Big Lots to Shut Down All Stores Amid Bankruptcy, Announces “Going Out of Business” Sales
Updated: December 19, 2024 | By Megan Cerullo, Edited by Alain Sherter | CBS News
Big Lots, the well-known discount retailer, announced on Thursday that it will close all its stores nationwide as part of a bankruptcy process. The company plans to launch “going out of business” sales across its 900+ locations to liquidate inventory.
Failed Acquisition and Strategic Alternatives
Big Lots had initially planned to sell its assets to Nexus Capital Management, a private equity firm. However, that deal is no longer expected to materialize. While the company is still exploring other options and negotiating with Nexus, it has decided to move forward with closing its stores.
“We have worked tirelessly to secure a solution for the business,” said CEO Bruce Thorn. “Despite our efforts, we have made the difficult decision to begin the [going out of business] process to preserve the value of the Big Lots estate.”
A Retailer Built for Bargain Hunters
Headquartered in Columbus, Ohio, Big Lots operates more than 900 stores across the United States. Known for offering budget-friendly deals, the retailer sells a variety of products, including furniture, home décor, apparel, health and beauty items, and pantry goods. Its slogan promises “bargains to brag about.”
Bankruptcy and Store Closures
Big Lots filed for bankruptcy protection in September, originally intending to sell its operations to Nexus. Over the past year, the retailer had already announced plans to close hundreds of stores:
- August 2024: Up to 315 store closures planned.
- October 2024: Another 56 locations in 27 states marked for closure.
With the latest announcement, all remaining stores will be shuttered.
Broader Retail Trends in 2024
Big Lots is just one among many retailers struggling in a tough economic climate. According to research firm CoreSight, more than 7,100 U.S. retail locations are set to close by the end of 2024, marking a 69% increase compared to 2023. Additionally, 45 retailers have filed for bankruptcy this year, nearly double the number in 2023.
Other Major Retail Closures in 2024
CoreSight’s report highlights other companies facing significant store closures this year:
- Family Dollar: 677 locations
- CVS Health: 586 locations
- Conn’s: 553 locations
- Rue21: 543 locations
- 7-Eleven: 492 locations
- Rite Aid: 408 locations
Big Lots itself accounts for 580 closures, underscoring the deep challenges facing the retail industry.
A Glimpse at the Future
With the retail landscape shifting due to economic pressures and changing consumer behaviors, Big Lots’ closure adds to a growing list of casualties in 2024. For now, customers can take advantage of the retailer’s final sales as it exits the market entirely.
