West Marine, a major U.S. boating retail store, has filed for Chapter 11 bankruptcy and will reportedly close 59 stores.
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Court documents filed on June 1 identify the location of each store slated for closure, which are spread across 23 states, per Powerboat News.
The company, based in Fort Lauderdale, Florida, has reached a restructuring agreement with its main financial stakeholders. This agreement, supported by over 96% of its term loan lenders and almost 94% of its equity holders, aims to lower the company’s debt and improve its financial stability.
The bankruptcy filing outlines West Marine’s plan to close 59 of its 200+ stores, reducing its retail footprint by roughly a quarter.
According to Powerboat News, Florida will be the most affected, with eight store closures. Michigan will lose six stores, while California and Washington will each lose five. Both of West Marine’s stores in Maine, in Portland and Southwest Harbor, are also on the closure list, leaving the state with no West Marine locations.
West Marine May Close More Locations in the Near Future
Hilco Merchant Resources is conducting liquidation sales under a consulting agreement signed on May 10, one week prior to the bankruptcy filing. The court approved the store closures on June 9, with sales expected to continue through late September.
According to Powerboat News, West Marine’s June 1 notice suggests the company is still analyzing its store portfolio and may announce further closures. The initial 59 stores are just the first confirmed wave, as the company’s agreement with Hilco anticipates a total of 95 closures, implying a second list is probable.
Founded in 1968, West Marine grew from a small rope business in California into a leading retailer of marine parts and accessories for boating, fishing, and sailing enthusiasts, as well as marine industry professionals.