Major National Retailer Closing Remaining Stores In CT

CONNECTICUT — Home furnishings giant Bed Bath & Beyond filed for bankruptcy Sunday and is set to begin the process this week of closing its stores.

“Thank you to all of our loyal customers,” the retailer’s website said. “We have made the difficult decision to begin winding down our operations.”

The company, based in Union, NJ, filed for Chapter 11 bankruptcy in that state and listed its estimated assets and liabilities at up to $10 billion. So far this year, party supplies chain Party City and David's Bridal have been among the retailers that have filed for Chapter 11.

In Connecticut, the shuttering has been a slow reveal. The closing of the Stamford and Waterford sites was announced last September. The Shelton location announced it would be closing earlier this year. A Jan. 30 SEC filing tapped the Enfield, Fairfield, Hamden, Southington, Wethersfield, Stamford and Waterford stores for closure. Less than two weeks later, the Bed Bath & Beyond stores in Manchester, Norwalk and Guilford announced they would be following suit. The remaining open Bed, Bath & Beyond stores in Connecticut are in Simsbury, Brookfield and Guilford.

See also: Fire Destroys Historical Church

• Man Killed In Fiery Crash On Bridge Identified

The firm said its 360 Bed Bath & Beyond and 120 Buy Buy Baby stores and websites will remain open and continue serving customers as it "begins its efforts to effectuate the closure of its retail locations." Closing sales were set to start Wednesday, at which point coupons will no longer be accepted. Rewards, gift cards, merchandise credits and certain returns will be accepted through various points in May.

"Millions of customers have trusted us through the most important milestones in their lives — from going to college to getting married, settling into a new home to having a baby," President and CEO Sue Gove said in a company news release announcing the bankruptcy filing.

"We deeply appreciate our associates, customers, partners, and the communities we serve, and we remain steadfastly determined to serve them throughout this process. We will continue working diligently to maximize value for the benefit of all stakeholders."

Despite its plans for liquidation, the company intends to use the bankruptcy proceedings for the sale of some or all assets, filing motions to market Bed Bath & Beyond and Buy Buy Baby for auction.

"In the event of a successful sale, the Company will pivot away from any store closings needed to implement a transaction," the news release said. "The Company believes this dual-path process will best maximize value."

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.

The filing comes as the economy is weakening and shoppers are tightening their purse strings. The company announced in August it would close about 150 of its namesake stores and slash its workforce by 20 percent.

Bed Bath & Beyond warned Jan. 5 that it was considering various options including filing for bankruptcy and said that there was "substantial doubt" that it could stay in business.

In late March, it noted that preliminary results showed anywhere from a 40 percent to 50 percent decline in sales at stores opened at least a year for the quarter that ended Feb. 25.

More information about the bankruptcy filing can be found online here.

The Associated Press contributed to this story.