Beleaguered retailer Bed Bath & Beyond Inc. has missed interest payments on its bonds, the Wall Street Journal reported late Wednesday, as the possibility of bankruptcy looms over the company.
Bed Bath & Beyond
confirmed to the Journal that it missed more than $28 million in payments for three tranches of notes totaling about $1.2 billion that were due Wednesday.
On Friday, the company said it was in default on loans that had been called in, and early last month warned that it may need to declare bankruptcy as it had “substantial doubt” about its “ability to continue as a going concern.”
The Journal has previously reported that Bed Bath & Beyond is expected to file for Chapter 11 bankruptcy protection soon, and has been making preparations for weeks.
On Monday, the company said it was closing more than 140 additional stores.
Bed Bath & Beyond stock slid about 2% in after-hours trading Wednesday after the Journal’s report was published. Its shares have tumbled 13% over the past five trading days and are down 83% over the past 12 months.