الثلاثاء، 1 مارس 2016

Sagging Sports Authority May Sell Stores To Dick’s

(Mike Mozart)
Last week, it was reported that Sports Authority is preparing to file for Chapter 11 bankruptcy protection in the hope of restructuring its business and shedding hundreds of million in debt. Now comes news that this rebuild may involve selling some of its retail locations to competitors like Dick’s Sporting Goods.

This is according to Bloomberg, citing the ever-helpful “people familiar with the situation,” who say that one of the options on the table for Sports Authority is to sell off an unspecified number of stores, along with intellectual property, after the company files for bankruptcy protection in the coming weeks.

The privately held, Colorado-based Sports Authority currently has around 450 stores around the country, and more than $600 million in debt. On Jan. 15, the company failed to make a $20 million coupon payment to creditors, triggering a 30-day grace period. When that deadline came and went, reports surfaced that the retailer was looking to file for Chapter 11 and close upwards of 200 stores.

Dick’s Sporting Goods has more than 600 stores in the U.S. It’s not known if the Pennsylvania-based retailer would convert any acquired Sports Authority stores to the Dick’s branding or if they would continue to operate under their existing brand.


by Chris Morran via Consumerist

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