A liquidator at this point means they got cash up front based on the value of the remaining inventory. This probably explains why they didn't file Chapter 11 a few days ago. There can't be that much inventory to sell. They'll probably want to wait and max out as many executive salaries and bonuses as possible until the only money left is whatever is in the store tills.storewanderer wrote: ↑January 30th, 2023, 12:24 pm Something else of perhaps key significance:
The Harmon Stores closing are having a liquidation firm handle the closing sales.
Also it is my understanding there is a brief delay in starting the BBB/Baby closures announced last week as they also retained a liquidation firm for that. Some of those liquidation sales have started but not all yet pending the liquidators being placed.
Previous BBB closures they self liquidated.
I am suspicious in this batch of closures they found a liquidation firm to give them cash up front (to continue operations) so they went ahead and let a liquidation firm do this round of closures.
It will be better for a liquidation firm to handle the liquidations. The liquidation firm will manage the liquidations properly. The liquidations they started earlier this month are having issues paying payroll; the one I went into last week which only operates 10-6 daily only had 1 employee/the store manager total working in the store due to payroll cuts that were sent down.
The latest batch includes some significant stores which are "if you can't make it here, you can't make it anywhere" type locations. One is Hawthorne, CA next door to the highest volume Costco in the state. This store is a two story monster that was just completely renovated top to bottom. A true flagship surrounded by other chains flagship and top 10 volume in company type stores. Great freeway visibility and incredible vehicular traffic. BB&B was so happy with the performance of this store a few years ago that they outbid Staples next door when their lease term was up and installed a Cost Plus World Market there. Seeing this store close is a Gigantic red flag. I suspect they were prioritizing inventory to support the highest volume, most important stores like Hawthorne. Now they find themselves so absolutely desperate for cash that they sold what is undoubtedly their top volume LA market store to a liquidator because it was one of the only stores with anything left to sell. I keep reading articles saying that they think BB&B is "too good of a concept to go away completely" and "they'll probably just close half the stores in bankruptcy reorganization and emerge lean and strong with their best stores.". But they're closing their best stores.....
The others that hit the newest wave closure list are Palm Desert, Upland (yep the one I mentioned that was just celebrating a Grand Reopening with the new concept format), Culver City, Glendora, and Pasadena. These all sound like higher than average volume locations except maybe Upland would be a typical chain average.
One quote about them surely staying in business is in the article below. It was from the CEO of "The Retail Doctor" a consultant. They just lost any remaining credibility they had. (I think this is the same guy that said a few years ago ALDI was wreaking havoc and destroying Ralphs, Albertsons and Stater Bros stores all over SoCal, claiming that they were doing triple the volume of these other chains and we would soon see almost all of those chains put under by the massive volumes ALDI is doing here)
https://www.ocregister.com/2023/01/31/b ... ia-stores/