Bed Bath & Beyond winding down operations at all 54 Canadian stores

Bed Bath & Beyond Canada Ltd. will be shutting down its 54 Canadian Stores, according to court documents published on Feb. 10, 2023.

On Friday, the company was granted an initial order for creditor protection by the Ontario Superior Court of Justice.

The documents, which are posted to Alvarez & Marsal Canada Inc.’s website, state that the company is “insolvent” and the company has been experiencing financial difficulties for the past several years.

In addition, the company has been seeing “significant” net losses since 2018 and this was worsened during the pandemic and by supply chain disruptions and inflation.

The Canadian branch of the company will begin winding down its operations this year and liquidating its remaining inventory.

“(Bed Bath & Beyond) Canada is not profitable on a standalone basis,” the documents say.

“BBB Canada has realized significant net losses for the 9 months ending November 26, 2022.”

Those losses totalled $99.5 million

As of Nov. 26, 2022, the company’s total assets were valued at about $480.1 million while its total liabilities were about $429.7 million.

The struggles of supply chain disruptions, inflation and the pandemic have also negatively impacted stores in the US.

Ultimately, the parent company says it can not restructure its businesses in the US and properly resuscitate or provide financial and operational support to its Canadian businesses.

The documents say that as of Jan. 31, 2023, the Canadian company employed approximately 387 full-time employees and 1,038 part-time employees.