The pandemic continues to expedite the shift from brick and mortar retail to e-commerce.
- Shopping mall giant Westfield sued Gap after the retailer skipped out on more than $10 million in rent for stores around the country, including its Banana Republic outpost in the Oculus center, making it the latest owner to take Gap to court for nonpayment during the coronavirus pandemic. (CO)
- Sparc Group LLC, an apparel company backed by Authentic Brands Group and mall owner Simon Property Group is considering bidding to buy Brooks Brothers out of bankruptcy. WHP Global, which has agreed to finance Brooks Brothers during its bankruptcy, is also crafting a buyout offer. Both potential bidders are planning to keep most Brooks Brothers stores intact, betting that the retailer’s survival is tied to a strong brick-and-mortar presence. (WSJ)
- Bed Bath & Beyond said its sales tumbled nearly 50% during its latest quarter, even as online sales surged more than 100% during April and May. The company said it plans to permanently close roughly 200 of its namesake stores over the next two years, starting later in 2020, as it works toward getting back to profitability. As of May 30, it operated a total of 1,478 stores, including 955 Bed Bath & Beyond shops. Bed Bath also owns the chains Buybuy Baby, Christmas Tree Shops, and Harmon Face Values. (CNBC)
- Kitchen-supply chain Sur La Table, which sells high-end cookware and offers gourmet-cooking classes at its stores, filed for bankruptcy protection with a buyout offer from investment firm Fortress Investment Group. Sur La Table intends to sell up to 70 stores to Fortress and to close the rest. (WSJ)