The US Bankruptcy Court approved the second amended joint plan of liquidation and disclosure statement of Bed Bath & Beyond Inc on September 14, 2023. The debtor has filed its second amended plan in the Court on September 11, 2023. As per the amended plan, administrative claims, priority tax claims, professional compensation, statutory fees, other secured claims, other priority claims, lender professional fees, shall be paid in full in cash.

DIP claims of $240 million shall receive distributable proceeds in accordance with the waterfall recovery. FILO claims shall receive distributable proceeds in accordance with the waterfall recovery until such claims are paid in full. Junior secured claims and general unsecured claims shall receive its pro rata share of the shared proceeds pool, only if such proceeds are available after all senior claims are paid in full.

Intercompany Claims shall be reinstated. Intercompany interests and Interests in BBB shall be cancelled without any distribution. Section 510(b) claims shall be cancelled.

The plan shall be funded through cash and sale of assets.