Popular national discount retailer Big Lots will close between 35 and 40 stores this year as it mulls bankruptcy, citing “elevated inflation” and decreases in consumer spending.
It marks the latest chain with a presence in Florida, including Palm Beach County, to file for bankruptcy protection. Others include Red Lobster, Rite Aid, and Bed Bath & Beyond.
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“In 2024, the U.S. economy has continued to face macroeconomic challenges, including elevated inflation, which has adversely impacted the buying power of our customers,” a financial disclosure from Big Lots states.
A spokesperson for Big Lots did not immediately respond to an email seeking comment and information on which stores may be closing. The potential bankruptcy was first reported by the New York Post.
Big Lots had planned to open three stores in the past year, but now plans to close between 35 and 40 across the nation.
Where are Big Lots in Palm Beach County?
Florida is the state with the third-most Big Lots locations, with 106 stores statewide. Texas has the most locations with 116 stores and California places second with 109 locations.
According to the Big Lots store locater, there are five stores currently operating in Palm Beach County.
Boca Raton: 21697 State Road 7 Boca Raton, Florida 33428
Boynton Beach: 901 N Congress Ave Boynton Beach, Florida 33426
Delray Beach: 4801 Linton Blvd Ste 15a Delray Beach, Florida 33445
Greenacres: 4515 Lake Worth Rd Greenacres, Florida 33463
Royal Palm Beach: 511 N State Rd 7 Royal Palm Beach, Florida 33411
Additionally, Big Lots has multiple locations in Florida's bigger cities such as Orlando and Miami, which have five and four operating stores, respectively.
Surge in bankruptcies in Florida and around the country
June saw the highest level of business bankruptcies since the COVID-19 pandemic in early 2020, according to a report by the Wall Street firm S&P Global.
This year’s bankruptcies have totaled 346, “higher than any comparable figure in the prior 13 years,” S&P said.
“High interest rates, supply chain issues and slowing consumer spending continue to weigh on struggling companies,” the note states.
From March 2022 to July 2023, the Federal Reserve Bank hiked its key interest rate from near zero to a range of 5.25% to 5% — a 23-year high — in an effort to tame a pandemic-induced inflation spike.
Recent reports underscore that inflation eased notably in May, with a key measure the Fed follows closely at 2.6%. That’s above the Fed’s 2% goal but the lowest since March 2021 and down from a peak of 5.6% in mid-2022.
But Jerome Powell, who chairs the Fed, has maintained a cautious stance about lowering rates since inflation unexpectedly picked up in the first quarter following a significant slowdown last year.
Ashley Ferrer is a journalist at The Palm Beach Post, part of the USA TODAY Florida Network. Help support our journalism. Subscribe today.
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