Sportsmans Warehouse

[277284]

No More layaway?

[quickdtoo]

Call em and ask!

Tim

http://www.sportsmanswarehouse.com/store_locator.cfm

[277284]

I was there yesterday wanting to put a Handi Rifle on layaway.  No more said the clerk and then Customer service.

[quickdtoo]

Probably has something to do with the economy and the store being aquired by UFA Cooperative Limited of Canada, Gander ain't doin too well either.

Tim

http://chattanoogan.com/articles/article_139450.asp

Cash ''Infusion'' For Sportsmans Warehouse
by Jim Shepherd , The Outdoor Wire
posted November 21, 2008

This article courtesy of Jim Shepherd with The Outdoor Wire

In the unsteady economy of today, there are a couple of certainties: first, companies with cash can go bargain hunting and there are bargains to be had; second, if your company was headed in a negative direction before the economy slowed, you're in real trouble now.

Over the past few weeks, I've hinted that one or more of the fairly large companies in the industry weren't looking so good. I wasn't exaggerating.

The Outdoor Wire has acquired a copy of a November 19 memorandum to Sportsman's Warehouse "vendors and partners" telling them the company has in essence, been acquired by UFA Cooperative Limited of Canada. While there are legal issues to be resolved, UFA has already dumped a considerable amount of cash into Sportsman's Warehouse.

UFA has a lot of cash to dump.

The United Farmers of Alberta is an agricultural supply cooperative headquartered in Calgary, Alberta, Canada which owns and operates approximately three-dozen farm and ranch stores in Alberta and 120 cardlock and bulk fuel stations in British Columbia, Alberta and Saskatchewan. Since its beginning in 1909 it has grown from a small rural cooperative to a multi-billion dollar organization of 110,000 members.

In addition to the considerable rural holdings, UFA began its diversification into the outdoor industry earlier this year with the acquisition of Canadian outfitter, Wholesale Sports.

For UFA, the acquisition is part of a growth plan that UFA President and CEO Dallas Thorsteinson says on the company's website will result in a cooperative that is "even stronger than it is today" when it celebrates its centennial next year.

The acquisition assures Sportsman's Warehouse of having a next year.

The memorandum from Sportsman's Warehouse founder Stu Utgaard seemed to confirm the industry whispers that SW was on watch lists with most vendors. Knowledge of the cash infusion, Utgaard wrote, should enable vendors to "continue to deliver goods to our stores for Christmas."

Had the cash infusion not happened, several of the companies already facing considerable financial exposure had told me they would have refused further orders.

Sportsman's Warehouse, it seems, is headed for considerably more stable financial times under this new ownership. That's a relief to many outdoor manufacturers watching other retailers struggle nationwide -and worrying about the impact on their own moribund businesses.

The gloomy news continues, meanwhile at Gander Mountain (NASDAQ:GMTN) as the Saint Paul, Minnesota-based company made another round of layoffs earlier this week.

The company has seen its stock price declining steadily. Closing trading yesterday at $1.10, down another 19 cents or fourteen percent of its value from Wednesday.

Over the past year, Gander stock has dropped from a 52 week high of $6.97 to a low of $0.97. During the course of trading Thursday, it dropped as low as $1.01 before settling at the $1.10 close.

There have been signs of problems at Gander for some time. On September 8, Mark R. Baker resigned as president, chief executive officer and board member. Since then, David Pratt, Chairman of the Gander Mountain Board has since been functioning as interim CEO.

When Gander announced third quarter results earlier this month, it seemed the company might actually be turning the corner financially.

But the difficult economic conditions appear to have forced more actions on top of the already drastic cost cutting measures initiated place before consumer spending stalled.

Gander, it seems, simply had no other option to conserve resources than reduction of staffing.

With 116 stores in 23 states, Gander bills itself as the nation's largest retail network of stores for hunting, fishing, camping, boating, marine and outdoor lifestyle apparel and footwear, products and services. Should the difficult conditions persist, analysts say store closures may be only remaining option.

As the economy continues to be the primary concern of most Americans, the outdoor industry - in all facets - is feeling the pinch.

The lone exception would seem to be in those companies making - and selling - firearms that consumers fear may be banned under the incoming Democratic administration.

It's not good news, but....

...we'll keep you posted.