Sports Authority to file for bankruptcy as early as March: Sources – CNBC

Sports Authority missed a $20 million coupon payment on Jan. 15, triggering a 30-day grace period to work out a compromise with creditors.

The Englewood, Colorado-based company’s bankruptcy plans underscore the challenges the fragmented sporting goods industry faces as it competes with discounter Wal-Mart Stores and online retailer Amazon.com.

Ahead of the bankruptcy filing, Sports Authority is trying to work out a deal with creditors for a loan to get the company through bankruptcy, and line up liquidators for the 150 to 200 stores it plans to close, one of the people said this week.

Sports Authority, owned by private equity firm Leonard Green & Partners, declined to comment.