It’s official: Big Lots is shutting down all its remaining 963 stores as part of a massive going-out-of-business sale. Just three months after filing for bankruptcy, the discount retailer announced the decision on Thursday, leaving both shoppers and employees wondering what’s next.
Why Is Big Lots Closing?
The writing’s been on the wall for a while. Big Lots filed for Chapter 11 bankruptcy back in September, citing a staggering $3.1 billion in debt. The plan was to restructure and stay afloat, even selling off some stores to stay in business.
Initially, a deal with Nexus Capital Management LP was supposed to save the day, but that fell apart, leaving Big Lots with no choice but to start liquidation. CEO Bruce Thorn admitted that while they’re still hoping for a last-minute deal with another lender, the going-out-of-business sales are officially underway.
What Happens Now?
Here’s the rundown:
- Liquidation Sales: All Big Lots stores are now holding going-out-of-business sales, both in-store and online. If you’re a bargain hunter, now’s the time to grab some deals.
- Jobs at Risk: Sadly, the closure means major job cuts. Thorn mentioned corporate layoffs are likely starting early next year, and many employees have already been given WARN notices (those are the 60-day layoff warnings required by law).
- Store Closures: Big Lots had already started shutting down locations earlier this year, with 426 stores closed so far in 2024. Pre-bankruptcy, the chain operated 1,389 stores across 48 states.