath & Beyond’s shuttering of Canadian brick-and-mortar stores will have a “slightly negative impact” on the Canadian retail leasing market. has made the decision to no longer support a Canadian operation,” the company said in an email to the Star.While Bed Bath & Beyond Inc.’s closure of Canadian retail stores is small in comparison to past examples like Sears Canada or Target Canada, it’s still one of the largest retail failures in recent years, according to Sam Damiani, equity research analyst at TD Securities Inc. “As we continue to drive forward in our turnaround, and manage our business as efficiently as possible, Bed Bath & Beyond Inc. It recently raised about $1 billion through offerings of preferred stock and warrants, which it said will be used to pay off debt. has shuttered several of its stores countrywide and warned last month that it may need to file for bankruptcy protection as it was unable to pay back its loans. 26, Bed Bath & Beyond Canada’s assets were valued at around $480.1 million, while its total liabilities were worth around $429.7 million, according to the documents. Indeed, the once-mighty retailer hasn’t been profitable for some time and had a net loss of $99.5 million for the nine-month period ending Nov. “They’re trying to compete with the internet but their stores are boring and there’s nothing really bringing shoppers to the store versus shopping online.” ![]() “Bed Bath & Beyond didn’t pivot or change their strategy even though trends started to change,” Hutcheson said. Bed Bath & Beyond brick-and-mortar stores are well known for their large warehouse-style shopping experience, which Hutcheson said did little to draw out customers. Retail industry analyst Lisa Hutcheson said there had been previous “warning signals” and that the pioneering home goods chain neglected to change its retail strategy as consumer trends shifted during the pandemic and more users were driven to online shopping. The company’s Canadian division will be closing 54 stores and 11 BuyBuy Baby stores, terminating 387 full-time and 1,038 part-time jobs, according to court documents, which also say Bed Bath & Beyond Canada cannot restructure its operations without support from its American parent company and its lenders. “The Bed Bath & Beyond Group has been in financial difficulty for the past several years, suffering significant net losses since 2018,” said a court filing posted Friday on the website of consultancy firm Alvarez & Marsal, which has been appointed monitor for the proceedings. Bed Bath & Beyond has announced that it is closing all of its Canadian stores, resulting in the loss of just over 1,400 jobs across the country.
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