The outdoor equipment and apparel retail sector has faced financial distress in the last year leading to store closures, layoffs, and, in some cases, bankruptcy filings.
Manchester, Vt., outdoor gear and apparel retailer Orvis on Oct. 4, 2024, said that it planned to close an undisclosed number of its over 80 retail stores in the U.S., lay off 112 of its employees, and discontinue its historic retail catalog to “enable a smaller and more agile business,” VTDigger reported.
The company did not file for bankruptcy.
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L.L. Bean, an outdoor apparel, footwear and gear retailer, closed one of its stores in New Haven, Conn., in February 2024 and had two rounds of layoffs in July and December 2024, but has not filed for bankruptcy.
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Mountain Sports, which operated about 50 sporting goods and apparel stores in seven Northeast states under the Eastern Mountain Sports and Bob’s Stores brands, on June 18 filed for Chapter 11 bankruptcy in the U.S. Bankruptcy Court for the District of Delaware to restructure its debt and reorganize its business after defaulting on a loan agreement with PNC Bank.
Eastern Mountain Sports, or EMS, marketed itself to the “adventurer looking for reliable and functional outerwear and gear at a value price.”
REI is shutting down its Experiences business and laying off over 400 employees.
Lindsey Nicholson/UCG/Universal Images Group via Getty Images
REI closes its Experiences business
Outdoors equipment and apparel retailer REI revealed it will close its Experiences business, which includes company-operated adventures travel, day tours, and classes, effective Jan. 15, according to a Jan. 8 statement on the company’s website.
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The closing of REI Experiences, which operated for 40 years, will result in layoffs of 180 full-time workers and 248 part-time guides.
“We have gone through many iterations and explored multiple options to keep this business up and running and to preserve jobs. We’ve held out as long as possible, but the fact remains that Experiences is an unprofitable business for the co-op, and we must adjust course,” the statement said.
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Full-time employees who are laid off will receive their full salary through March 9, 2025, and their benefits will be active through the end of March, the statement said. They will also be eligible for severance benefits, healthcare coverage through COBRA, and outplacement service support.
Part-time employees will remain benefits-eligible through January 2025 and will also be eligible for a severance payment.
“REI has decided to exit its Experiences business, including adventures travel, and classes. If you currently have a booking with us, please refer to the FAQ below for additional details and next steps,” a message on the website said.
REI Experiences also sent a longer message to its customers on the REI Adventures site, titled: “A thank you to our REI Members.”
“We have made the decision to close REI Adventures so that the co-op can focus on its core retail business. Our final trips will run through mid-January as we begin shutting down operations,” the message said.
“For those who entrusted us with your travel plans for 2025 and 2026, we will be in touch directly via email. Please also refer to the detailed FAQs below that will help address questions about your booking,” it continued.
It also thanked the thousands of REI Adventures travelers who have used the service for almost 40 years.
REI closes Experiences division on Jan. 15
REI said in its Adventures Customer FAQ that all trip bookings on or after Jan. 15 are canceled and refunds will be issued to the original form of payment.
Customers who purchased insurance, flights or other travel arrangements, and hotels, must contact those businesses to arrange refunds.
REI said that it will still offer in-store workshops, presentations, and events on occasion. Interested parties should visit REI.com/events for more information.
REI, based in Seattle, has 193 stores in the U.S. as of Dec. 11, 2024, according to data provider ScrapeHero. The company is the nation’s largest consumer co-op with 24 million members, according to its statement.
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