Modell’s Sporting Goods has announced it will close all its 141 remaining stores up and down the East Coast after filing for bankruptcy, following a pattern of retailers in recent months.
The announcement comes after the 130-year-old athletic gear company sent letters to more than a dozen landlords last month asking them to “dig deeper” to help the family-run chain avoid bankruptcy.
CEO Mitchell Modell blamed the “extremely challenging environment for retailers” for the decision, according to CNN.
“This is certainly not the outcome I wanted, and it is one of the most difficult days of my life,” he said.
Last year, Mitchell Modell loaned $6.7 million of his own money to the business in an effort to salvage it. The company had also announced it was planning to try out small concept stores across New York in a turnaround effort.
A New York mainstay, the family-run company was known for its advertising tagline, “Gotta Go to Mo’s.”
Modell’s is one of several sporting gear retailers to file for bankruptcy in recent years, including Sports Authority and Eastern Mountain Sports. The wider retail sector is also suffering as consumers increasingly turn to e-commerce for all their buying needs. In the past six months, Barney’s, Forever 21 and Sears have all filed for bankruptcy. Forever 21 was later bought for $81 million by a trio of investors that includes Simon Property Group.
[CNN] — Sylvia Varnham O’Regan