Big Lots Plans to Close 35 to 40 Stores Amid Economic Challenges
Big Lots has announced plans to close 35 to 40 stores this year while opening only three new locations, according to a filing with the U.S. Securities and Exchange Commission. The discount retailer began 2024 with 1,392 stores in operation, down from 1,425 at the start of 2023.
The company cited ongoing macroeconomic challenges, particularly elevated inflation, as a major factor negatively impacting consumer purchasing power. This economic environment has forced Big Lots to make tough decisions regarding store closures.
Sales for the company declined by 10.2% from the first quarter of 2023 to the first quarter of 2024, representing a loss of approximately $114.5 million. Additionally, Big Lots took on an additional $72.2 million in debt, raising its total debt from $501.6 million to $573.8 million year-over-year. The company expressed “substantial doubt” about its ability to continue operations, which has led to speculation of a potential bankruptcy filing.
The specific locations of the stores to be closed have not been disclosed, and Big Lots has not responded to requests for further information.
Big Lots currently operates 34 stores in Arizona, with 18 located in the greater Phoenix area. The addresses of these stores include:
Apache Junction: 10603 E. Apache Trail
Bullhead City: 2350 Miracle Mile
Casa Grande: 1346 E. Florence Blvd.
Flagstaff: 1416 E. Route 66
Gilbert: 2817 S. Market St.
Glendale: 17510 N. 75th Ave. and 6660 W. Cactus Road
Goodyear: 409 N. Litchfield Road
Green Valley: 18705 S. I-19 Frontage Road
Kingman: 3320 N. Stockton Hills Road
Lake Havasu City: 1799 Kiowa Ave.
Laveen: 3630 W. Baseline Rd.
Mesa: 1110 W. Southern Ave. and 2840 E. Main St.
Payson: 400 E. SR 260
Peoria: 24760 N. Lake Pleasant Parkway
Phoenix: 2020 N. 75th Ave., 230 E. Bell Road, 2330 W. Bethany Home Road, 3543 W. Thunderbird Road, 4727 E. Bell Road, and 4835 E. Ray Road
Prescott: 1260 Gail Gardner Way
Scottsdale: 10220 N. 90th St.
Show Low: 4421 S. White Mountain Road
Sierra Vista: 135 S. Highway 92
Surprise: 14537 W. Grand Ave
Tempe: 940 E. Baseline Road
Tucson: 2520 S. Harrison Road, 3900 W. Ina Road, 4525 N. Oracle Road, and 7025 E. Tanque Verde Road
Yuma: 1625 S. Fourth Ave
The retail industry has seen several major chains file for bankruptcy since the pandemic, including Red Lobster and Bed Bath & Beyond, along with store closures announced by companies like Walgreens and Hooters.