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Tue. Jul 16th, 2024

Columbus-based retailer to close dozens of stores

By meerna Jul11,2024
Columbus-based retailer to close dozens of stores

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Troubled department store chain Big Lots has announced it plans to close dozens of stores this year as it grapples with falling sales and a plunge in its stock price.

In a public filing in June, the Columbus-based discounter said it would close 35 to 40 stores this year while opening three. The company operated 1,392 stores at the start of the year, down from 1,425 at the start of 2023.

The company did not disclose the locations of the closed stores. The company operates 102 stores in Ohio, five in Columbus and about 10 in central Ohio, according to BigLots.com.

Net sales fell 10% in the first quarter of this year compared to 2023, according to the filing, and long-term debt increased by $72.2 million. Bankruptcy could also be in the company’s future, as it said it may be unable to fulfill a credit agreement within the next year, “casting significant doubt on the company’s ability to continue as a going concern.”

The company said “high inflation” in the U.S. economy made it harder for customers to make purchases.

The retail-sale stock, which has skyrocketed from around $13 a share during the pandemic in March 2020 to $72 in June 2021, can now be had for $1.11 at midday Wednesday. The stock is down 86% this year.

Due to financial problems, Big Lots suspended its dividend last year and announced its intention to sell and release its Columbus headquarters.

By meerna

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