Sports Authority Inc. filed for bankruptcy Wednesday after failing to exploit the fitness boom that’s been a rare bright spot in retail.
The company, whose name adorns the stadium that’s home to the Super Bowl champion Denver Broncos, has fallen far since a $1.3 billion buyout in 2006 piled it with debt. The company said in a statement following the bankruptcy filing in Delaware that it will close as many as 140 of its 463 locations.
In 2006, the chain was even with Dick’s Sporting Goods in sales. Today, Dick’s has hundreds more locations and takes in almost twice as much per store, making it the U.S. leader in selling athletic gear, while Englewood, Colorado-based Sports Authority’s debt load has hampered its ability to expand or innovate.