These companies with stores in Massachusetts went bankrupt in 2023

BOSTON - It was a tough year for many businesses in Massachusetts and around the country in 2023. Companies faced a number of issues including high costs, supply shortages and growing competition.

There were several big names that filed for bankruptcy this year. While some companies ended up closing their doors for good, others used the process to shed debt and cut costs through reorganization in order to keep stores open. 

Bed Bath & Beyond

Bed Bath & Beyond had 17 stores open in Massachusetts at the start of 2023. But in a long journey that had a final demise this year, the everything-store filed for bankruptcy in April. It closed its final 360 stores nationwide and also 120 buybuy BABYs in one of the largest retail bankruptcies in years.

But you'll still see the famous blue logo. Overstock.com bought the brand out of bankruptcy and relaunched its own site as BedBathandBeyond.com. The move merged Overstock's online business model and merchandise categories with popular branded products favored by Bed Bath & Beyond shoppers.

Bed Bath & Beyond's iconic 20%-off a single item "Big Blue" coupon was resurrected, but can only be used online.

Other retailers have already started moving in to empty Bed Bath & Beyond locations, including some closed stores in Massachusetts. 

Christmas Tree Shops

This year was also the end of an era for an iconic New England-based retailer. The Christmas Tree Shops filed for bankruptcy in May before closing its last stores in August. 

The chain got its start on Cape Cod 50 years ago, and shoppers all over the region knew the company's "Don't you just love a bargain?" jingle. Back in 2022, the company rebranded at "CTS" because people outside of New England believed the stores only sold Christmas trees.

David's Bridal

Wedding gown retailer David's Bridal filed for bankruptcy in April, announced it was laying off thousands of workers and ended up closing several stores, including some in Massachusetts.

The company that once claimed to sell one in every four wedding dresses sold in the United States is still getting brides ready for their big day, with locations remaining open in Westwood, North Attleboro and West Springfield. 

Party City

Party City filed for bankruptcy in January as it struggled with rising prices and slowing customer spending, but it emerged from the process in September and said most stores will stay open. 

There are nearly two dozen Party City stores still in Massachusetts, according to the company's website. 

WeWork

WeWork had a wild ride in 2023. Once the nation's most valuable start-up, the company seemed poised to remake the nature of work in America. Some compare its meteoric rise and chaotic, high-profile fall to the Fyre Festival and FTX fiascos.

The beleaguered coworking-space company filed for Chapter 11 bankruptcy in November. It was not much of a surprise. The month prior, WeWork had said it was struggling to pay back its debt after the pandemic rocked its core business as more people worked from home.

The former tech unicorn began coming undone long before Covid-19, however. A botched IPO attempt in 2019 unraveled the business, revealing larger-than-expected losses and potential conflicts of interest with the company's cofounder and then-CEO Adam Neumann. Neumann's unorthodox leadership style was the subject of lots of news coverage (along with a Hulu documentary), and he was ousted in 2019.

WeWork said it will remain open and operational as it renegotiates its leases and debt obligations.

Rite Aid

After a long chain of problems for drug stores, Rite Aid filed for Chapter 11 bankruptcy in October. It then announced it was closing more than 150 stores, including one in Webster, Massachusetts and another in Merrimack, New Hampshire. 

Like CVS and Walgreens, Rite Aid had to settle expensive lawsuits stemming from accusations of filing unlawful opioid prescriptions for customers. But, unlike its rivals, Rite Aid was losing its battle against the mounting debt and was not able to recover financially.

Rite Aid was also struggling to compete against Amazon, Walmart, Target and Costco, more customer-friendly alternatives to nationwide pharmacy chains.

In an October SEC filing, the company said it expected significant increases in losses — on top of the three-quarters of a billion dollars it lost between March 2022 and March 2023 — and another $307 million between March and May this year.

The company said in a statement it had secured $3.5 billion in financing and debt reduction agreements from lenders to keep the company afloat through its bankruptcy. It said it would accelerate the pace of its store closures and sell off some of its businesses, including prescription benefit provider Elixir Solutions; and also appointed a new CEO.

Rite Aid specifically cited increasing theft in the closure of some of its stores.

MV Realty

Real estate company MV Realty filed for bankruptcy this September in 33 states, including Massachusetts.

MV Realty was accused of duping homeowners into 40-year listing agreements. The I-Team brought complaints from dozens of homeowners to the Attorney General's office, and the state sued the company. 

Loyal Companion

Loyal Companion, a pet shop with multiple Massachusetts locations, closed its stores and filed for bankruptcy in February.

Before closing, Loyal Companion had locations in Boston, Cambridge, Newton, Wellesley, Bedford, Wayland, Sudbury, Stow, Concord, Stoneham, Beverly, Littleton, Shrewsbury, Medway and Canton.