The home decor retailer detailed a drastic restructuring plan in a recent press release about their earnings.
Another major retailer has felt the impact of COVID-19 shutdowns. Months of temporary closures led to a 49 percent decrease in sales for Bed Bath & Beyond, Inc. which operates stores under the names World Market, buybuy Baby, Harmon Face Values, and Bed Bath & Beyond.
While they saw a major increase in online sales (approximately 89 percent from 2019), brick-and-mortar store sales did not fare as well.
All in all, 200 stores, most likely Bed Bath & Beyond locations, will be shuttered for good as the parent company focuses on more profitable stores. A definitive list of affected locations has not yet been released.
In the official statement, CEO Mark Tritton had this to say about the decision:
"The impact of the COVID-19 situation was felt across our business during our fiscal first quarter, including loss of sales due to temporary store closures and margin pressure from the substantial channel shift to digital. From the beginning of this crisis, we have taken measured, purposeful steps to help keep our people safe and our customers serviced, and we are proud of the way our teams have navigated this unprecedented challenge with speed and agility. At the same time, our actions to strengthen our financial position and liquidity are enhancing our flexibility and capacity to invest and rebuild our business for long-term success."
*The photos in this article are courtesy of Bed Bath & Beyond.
What do you think about this news? Was it a long time coming, or are you surprised that so many stores are being shut down? Sound off in the comments!