Modell's Sporting Goods files for bankruptcy, will close all stores
Business Insider/Jessica Tyler
- Modell's Sporting Goods filed for bankruptcy Wednesday and will begin closing all stores at the end of the week, Bloomberg reported Wednesday.
- The retail chain filed a Chapter 11 bankruptcy petition in New Jersey, and will begin liquidation sales at its locations on Friday.
- "While we achieved some success, in partnership with our landlords and vendors, it was not enough to avoid a bankruptcy filing amid an extremely challenging environment for retailers," Modell said in a statement, citing Bloomberg.
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Sporting-goods retailer Modell's is closing all stores and filing for bankruptcy, Bloomberg reported Wednesday.
The retail chain, which prides itself on being one of the oldest family-owned US sporting goods retailers, will shutter all locations and begin liquidation sales on Friday and continue online sales, according to the Bloomberg report.
Chief Executive Officer Mitchell Modell has said in interviews that recent warmer weather has hurt outerwear sales, as well as citing losing records in professional teams like the New York Yankees and the New York Jets and Giants football teams resulting in lower jersey sales, Reuters reported.
"While we achieved some success, in partnership with our landlords and vendors, it was not enough to avoid a bankruptcy filing amid an extremely challenging environment for retailers," Modell said in a statement, according to Bloomberg.
The sporting goods retailer has partnered with financial services firm Tiger Capital Group to liquidate its remaining stores, which is set to begin at the end of this week.
Modell's is the latest in a slew of sporting goods retail chains that have shuttered their doors for good, joining retailers like City Sports, Sports Authority, Sports Chalet, and MC Sports, according to the Reuters report.
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