Gander Mountain closes 32 stores as it files for bankruptcy
The retailer of outdoor products said the decline of sales made it hard to ‘create a sustainable path forward.’ It will be selling its brand and remaining stores.
The company, which specializes in outdoor gear, also plans to put its brand and 130 remaining stores up for sale.
Gander Mountain released the following statement to reporters, which said retail sales declines stopped efforts “to create a sustainable” way to bounce back:
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.
The company’s strategic review yielded the following conclusions: A narrowly focused and lower cost operating model is necessary to position the company for profitable growth; The company does not have the financial capacity or time to reset its operations to fully implement the new model and, as a result; The best available path forward is to sell the company on a going-concern basis.
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