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Big Lots Stores Reopening Following Bankruptcy Acquisition

A bustling scene outside a Big Lots store as it reopens for customers.

News Summary

Big Lots stores have begun reopening in phases after filing for Chapter 11 bankruptcy last year. Variety Wholesalers acquired the stores and is leading a multi-phase strategy to revitalize the brand. A total of 219 locations are planned for reopening across several states, with new merchandise categories introduced to enhance the shopping experience. As the company aims to restore customer confidence, additional locations will open by mid-May, signaling a fresh start for the brand.

Alabama: Big Lots Stores Begin Reopening in Phases Following Bankruptcy Acquisition by Variety Wholesalers

Big Lots stores began reopening on May 1, marking the start of a multi-phase reopening strategy after the company closed its doors last year due to financial challenges. The third phase of store reopenings occurred on Thursday, with 76 locations welcoming back customers across various states.

In total, 219 Big Lots stores are scheduled to reopen in four phases. The initial phase included nine stores in April, followed by 49 stores on May 1, and 76 additional stores on Thursday. This reopening effort comes on the heels of Variety Wholesalers’ acquisition of the stores after Big Lots filed for Chapter 11 bankruptcy in September 2024.

Details of the Reopening

The recently reopened stores are distributed across several states, including Alabama, Florida, Georgia, Kentucky, Michigan, Mississippi, North Carolina, Ohio, Pennsylvania, South Carolina, Tennessee, Virginia, and West Virginia. Plans for further store openings are already in place, with additional locations in Port Huron and Southgate, Michigan, set to reopen on May 15.

Variety Wholesalers, which oversees the acquisition and reopening efforts, has indicated that the stores will undergo remodeling and introduce new merchandise categories, including family apparel and electronics. This is part of a broader commitment to revitalize the brand and offer a greater variety of products for customers.

Impact of Bankruptcy and Financial Challenges

Big Lots entered the bankruptcy process due to financial difficulties exacerbated by rising inflation and interest rates. During this challenging period, the company was forced to close over 600 locations. However, the reopening initiative spearheaded by Variety Wholesalers signifies a new chapter for the remaining stores, which will now operate under different management.

In 2023, prior to the bankruptcy, Big Lots recorded total revenue of $4.7 billion and operated 1,392 stores nationwide. The reopening stores are expected to not only offer a fresh shopping experience through store remodels but also feature closeout deals and well-known brands to attract return customers.

Future Plans and Customer Engagement

As operations ramp up, customers can anticipate ongoing updates about product availability and special promotions. A grand opening celebration is planned for fall 2025, signaling the company’s focus on enhancing the shopping experience and its commitment to customer engagement.

In addition to the Variety Wholesalers acquisition, it is noteworthy that Aldi has also acquired some leases previously held by Big Lots, including a location in Taylor, Michigan. This development suggests an evolving retail landscape in areas where Big Lots once operated, with potential new offerings for consumers in those markets.

As Big Lots moves forward under Variety Wholesalers, the company aims to reinforce its dedication to value and product diversity, particularly in family apparel and essential household items, thereby revitalizing the brand and restoring customer confidence in the revitalized locations.