AM I NEXT? NO LOVE AT BIG LOTS (9/05/24)

SEPTEMBER , 2024 — COLUMBUS, OHIO DISTRIBUTION CENTER TO CLOSE

The company will close its Columbus, Ohio, distribution center by October 31, 2024, with the loss of 379 employees.

AUGUST 8, 2024 -UPDATE — HUNDREDS OF STORES TO CLOSE (315?)

Discount chain Big Lots received approval from the Bankruptcy Court to shut down hundreds of outlets, after the company expressed “substantial doubt” on continuing business operations.

AUGUST 8, 2024 — Original post

Columbus, Ohio-based Big Lots, a discount retail chain, has announced the closure of between shutter 35 to 40 stores by the end of 2024.

The closures are expected to impact hundreds of employees at all levels.

The company appears to be in financial distress according to an SEC filing, which notes, "Based on our net losses and use of cash in operating activities in 2022, 2023 and the first quarter of 2024 and our current cash and liquidity projections, we have concluded there is a significant likelihood that we will be unable to comply with the Excess Availability Covenant under the 2022 Credit Agreement and the TermLoan Facility within the next 12 months, which raises substantial doubt about our ability to continue as a going concern. Our unaudited condensed consolidated financial statements do not include any adjustments relating to the recoverability of recorded asset amounts or the amounts and classification of liabilities that may result if we do not continue as a going concern.

Change is coming. There will always be a tomorrow, no matter how much you may try to ignore it. There are no guarantees in life or promises for a bright future. We see good people being laid off through no fault of their own. Just because something bad hasn't happened yet doesn't mean it won't. It can happen to anyone, anytime, anywhere. No one is guaranteed to wake up tomorrow and still have a job by evening. While many employees can read the writing on the wall; why do most assume it’s targeted at someone else? Are you now wondering, Am I Next?

AM I NEXT? NO LOVE AT 99 CENTS ONLY STORES (06/07/24)

JUNE 7, 2024 — 220 EMPLOYEES IN TEXAS

The wind-down continues as the company lays off 220 employees in Texas.

99 Cents Only shuttered all 371 stores. However, some locations are expected to reopen as Dollar Trees.

APRIL 8, 2024 — Original post…

City of Commerce, California-based 99 Cents Only Stores, a retailer of distressed, aged, surplus, and other bargain merchandise, has announced the wind-down of its business operations as

According to Mike Simoncic, Interim Chief Executive Officer of 99 Cents Only Stores and Managing Director at New York, NewYork-based Alvarez & Marsal, "This was an extremely difficult decision and is not the outcome we expected or hoped to achieve. Unfortunately, the last several years have presented significant and lasting challenges in the retail environment, including the unprecedented impact of the COVID-19 pandemic, shifting consumer demand, rising levels of shrink, persistent inflationary pressures, and other macroeconomic headwinds, all of which have greatly hindered the Company's ability to operate. We deeply appreciate the dedicated employees, customers, partners, and communities who have collectively supported 99 Cents Only Stores for decades."

The closure will affect over a thousand employees at 371 stores, distribution centers, and the company's headquarters.

"99 Cents Only Stores, together with its financial and legal advisors, engaged in an extensive analysis of all available and credible alternatives to identify a solution that would allow the business to continue. Following months of actively pursuing these alternatives, the company ultimately determined that an orderly wind-down was necessary and the best way to maximize the value of 99 Cents Only Stores' assets."

Change is coming. There will always be a tomorrow, no matter how much you may try to ignore it. There are no guarantees in life or promises for a bright future. We see good people being laid off through no fault of their own. Just because something bad hasn't happened yet doesn't mean it won't. It can happen to anyone, anytime, anywhere. No one is guaranteed to wake up tomorrow and still have a job by evening. Are you now wondering, Am I Next?

AM I NEXT? NO LOVE AT RH (RESTORATION HARDWARE)

Corte Madera, California-based RH, a luxury home furnishings retailer, has announced an operational reorganization.

The reduction in force will impact 440 employees.

According to an SEC filing, "We have demonstrated that 'Those with capital in difficult markets are the ones who capitalize.' That’s why we raised $2.5 billion of long-term debt before the markets tightened and are now in a position to take advantage of the opportunities that may present themselves in times of uncertainty and dislocation.

Times like these also require us to have the discipline to say 'no' to the things that are nice to do in order to focus our time and resources on what is truly important. That includes making the difficult decision to graciously say goodbye to team members whose roles are no longer essential in our new view of the future, enabling us to work in a more integrated and collaborative fashion, on fewer, more important priorities. Please know we’ve treated everyone with respect and dignity and appreciate the contributions all have made to our cause. Approximately 440 roles were eliminated as part of our organizational redesign, and we expect to achieve cost savings of approximately $50 million annually, inclusive of associated benefits and other cost savings.

Concurrently we will be focused on reducing inventories and generating cash, further strengthening our balance sheet to maximize optionality."

Change is coming. There will always be a tomorrow, no matter how much you may try to ignore it. There are no guarantees in life or promises for a bright future. We see good people being laid off through no fault of their own. Just because something bad hasn't happened yet, doesn't mean it won't. It can happen to anyone, anytime, anywhere. No one is guaranteed to wake up tomorrow and still have a job by evening. Are you now wondering, Am I Next?