Final Closure: Retail Chain with Bankruptcy History Closes All Locations

According to The Street, The list of major retailers closing store locations this year continues to expand, highlighting ongoing challenges in the retail sector.

Rite Aid’s Bankruptcy and Store Closures

Rite Aid, the giant drugstore chain, filed for bankruptcy on October 15, 2023, and has since closed over 800 stores as part of its restructuring efforts. The company is expected to exit bankruptcy in September 2024, marking a significant shift for the Philadelphia-based retailer.

Walgreens Plans for Closures

In a similar move, Walgreens Boots Alliance (WBA), which operates around 8,000 stores with 6,000 profitable locations, announced on October 15, 2024, that it will close 1,200 underperforming stores over the next three years. Of these, 500 locations are planned for closure in fiscal year 2025.

CVS Store Closures Continue

CVS is also in the process of shutting down stores, with plans to close 300 locations in 2024. This move is part of its 2021 strategy to close 900 of its nearly 9,900 stores over three years, averaging 300 closures each year from 2022 to 2024.

Big Lots Files for Bankruptcy and Closes Locations

The home goods retailer Big Lots recently filed for Chapter 11 bankruptcy on September 9, 2024, and has announced the closure of 553 of its 1,392 locations across 48 states. As the situation develops, more store closure notices are expected from the debtor.

BuyBuy Baby Shifts to Digital-First Model

In a significant shift, BuyBuy Baby, a retailer specializing in baby clothing, furniture, and accessories, will shut down all its stores after reopening operations under new ownership. Following its acquisition by Dream On Me in the July 2023 Bed Bath & Beyond bankruptcy auction, the chain initially operated around 120 stores. Now, Dream On Me operates only 10 BuyBuy Baby stores across seven Eastern states.

Also read: Shop Now: Home Goods Retailer Announces Clearance Sales Before Closing 170 Locations

On October 18, Dream On Me announced that all BuyBuy Baby stores would be closed, transitioning to a digital-first brand for online shopping. The retailer stated, “The demand of consumers has changed, and as such, so are we,” indicating a shift away from the brick-and-mortar model based on customer feedback.

Store Closing Details

BuyBuy Baby will begin store closing sales on October 18, with all sales being final. Purchases made before this date will still be subject to the standard return policy. Gift cards will be accepted through October 31, after which they can only be redeemed online. Additionally, the retailer’s buy-online, pick-up in-store service has been discontinued, as well as its in-store price match service. However, the baby registry will still be available online.

A Look Back at BuyBuy Baby’s History

Founded in 1996 by Richard and Jerry Feinstein, sons of Bed Bath & Beyond founder Leonard Feinstein, BuyBuy Baby was acquired by Bed Bath & Beyond in 2007 for $67 million. The transition to a digital-only model marks a significant evolution for the brand.