Big Lots Plans to Close Stores Amid Financial Struggles

Ohio-Based Retailer Cites Doubts About Going Concern Status

Up to 40 Stores to Close in 2023

Discount retail chain Big Lots has announced plans to close between 35 to 40 stores this year, a move prompted by worsening financials and a challenging consumer climate.

The announcement comes just months after another discount retailer, 99 Cents Only, filed for bankruptcy. In a filing with the Securities and Exchange Commission, Big Lots expressed "substantial doubt" about its ability to continue as a going concern.

The store closures will be spread across the country, with the company focusing on underperforming locations. Big Lots operates approximately 1,400 stores in the United States.

The company has been struggling in recent years, facing competition from online retailers and dollar stores. It has also been grappling with supply chain disruptions and rising inventory costs.

Analysts believe that the store closures could be a sign that Big Lots may be heading towards bankruptcy. The company has not yet announced any plans to file for Chapter 11, but it has hired a restructuring firm to explore its options.