There is no shortage of golfers in the Escondido area, which is why many of our readers may be surprised to hear that the largest golf retailer in the world is reportedly on the precipice of filing for Chapter 11 bankruptcy. The report comes on the heels of a reported failure of the retailer to complete a sale of the company.
According to the reports, Golfsmith International, a golf equipment retailer that has over 150 stores across the country, including several in Southern California, may be left with no choice but to file for Chapter 11 bankruptcy. The company is reportedly struggling with quite a bit of business debt - approximately $200 million.
There may be a wide variety of reasons for why the golf equipment retailer is struggling, but the recent report suggests that one of the reasons may be a downturn in interest in the sport. Since a likely peak year in 2000 - coincidentally the year that golf superstar Tiger Woods won three major championships - interest in the sport has decreased. The recent report estimated that approximately 6 million people have stopped playing golf since that year. The report notes that mega sports company Nike has recently announced that it will stop selling golf equipment.
Although all signs point toward a business bankruptcy for Golfsmith International, the move isn't official yet. However, the recent report noted that if the company does indeed file for bankruptcy, the company and its inventory could become the property of mega-retailer Dick's Sporting Goods.
Source: New York Post, "World's largest golf retailer on the verge of bankruptcy," Josh Kosman, Sept. 13, 2016