The American big box store, Bed Bath & Beyond, has announce its bankruptcy, with plans to liquidate all inventory and completely go out of business. It was first known to be a store specializing in home textiles, home accessories, and other special items.

On its website, the company expressed its gratitude to their loyal customers. It added that they have made "the difficult decision to begin winding down" their operations. Meanwhile, its buybuy BABY will remain open and "continue serving customers" as the company starts its efforts to "effectuate the closure of its retail locations."

NBC Chicago reported that only eight Bed Bath & Beyond stores remain open in Illinois.

The retailer says that merchandise credits will still be accepted through May 15 while gift card will be accepted through May 8.

However, the company expects to stop accepting coupons on April 26. It will also be the same date Bed Bath & Beyond closing sale will occur, with customers allowed to shop at deep discounts.

READ NEXT: Black Friday Scams: How to Spot Fake Sellers on Amazon, Avoid Other Fraudsters  

Bed Bath & Beyond Bankruptcy

The company acquired a $240 million loan to fund its operations during bankruptcy.

CNN noted that filing a bankruptcy does not necessarily mean that the company will be out of business, with several U.S. companies have filed for bankruptcy to pay off debts and other costs they can spend money on.

Bed Bath & Beyond, however, said that it would seek to sell some or all of its business. The company will stop store closing if it was able to find a buyer.

It will likely be liquidated entirely and go out of business if no buyer comes forward.

NBC News detailed that Bed Bath & Beyond product returns or exchanges can be done until May 24. However, any items purchased on the start of its closing sales on April 26 or after will be final.

If you are registered with Bed Bath & Beyond or buybuy BABY, the company said that registry information will be transferred with an alternative platform.

The company assures its customers that their registry data is safe, but registry items can no longer be purchased through their platform.

Employees of the company will still be paid while the company completes the bankruptcy process.

Bed Bath & Beyond

The company's bankruptcy filing came after it announced that it would be closing 150 stores and will be cutting 20% of its corporate positions to cutback expenses.

Bed Bath & Beyond also reported a $358 million net loss in its first quarter in June 2022, as reported by Business Insider.

The company was once a leading home goods retailer, with its stores lined strip malls around the country.

Warren Eisenberg and Leonard Feinstein founded the company together in 1971 in New Jersey.

The company was first called Bed 'n Bath, which was later rebranded to Bed Bath & Beyond in 1987.

READ MORE: Sales Tax Holidays in Florida: Key Dates, Tax-Free Items and More

This article is owned by Latin Post.

Written by: Mary Webber

WATCH: Bed Bath and Beyond files for bankruptcy - from WFAA