Bed Bath & Beyond to close 87 more stores, including 4 in Minnesota
MINNEAPOLIS -- Once-popular home goods retailer chain Bed Bath & Beyond is closing another 87 stores -- including four in Minnesota.
Last year, the company announced it would close 150 locations that were underperforming across the U.S. in a bid to cut costs amid declining sales.
A list of closings reveals that stores in Bloomington, Rochester, Minnetonka, and Roseville will shutter their doors in the coming weeks.
According to the Bed Bath & Beyond website, there are seven stores in the whole state of Minnesota. Soon, the only remaining stores will be in Apple Valley, Maple Grove and Woodbury, leaving no stores outside of the Twin Cities metro area.
Bed Bath & Beyond is expected to file for Chapter 11 bankruptcy soon as it struggles to raise capital to reorganize its business. Last month, it defaulted on its loans and said it couldn't afford to repay its debt.
The company said it plans to close around 400 of its roughly 760 Bed Bath & Beyond stores. It will keep open its most profitable stores in key markets.
It will also close its entire chain of Harmon drugstores as well as five Buybuy Baby stores, the company said in a statement to CBS MoneyWatch.
The former retail powerhouse has struggled for three key reasons, according to experts.
It was slow to embrace the internet and e-commerce. Former chief executive officer Mark Tritton also spent $625 million buying back company shares, which ultimately led vendors to scale back their business with the retailer. In a third misstep, the retailer tried selling a variety of private-label products but they were low quality and didn't attract buyers.