Retail news round-up on March 3, 2016: Keith Hellawell to stay as Sports Direct's chairman, Whistles seeks new ownership and Sports Authority goes bankrupt.
Sports Direct chairman vows to stay
Sports Direct chairman Keith Hellawell has pledged to stay at the helm of troubled retailer.
In an interview with the Guardian, Hellawell downplayed City concerns over the group’s trading and its staff treatment, describing its difficulties as "largely cosmetic".
He said: “Yes, I do [think I’m going to stay as chairman] … That is the plan, yes. I think there are a number of issues we are looking at in relation to the way in which we relate to the City – our investor relations certainly need to be improved. The issues in relation to corporate governance are very often overstated and they relate to the time we have been without a finance director, which we are resolving.”
Whistles mulls new ownership
Whistles chief executive Jane Shepherdson is locked in discussions with several potential buyers about a prospective sale.
KPMG, which is overseeing the process, is said to have approached several investors with the fashion chain’s financial data, according to Sky News.
Sports Authority files for Chapter 11 bankruptcy protection
US retailer Sports Authority has declared bankruptcy and revealed its plan to offload or close about 140 shops and two distribution centres, in Denver and Chicago.
The sporting goods chain has filed for Chapter 11 in the US bankruptcy court for the district of Delaware.
The store closures are likely to take up to three months.
“We are taking this action so that we can continue to adapt our business to meet the changing dynamics in the retail industry,” chief executive Michael Foss said in a written statement.