It’s no secret that companies are struggling.

In a recent SEC filing, discount retailer Big Lots disclosed that it expects to close 35 to 40 stores by the end of the year. Big Lots said that there is “substantial doubt about the Company’s ability to continue” because of inflation’s impact on shoppers’ buying habits. 

After shuttering dozens of locations nationwide, including the last two locations in Dallas, Red Lobster abruptly filed for bankruptcy in May, as reported by The Dallas Express. The restaurant said its share of diners had dropped substantially since 2019, with the company logging figures roughly 30% below where they had been. Sales over the past year fell sharply, with the company losing $76 million in the 2023 fiscal year.

Record-high inflation rates are not helping things, resulting in a gloomy outlook on the economy from consumers. 

Federal Reserve Chair Jerome Powell said Wednesday that there will not be a cut in interest rates until officials are convinced that inflation is heading in the right direction toward the central bank’s 2% target.  

It doesn’t just seem like the impact of inflation is driving companies out of business at a record pace. It’s really happening. Here’s the start of a Fox Business report on how companies are going bankrupt at the fastest pace since 2020:

There is a “historic surge” of corporate bankruptcies underway in the U.S., as debt-saddled companies struggle to adjust to the new era of high interest rates.

New figures published by S&P Global Intelligence show that 75 companies filed for bankruptcy in June, the highest number recorded in a single month since early 2020 at the height of the COVID-19 pandemic. That pushed this year’s total number of bankruptcies so far to 346, which is notably higher than comparable levels seen in the past 13 years.

Before this, the highest half-year figure recorded was in 2010, with 437 companies filing for bankruptcy from January through June.

The S&P report blamed high interest rates, supply chain issues and slowing consumer spending for the spike in bankruptcies this year.