After announcing mass closures nearly ten times the initial estimate, big box discount store Big Lots has identified the locations that will be shuttering permanently — including 11 Texas stores.
Ohio-based Big Lots filed for Chapter 11 bankruptcy in the District of Delaware less than a month ago. The filing came with little surprise after the retailer announced the closure of around 315 stores in August. The first indication of closures was made in July, when Big Lots said it would close 35 to 40 stores in a separate filing to the U.S. Securities & Exchange Commission.
Here’s what we know about the closures.
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How many Big Lots stores are closing?
Big Lots announced that 315 stores would close in a filing with the U.S. Securities and Exchange Commission in August. A previous list did not include any of the 116 Texas locations.
In early August, the company’s site showed 1,389 locations in operation, down from 1,425 at the start of 2023. At the time, more than 20% of Big Lots across the country were listed as “closing soon.” This included three-quarters of California’s locations and a significant number in Florida.
LIST: Texas Big Lots locations slated for closure
Of the Lone Star State’s 116 Big Lots locations, 11 have been listed for closure, according to court documents obtained by USA TODAY. Here’s the list:
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Amarillo: 3510 E. Interstate 40
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College Station: 1913 Texas Ave. S.
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Corpus Christi: 4101 Interstate Hwy 69 Access Rd.
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Fort Worth: 1255 Town Square Dr.
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Fort Worth: 6800 Overton Ridge Blvd.
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Katy: 923 S. Mason Rd.
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Mansfield: 989 N. Walnut Creek Dr. Ste. 151
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Nacogdoches: 4919 North St. Ste. 101
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Pearland: 2028 N. Main St.
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San Antonio: 6900 San Pedro Ave. Ste. 119
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Tomball: 27816 State Hwy 249
Why is Big Lots closing? Reasons behind bankruptcy
The closures are due to a sales agreement with Nexus Capital Management LP. The company has agreed to take over all of Big Lots’ assets and ongoing business operations. The move must be approved by the bankruptcy court.
In a previous SEC filing, Big Lots cited financial troubles as the reason behind the growing number of stores slated for closure.
Big Lots’ June public filing painted a dark future for the company, claiming that inflation has hindered American customers from purchasing goods. The filing showed the possibility of bankruptcy, stating the discount retailer may not be able to comply with its credit agreement over the next year. According to the filing, that “raises substantial doubt about the company’s ability to continue as a going concern.”
“In 2024, the U.S. economy has continued to face macroeconomic challenges including elevated inflation, which has adversely impacted the buying power of our customers,” Big Lots’ SEC filing said.
The retailer, like many others, has grappled with declining sales amid rising prices and a downturn in consumer spending. According to the financial disclosure, sales dropped 10.2% between the first quarters of 2023 and 2024, equating to a loss of about $114.5 million.
Big Lots is among a handful of prominent restaurant and retail chains that have filed for bankruptcy since the pandemic, including Red Lobster, Rite Aid, Bed Bath & Beyond and Christmas Tree Shop.
Other retailers have announced rounds of location closures to cut “underperforming” locations. Hooters, Walgreens, Sears, Kmart, J.C. Penny and even Disney Stores are among those that have shuttered stores across the nation since 2020.
Texas furniture store Conn’s filed for bankruptcy in July and announced the closure of all stores. Italian restaurant chain Buca di Beppo filed for Chapter 11 bankruptcy in August.
This article originally appeared on Austin American-Statesman: Big Lots closing 11 Texas stores after filing bankruptcy with SEC
