Sport Chalet is Shutting All Stores as Parent Vestis Files Chapter 11 Bankruptcy
Posted on April 18, 2016
Sport Chalet is shutting all its stores and has started going-out-of-business sales. Sport Chalet has also closed its online store. The parent company, Vestis Retail Group, has filed for Chapter 11 bankruptcy protection.
Vestis is winding down Sport Chalet. It will continue to run its other sporting goods stores, Eastern Mountain Sports and Bob's Stores. Vestis says it will close a total of nine EMS and Bob's stores where it says real estate costs are unfavorable. The L.A. Times reports that Sport Chalet has a total of 47 stores that are being closed. Sports Chalet has most of its stores in California. It also has stores in Nevada and Arizona.
Vestis CEO Mark Walsh says in the announcement, "When Vestis first acquired EMS and Sport Chalet, each company faced significant operational challenges and was on the verge of liquidation. We have made significant progress in stabilizing the businesses and improving overall performance across all our brands. As a result, EMS and Bob's are now delivering solid performance but have been burdened by limited financial flexibility due, in part, to the unique competitive pressures facing Sport Chalet. After reviewing a variety of strategic alternatives, we determined that the best path forward is to separate the businesses and confront the challenges that have been hindering our overall progress. We are confident EMS and Bob's will be well-positioned to thrive at the conclusion of the process."
Vestis says Sport Chalet gift cards will be honored at Sport Chalet stores through April 29th. Customers can also transfer gift card balances from Sport Chalet to Eastern Mountain Sports or Bob's Stores.