GOLD'S GYM BLOG

Gold’s Gym Chapter 11 Restructuring

Official Company Statement | May 4, 2020

by goldsgym

On May 4, 2020, GGI Holdings, LLC and its affiliates (“Gold’s Gym”) filed voluntary petitions for relief under Chapter 11 in an effort to facilitate the financial restructuring of the company.

This pre-negotiated filing will enable us to emerge stronger and ready to grow, and it is our intent to be on the other side of Chapter 11 by August 1, if not sooner.

The global COVID-19 pandemic spurred us to take immediate action, including the difficult but necessary decision to permanently close about 30 company-owned gyms, to maintain the strength and growth of the potential of the brand as well as ensure the continued viability of the company for decades to come. We have been working with our landlords to ensure that the remaining company-owned gyms reopen stronger than ever coming out of this pandemic.

To be clear, the filing should not impact our licensing division, it is not associated with any of our locally-owned franchise gyms, nor will it prevent us from continuing to support our system of nearly 700 gyms around the world.

While the COVID-19 pandemic certainly impacted our company-owned gym operations, we expect the filing will have no further impact on current operations.

As part of the company’s typical “first-day” restructuring requests, the company will be seeking court approval to continue paying suppliers, vendors, and employees in the ordinary course on a go-forward basis.

For more information, including a video message from Gold’s Gym President and CEO Adam Zeitsiff, visit our resource and FAQ page at www.goldsgym.com/restructure.

goldsgym

goldsgym

Gold’s Gym has been defining the fitness industry since 1965. From its beginning as a small gym in Venice, California, Gold’s Gym has grown into a global icon with nearly 700 locations across 6 continents. Featuring state-of-the-art equipment, certified personal trainers, a diverse group exercise program and a supportive, motivating environment, Gold’s Gym delivers a dynamic fitness experience focused on strength and performance. More than a gym, Gold’s Gym combines coaching, community and more than 55 years of fitness expertise to help people around the world achieve their potential through fitness.

Read More