Sports Authority Files for Bankruptcy; Plans Store Closings

Danvers, MA - Sports Authority has filed for Chapter 11 bankruptcy protection and plans to close or sell about 140 stores and two distribution centers in the coming months.

The Colorado-based sporting company has 463 stores in 41 states and Puerto Rico. The store closings are expected to take up to three months.

There are a dozen Sports Authority stores in Massachusetts, including one at the Liberty Tree Mall in Danvers.

In a statement on the company’s website, Sports Authority CEO Michael Foss said they have decided to “utilize the Chapter 11 process to implement a financial and operational restructuring that we believe is necessary to help us become an even better place for our customers to shop for sporting goods.”

Foss said that no stores will be immediately shut as part of the bankruptcy proceedings.

He also stated that the store closings will not impact gift card balances, create a change in return policies, or impact warranties or the way customers use or pay their Sports Authority credit cards.