Gander Mountain has officially filed for Chapter 11 bankruptcy. This doesn’t come as much of a surprise since they had made it known they were preparing to file for bankruptcy earlier this year.
This is just the latest major change in the world of outdoor retail – the other being the continued talk about the merger between Bass Pro Shops and Cabelas.
Gander Mountain released a statement, announcing they will close 32 stores in 11 states while they actively search to find a buyer for the franchise.
Gander mountain released the following statement on March 10, 2017:
Gander Mountain Company announced today that, to maximize the opportunity to achieve a “going-concern” sale of its business, it and certain of its subsidiaries have filed voluntary petitions for relief under Chapter 11 of the United States Bankruptcy Code.
Today’s action is the result of an in-depth review of the company’s strategic options undertaken in recent months to preserve the value of the company and position it for long-term success. Like many retailers, Gander Mountain experienced challenging traffic patterns and shifts in consumer demand resulting from increased direct-to-customer sales by key vendors and accelerated growth of e-commerce. Despite aggressive actions to improve the efficiency of the company’s retail operations and support functions, the underlying financial impact from underperforming stores and unproductive, excess inventory hampered efforts to create a sustainable path forward.
Click here to read the statement in its entirety.