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Bed Bath and Beyond files for bankruptcy

nytimes.com

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Re: Bed Bath and Beyond files for bankruptcy

#41

Post by bombcar »

patrickthebold wrote: post #32
humanlion87 wrote: post #8

I find the whole situation fascinating. Bed Bath continued to sell hundreds of millions of shares while they were preparing for bankruptcy and retail investors (or meme stock investors) continued to buy them. I assume Bed Bath did all the paperwork that is necessary (like calling out risks, that the raised capital will go to creditors first, etc) for such a stock sale. But it is clear they were doing it out of bad-fa…

Random thought and I figure there must be a law against this: But what about the opposite, could a company sell off it's assets and do stock buy backs right until it goes bankrupt so that some investors get more $ ahead of the creditors?

There are various tricks around this area (the Texas Two-step is a favorite) but most of the blatant ones have clawback possibilities.

https://en.wikipedia.org/wiki/Texas_two-step_bankruptcy

Re: Bed Bath and Beyond files for bankruptcy

#42

Post by bombcar »

bookofjoe wrote: post #13
humanlion87 wrote: post #8

I find the whole situation fascinating. Bed Bath continued to sell hundreds of millions of shares while they were preparing for bankruptcy and retail investors (or meme stock investors) continued to buy them. I assume Bed Bath did all the paperwork that is necessary (like calling out risks, that the raised capital will go to creditors first, etc) for such a stock sale. But it is clear they were doing it out of bad-fa…

>I assume Bed Bath did all the paperwork that is necessary (like calling out risks, that the raised capital will go to creditors first, etc) for such a stock sale. I'm not clear on why your next sentence is: >But it is clear they were doing it out of bad-faith to the new investors. Where is the "bad-faith" in caveat emptor?

You know those Prop 65 warnings you see on everything? It's the difference between a company sticking it on everything "just in case" and a company with the CancerTron-9000™ rebranding as "edible low-fat sweets" with that label on it.

Every single filing with the SEC contains language that is basically 'holy shit we could go bankrupt tomorrow because billions of reasons' - that's different from "we know we're going down, but we can fleece people on the way down" - though it will be hard to prove criminally in a court for BBB and GameStop, likely.

Re: Bed Bath and Beyond files for bankruptcy

#43

Post by sethd »

zackmorris wrote: post #38

I have no great love for BBB, but they saved me countless times when I was looking for last-minute gift ideas. The store closest to me was always packed, and prices were just enough higher than other stores that I figured they were making bank. As the #1 place people think of for just about anything domestic, I don't know how they could be mismanaged so badly that the whole chain goes under?! On the flip side, they r…

> people abandoned materialism post-pandemic

Please don’t take this the wrong way, but you might be living in a bit of bubble.

Re: Bed Bath and Beyond files for bankruptcy

#45

Post by Animats »

bearjaws wrote: post #31

This is a huge loss IMO, buying kitchen supplies and bedding on Amazon is complete shit. Target isn't much better due to lack of variety and types of bedding. I've bought the same bed sheets for 5+ years, a few months ago I bought new ones since some bleach got spilt on one set, it comes in and I could tell immediately the quality was far worse. One wash later, its ripping & fraying. Thankfully I could return them. S…

I want to buy a mattress. Mattress review sites are all phony. Amazon is all phony reviews. Mattress FIRM is hugely overpriced. Bed, Bath, and Beyond's brands were just names they'd acquired. That entire industry has managed to shoot itself in the foot. Probably better to order from an actual manufacturer on Alibaba.

Re: Bed Bath and Beyond files for bankruptcy

#46

Post by Hasz »

bearjaws wrote: post #31

This is a huge loss IMO, buying kitchen supplies and bedding on Amazon is complete shit. Target isn't much better due to lack of variety and types of bedding. I've bought the same bed sheets for 5+ years, a few months ago I bought new ones since some bleach got spilt on one set, it comes in and I could tell immediately the quality was far worse. One wash later, its ripping & fraying. Thankfully I could return them. S…

IMO, Costco does a good job of balancing quality and price.

Re: Bed Bath and Beyond files for bankruptcy

#47

Post by ketzu »

kube-system wrote: post #7
ketzu wrote: post #4

Earlier quoted context omitted.

AFAIK it is the newest meme stock, it popped up on the reddit front page the previous few days.

It has been a meme stock at least since the whole gamestop thing in 2020/2021

Back then the three big ones seemed to be Blackberry, AMC and Gamestop. If r/BBBY stats is anything to go by, I would say it wasn't that popular before mid 2022 [1] and is gaining traction since january. But it might have been bigger than I noticed.

[1] https://subredditstats.com/r/BBBY

Re: Bed Bath and Beyond files for bankruptcy

#48

Post by exsf0859 »

cush wrote: post #12
humanlion87 wrote: post #8

I find the whole situation fascinating. Bed Bath continued to sell hundreds of millions of shares while they were preparing for bankruptcy and retail investors (or meme stock investors) continued to buy them. I assume Bed Bath did all the paperwork that is necessary (like calling out risks, that the raised capital will go to creditors first, etc) for such a stock sale. But it is clear they were doing it out of bad-fa…

What's Matt Levine's take?

He's covered the decline of BBBY many times in his newsletter, explaining the financial details and shaking his head each time.

His Monday April 24th, 2023 newsletter, titled "Bed Bath Moves Beyond", covers the situation once again. It ends:

"Bed Bath saw that its retail shareholders wanted to throw their money away, and that its sophisticated lenders wanted to get their money back, and realized that there was a trade to be done that would make everyone, temporarily, happy. So it did the trade. It’s amazing. The lawsuits are gonna be great."

Re: Bed Bath and Beyond files for bankruptcy

#49

Post by ytreyrty »

bearjaws wrote: post #31

This is a huge loss IMO, buying kitchen supplies and bedding on Amazon is complete shit. Target isn't much better due to lack of variety and types of bedding. I've bought the same bed sheets for 5+ years, a few months ago I bought new ones since some bleach got spilt on one set, it comes in and I could tell immediately the quality was far worse. One wash later, its ripping & fraying. Thankfully I could return them. S…

wal mart and department stores exist. bed bath and beyond was almost always super overpriced, and the quality on a lot of things isnt the best.

Re: Bed Bath and Beyond files for bankruptcy

#50

Post by this_user »

DTanner wrote: post #17

Just watched a documentary about a deranged BBBY superfan: https://www.youtube.com/watch?v=yrU0DAAylEk In one of his videos I he was standing in an empty parking lot shouting into a megaphone that Bed Bath & Beyond would never go bankrupt. I think he did the same thing in front of Lehman brothers (minus the megaphone).

He has also been stalking the BBBY CEO, but has now made his Twitter account private, and has delete a lot of his YT videos from the last few months.
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