This year has seen a surge in bankruptcies and store closures among well-known companies. Inflation and changing consumer trends have taken a toll on businesses, with 19 companies cutting over 14,000 jobs due to bankruptcy. Retail closures have been particularly notable, with more than 7,100 stores shut down through the end of November.
Several major brands, including Big Lots, Express, Joann, and Party City, have filed for bankruptcy, citing reasons such as declining consumer spending and increasing competition. Other companies, like Red Lobster and TGI Fridays, have emerged from bankruptcy with new ownership and leadership.
Some notable bankruptcies include:
– Big Lots: Filed for bankruptcy in September after a failed sale to a private equity firm
– Express: Filed for bankruptcy in April and sold itself to WHP Global in June
– Joann: Filed for bankruptcy in March but managed to keep all 850 stores open by slashing debt
– Party City: Filed for bankruptcy in December and plans to close around 700 locations early next year
The bankruptcies reflect the challenges facing businesses in a post-pandemic economy, where consumers are becoming more cautious with their spending. With inflation still a concern, companies must adapt to changing trends and consumer behavior to stay afloat.
Source: https://edition.cnn.com/2024/12/22/business/2024-company-bankruptcy-list/index.html