scratchy
03-10-2009, 21:20
Sorry if a repost, I didn't see it anywhere I looked:
Sportsman’s Warehouse Closing 23 Stores
Aurora, Pocatello and Nampa stores on chopping block; other Idaho and all Montana stores to remain open; UFA to own 15 stores.
By Bill Schneider, 3-10-09
The pending purchase of Sportsman’s Warehouse (http://sportsmanswarehouse.com/) by UFA Co-operative United (http://www.ufa.net/aboutUFA/whoWeAre.html)(UFA) of Calgary, Alberta has partially unraveled. (Click here (http://www.newwest.net/topic/article/canadian_farmers_cooperative_buys_sportsmans_wareh ouse/C41/L41/) for NewWest.Net’s breaking story on the acquisition.)
In a teleconference with all Sportsman’s Warehouse employees yesterday afternoon CEO Stu Upgaard announced that 23 of the company’s 67 stores would be closing in the next few months, including two stores in Idaho (Pocatello and Nampa) and one in Colorado (Aurora). Other Idaho stores and all Montana stores would remain open.
In a phone interview with NewWest.Net, Upgaard explained that the company ran in to major cash crunch. “UFA did not close the transaction,” he explained. “They missed four closing dates. Now, we have no liquidity.”
And the banks are putting extreme pressure on the company to reduce debt, he said. “They have all the money. They (the banks) are trying to force us into bankruptcy, and we’re trying to avoid it.”
“We’re closing 23 stores to reduce our bank debt,” he explained, “and we’re selling 15 stores to UFA for the same reason. We are now a 29- store chain.”
In the teleconference, Upgaard said UFA will have the rights to use the Sportsman’s Warehouse brand on the 15 stores for up to two years, but will likely start the process of re-branding the stores as Warehouse Sports, a similar Canadian sports store chain UFA already owns.
These 23 stores are being liquidated: Aurora, CO, Coon Rapids, MN, DePere, WI, Henderson, NV, Lafayette, IN, Las Cruces, NM, Las Vegas, NV, Legacy, TX, Memphis, TN, Nampa, ID, New Berlin, WI, Oklahoma City, OK, Pittsburgh, PA, Pocatello, ID, Roanoke, VA, Rogers, AR, Round Rock, TX, St. Cloud, MN, Sioux Falls, SD, Southaven, MS, Visalia, CA, Wichita, KS and Woodbury, MN
These 15 stores are being sold to UFA: Bend, OR, Bozeman, MT, Burlington, WA, Coeur d’Alene, ID, Fargo, ND, Federal Way, WA, Helena, MT, Kennewick, WA, Lacey, WA, Missoula, MT, Portland, OR, Salem, OR, Silverdale, WA, Spokane, WA, and Vancouver, WA
NewWest.Net has calls into the corporate offices of UFA for comment and will update this story if more details come in.
http://www.newwest.net/city/article/sportsmans_warehouse_closing_23_stores/C426/L426/
Sportsman’s Warehouse Closing 23 Stores
Aurora, Pocatello and Nampa stores on chopping block; other Idaho and all Montana stores to remain open; UFA to own 15 stores.
By Bill Schneider, 3-10-09
The pending purchase of Sportsman’s Warehouse (http://sportsmanswarehouse.com/) by UFA Co-operative United (http://www.ufa.net/aboutUFA/whoWeAre.html)(UFA) of Calgary, Alberta has partially unraveled. (Click here (http://www.newwest.net/topic/article/canadian_farmers_cooperative_buys_sportsmans_wareh ouse/C41/L41/) for NewWest.Net’s breaking story on the acquisition.)
In a teleconference with all Sportsman’s Warehouse employees yesterday afternoon CEO Stu Upgaard announced that 23 of the company’s 67 stores would be closing in the next few months, including two stores in Idaho (Pocatello and Nampa) and one in Colorado (Aurora). Other Idaho stores and all Montana stores would remain open.
In a phone interview with NewWest.Net, Upgaard explained that the company ran in to major cash crunch. “UFA did not close the transaction,” he explained. “They missed four closing dates. Now, we have no liquidity.”
And the banks are putting extreme pressure on the company to reduce debt, he said. “They have all the money. They (the banks) are trying to force us into bankruptcy, and we’re trying to avoid it.”
“We’re closing 23 stores to reduce our bank debt,” he explained, “and we’re selling 15 stores to UFA for the same reason. We are now a 29- store chain.”
In the teleconference, Upgaard said UFA will have the rights to use the Sportsman’s Warehouse brand on the 15 stores for up to two years, but will likely start the process of re-branding the stores as Warehouse Sports, a similar Canadian sports store chain UFA already owns.
These 23 stores are being liquidated: Aurora, CO, Coon Rapids, MN, DePere, WI, Henderson, NV, Lafayette, IN, Las Cruces, NM, Las Vegas, NV, Legacy, TX, Memphis, TN, Nampa, ID, New Berlin, WI, Oklahoma City, OK, Pittsburgh, PA, Pocatello, ID, Roanoke, VA, Rogers, AR, Round Rock, TX, St. Cloud, MN, Sioux Falls, SD, Southaven, MS, Visalia, CA, Wichita, KS and Woodbury, MN
These 15 stores are being sold to UFA: Bend, OR, Bozeman, MT, Burlington, WA, Coeur d’Alene, ID, Fargo, ND, Federal Way, WA, Helena, MT, Kennewick, WA, Lacey, WA, Missoula, MT, Portland, OR, Salem, OR, Silverdale, WA, Spokane, WA, and Vancouver, WA
NewWest.Net has calls into the corporate offices of UFA for comment and will update this story if more details come in.
http://www.newwest.net/city/article/sportsmans_warehouse_closing_23_stores/C426/L426/