Big Lots, a nationwide discount retailer or everything from furniture to fettuccine, has been in the news a lot lately. Back in September, the chain filed for bankruptcy, and it’s been a rollercoaster of emotion for fans of the store ever since. Here’s the latest in the saga, which will be good news for shoppers.
Why Did Big Lots File Bankruptcy?
Big Lots filed for bankruptcy on Sept. 9, 2024. It cited reasons including less demand for its furniture and decor because of a sluggish housing market, stubborn inflation, high interest rates, and an overall slowdown in consumer spending after the pandemic era. It ran 1,300 stores in 48 states.
How Many Stores Were Originally Going to Close?
At first, Big Lots announced that it would continue operations as usual while closing 300 stores. By the end of September 2024, that had grown to about 400. Then, by the end of December, the company announced that all of its stores would be having going out of business sales and closing for good, which was a pretty big departure from keeping hundreds of locations open. That’s because a hopeful deal to sell the company to a private-equity firm fell through.
Why Are Some Stores Going to Stay Open?
There’s good news for Big Lots fans, though, because it was just announced that many stores are indeed sticking around. The company has an agreement to partner with an investment firm to sell some of its stores, distribution centers, and intellectual property, according to Reuters. As part of that deal, retailer Variety Wholesalers will purchase some Big Lots locations and keep them open.
How Many Big Lots Stores Will Stay Open?
Variety Wholesalers plans to operate 200 to 400 Big Lots locations, plus two distribution centers, according to a Big Lots press release. Variety Wholesalers “may employ” Big Lots employees at those locations as well, which would be great news for workers. Other details about which locations will stay open, and just how many there will be, haven’t been released yet.
Will This Deal Fall Through Too?
It’s possible. A U.S. bankruptcy judge approved the sale, but it’s still “subject to approval by the Bankruptcy Court and other customary closing conditions,” according to Big Lots. And as we’ve seen with bankruptcy deals before — including with this company! — things can change quickly. Here’s hoping some Big Lots will be sticking around.
