Beyond, Inc. Announces Sale of Corporate Headquarters Closing

Rhea-AI Summary

Beyond, Inc. (NYSE:BYON) has completed the sale of its corporate headquarters in Midvale, Utah to Salt Lake County on December 20, 2024. The transaction includes a leaseback arrangement for a 5,000 square foot data center. The company will maintain its presence in Salt Lake City by leasing new office space that better suits its current business needs.

The sale aligns with Beyond's strategic plan to reduce debt and fixed costs, with the company achieving nearly 90% of its targeted $65 million annualized fixed cost reduction. The proceeds will be used to fully pay off associated mortgage obligations, with the remaining funds allocated to operations.

Positive

• Achievement of nearly 90% of $65M annualized fixed cost reduction target
• Strategic sale of headquarters to reduce debt and fixed costs
• Proceeds will eliminate mortgage obligations
• Maintained essential data center access through leaseback arrangement
• Meaningful improvement in business KPIs reported for December

Negative

• Additional capital required for new lease obligations in Salt Lake City
• Reduction in owned real estate assets

— Company On Track to Deliver $65 Million Annualized Fixed Cost Reduction —

— Company to Maintain Presence in Salt Lake City —

MIDVALE, Utah, Dec. 20, 2024 (GLOBE NEWSWIRE) -- Beyond, Inc. (NYSE:BYON), owner of Bed Bath & Beyond, Overstock, Zulily, and other online retail brands designed to unlock your family’s and home’s potential (“the Company”), today announced that it has completed the transaction with Salt Lake County to sell the Company’s corporate headquarters located in Midvale, Utah on December 20, 2024. The sale of the corporate headquarters aligns with the Company’s strategic plan to reduce debt and fixed costs, free up capital for new growth opportunities, and generate cash flow.

“I am pleased to report we have delivered almost 90% of our $65 million annualized fixed cost expense reduction while making sequential progress on our critical business KPIs, with meaningful improvement in December,” said Adrianne Lee, Chief Financial and Administrative Officer. “We have leased new office space in the Salt Lake City area to serve as our corporate headquarters, which is well-suited for the current and evolving needs of our business and will reduce our fixed cost expense base.”

The sale of the corporate headquarters includes a lease-back to the Company, by which the Company can continue to use and occupy a 5,000 square foot data center. The Company intends to use the proceeds from the sale to fully pay off its associated mortgage obligations, with the remainder to fund operations.

About Beyond
Beyond, Inc. (NYSE:BYON), based in Midvale, Utah, is an ecommerce expert with a singular focus: connecting consumers with products and services that unlock their families’ and homes’ potential. The Company owns Overstock, Bed Bath & Beyond, Baby & Beyond, Zulily, and other related brands and associated intellectual property. Its suite of online shopping brands features millions of products for various life stages that millions of customers visit each month. Beyond regularly posts information about the Company and other related matters on the Newsroom and Investor Relations pages on its website, Beyond.com.

Beyond, Bed Bath & Beyond, Welcome Rewards, Zulily, Overstock and Backyard are trademarks of Beyond, Inc. Other service marks, trademarks and trade names which may be referred to herein are the property of their respective owners.

Cautionary Note Regarding Forward-Looking Statements
This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 21E of the Securities Exchange Act of 1934. Such forward-looking statements include all statements other than statements of historical fact, including but not limited to statements regarding the timing and use of lease-back, and our use of proceeds from the sale of our corporate headquarters. Additional information regarding factors that could materially affect results and the accuracy of the forward-looking statements contained herein may be found in the Company's Annual Report on Form 10-K for the fiscal year ended December 31, 2023, filed with the SEC on February 23, 2024, on Form 10-Q for the quarter ended September 30, 2024, filed with the SEC on October 25, 2024, and in our subsequent filings with the SEC.

Contact Information

Investor Relations & Public Relations ir@beyond.com pr@beyond.com

FAQ

How much will Beyond Inc (BYON) save from its cost reduction initiative?

Beyond Inc is on track to deliver $65 million in annualized fixed cost reductions, with approximately 90% of this target already achieved.

What will Beyond Inc (BYON) do with the proceeds from the headquarters sale?

The proceeds from the headquarters sale will be used to fully pay off associated mortgage obligations, with the remainder allocated to fund operations.

Will Beyond Inc (BYON) maintain operations in Salt Lake City after the headquarters sale?

Yes, Beyond Inc will maintain its presence in Salt Lake City by leasing new office space that better suits its current business needs.

What is the data center arrangement in Beyond Inc's (BYON) headquarters sale?

The sale includes a leaseback arrangement allowing Beyond Inc to continue using and occupying a 5,000 square foot data center.