This once proud sporting goods store which was once the biggest of its kind on the whole nation is now going to close all of its stores after the failure on finding a buyer. The bankruptcy court filing in Delaware states that the company is now going to have out-of-business sales at all the still opened locations and is going to close them all after.
A group of buyers has been found for its inventory, remaining assets and furniture.
The company initially filed for bankruptcy in March, stating that 140 were the number of locations to be closed, but after some deals flopped with lenders, the company announced all assets would be sold. There were some who hoped that the company would find a buyer to keep the stores running.
When Sports Authority filed bankruptcy, it had over fourteen thousand and five hundred employees working for it, and almost two thirds of that number was on a part-time regimen.
Ten years ago, Sports Authority had been bought by a hedge fund and as the largest retailer of sporting goods, but with the leveraged buyout and its associated debt it struggled.
The shop faced some online competition from titans like the NFL, NBA and Amazon and their stores, as well as big box stores offline, and the competitive forces were pushing Sports Authority from all sides.
As far other examples of retail giants falling are concerned, we can spot American Apparel and RadioShack, but the two companies are still in business, just with a reduced number of stores. Walmart, Kohl, Target, Macy’s, Sears and Kmart are also closing their weakest stores.