Big Lots Declares Bankruptcy; Future Of RI Store In Doubt

WARWICK, RI — After recently expressing doubts about its chances for long-term survival, beleaguered retailer Big Lots declared Chapter 11 bankruptcy Monday. The move comes a month after the belaguered retailer closed about 300 locations, though Rhode Island has yet to be affected by the closures.

While no additional store closings were announced along with the bankruptcy move, Big Lots said it plans "to continue optimizing our store footprint" during its reorganization process.

"Though most of our stores are profitable, and we are taking every step possible to improve the profitability of all our stores, we will need to close certain locations to ensure that our business operates efficiently and we can continue serving our customers," the company stated in a release.

Big Lots said its stores and online shopping site will continue to operate as usual. The retailer expects to be able to continue to honor gift cards and store credit cards.

Along with the bankruptcy filing, Big Lots has entered into an agreement to be acquired by Nexus Capital Management LP, a Los Angeles-based investment firm.

Founded in 1967, the company operated in its infancy as Consolidated International and operated closeout and discount stores under a variety of names. In 2001, the various store names and company were converted to the single national Big Lots brand.

According to the Big Lots website, the company currently has one Rhode Island location. The Rhode Island store is in Warwick at 2485 Warwick Ave.

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