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Austin’s Own Golfsmith files for Chapter 11 Bankruptcy

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Golfsmith the golf equipment retailer based here in Austin filed for Chapter 11 bankruptcy Wednesday morning.  It plans to close under performing stores, restructure its debt and sell off Golf Town Inc. 

The golf equipment retailer owes between $100 and $500 million to it’s creditors.  Since 2008 there has been a steady decline in golf participation.  Millennial’s have not embraced the game complaining it is expensive and time-consuming.  Many have relocated to cities where golf courses are less accessible.

The retailer has requested court approval of a restructuring plan that will result in the sell off of Golf Town and the closure of underperforming stores.

Golfsmith has been struggling along with other big box retailers such as Sports Authority which filed for bankruptcy in March of this year.  Sports Authority originally filed chapter 11 seeking to reorganize.  In May Sports Authority announced it would be unable to reorganize and would pursue a sale.

Currently, Golfsmith has received court approval to close 20 stores.


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Posted September 16, 2016