In Canada, Bed Bath & Beyond has closed all 54 of its stores.
Court papers seeking bankruptcy protection were filed with the Superior Court of Justice on February 10.
Southeast of Costco on The Kingsway is Greater Sudbury’s Bed Bath & Beyond store.
No buybuy BABY stores are located in Greater Sudbury, and neither do any of the 11 locations across Canada owned by the parent company. Twenty-seven of the total of 65 stores are located in Canada’s province of Ontario.
“The North American retail industry has experienced a period of rapid change and shifting consumer demands over the past number of years,” the document states.
Even before the COVID-19 pandemic hit, retailers like the Bed Bath & Beyond Group were seeing a significant drop in foot traffic as customers favoured shopping online at sites like Amazon and Wayfair. Increased retail bankruptcies can be directly attributed to the rapid pace of change.
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By 2018, the company’s revenue had begun to decline, forcing management to consider a reorganisation.
According to the report, the pandemic halted these initiatives in their tracks.
According to the report, the effects of the COVID-19 pandemic went far beyond the temporary closure of stores, causing widespread supply chain disruptions and lasting price increases.
As a result of the company’s cash flow problems, “a significant number of key suppliers either tightened or revoked the Bed Bath & Beyond Group’s ability to access inventory on credit.”
Due to financial difficulties, Bed Bath & Beyond Canada has filed for protection from its creditors under the Companies’ Creditors Arrangement Act. The company has agreed to “wind down operations in Canada in a controlled and orderly manner for the benefit of all stakeholders” as part of this process.
As of January 31, 2023, there were 387 full-time and 1,038 part-time employees at the 54 Bed Bath & Beyond stores and 11 buybuy BABY stores in Canada, as stated in court documents.