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Bed Bath & Beyond's stock slumps following CFO's death

Bed Bath & Beyond
Posted at 12:37 PM, Sep 06, 2022
and last updated 2022-09-06 12:37:15-04

Shares of Bed Bath & Beyond were down 16% Tuesday morning. The sharp drop followed the death of the company's chief financial officer.

Gustavo Arnal was found unconscious and unresponsive Friday afternoon after reportedly plunging from a New York City high-rise apartment building. The New York Medical Examiner will determine a cause of death, but foul play is not suspected.

Bed Bath & Beyond said Amal was a talented leader.

"Gustavo will be remembered by all he worked with for his leadership, talent and stewardship of our Company. I am proud to have been his colleague, and he will be truly missed by all of us at Bed Bath & Beyond and everyone who had the pleasure of knowing him," said Harriet Edelman, Independent Chair of the Bed Bath & Beyond Inc. Board of Directors.

Arnal's death came two days after the company announced it would be laying off employees and closing some stores following a decline in sales.

The retailer said it would be reducing its workforce by about 20% and closing about 150 "low-producing" stores.

The retailer reported a 26% drop in sales compared to the second quarter of the 2021 fiscal year.

CNN reports Amal was accused in a lawsuit of a "pump and dump" scheme to inflate Bed Bath & Beyond's stock artificially.