Sports Authority is about to shut down its stores all across the America.
The American sports retailer, Sports Authority, that announced its planning to shut down about 140 stores, has now decided to sell all the remaining assets as well – according to the Forbes news.
Instead of trying to re-organizing the company under the Chapter 11 bankruptcy protection, the sports retailer will be holding the auction on the 16th of this month.
The locations where the stores on the chopping block were Manalapan, Wayne, Piscataway, Cherry Hill, and East Brunswick. Now, the other sixteen sports stores in the New Jersey also appear to be shutting down.
According to the Forbes – If a buyer appears, then some locations can be saved. In 41 states of the country, there are total 463 stores of the Sports Authority that have over 14,500 employees.
The Sports Authority is currently having a debt of $1.1 billion and it has already lost a total of $256 before the taxes in the 2015 fiscal year, according to the WSJ.com. According to the CNN Money, the Colorado-based company wasn’t able to make the debt payment of $20 billion.
On May 2017, there is also another $300 million loan that the company has to pay, according to a report by BusinessInsider.com report.
The company expanded noticeably through the competitors’ acquisition beginning in the year 1997. Having a number of stores in 41 states and also in Puerto Rico, the company was once recognized as the nation’s top sports retailer, but it came down to the number 4 place below its competitors including the Dick’s Sporting Goods.
The emergence of the online retailers like Amazon and also the websites run by the professional and college teams and the league has also played a big part to reduce the sales of the Sports Authority.