Listen to this article

After filing for Chapter 11 bankruptcy, boating and marine supply retailer West Marine is closing nearly 60 stores, including three in New Jersey.

In a June 1 filing in U.S. Bankruptcy Court for the District of Delaware, the Florida-based chain said it will shutter nearly five dozen stores across 23 states as part of a restructuring effort.

Within New Jersey, outposts in Cape May, Eatontown and Toms River are affected, according to West Marine’s website.

West Marine has not announced when individual stores will permanently wind down, but closing sales are underway. Following the closures, the brand will have remaining local sites in Brick, Lodi and Somers Point.

When West Marine filed for Chapter 11 in mid-May, the company said it would keep operating during the reorganization. Its e-commerce presence would also remain active, West Marine said at the time.

Since then, the chain identified 59 of its 200-plus stores that it intends to close in a bid to address “capital structure while maximizing value for all our stakeholders,” West Marine said.

‘Faced headwinds’

Founded in 1968, West Marine is a specialty marine retailer that serves both recreational and professional boaters. Its inventory includes boating supplies, safety gear, electronics, parts, maintenance products and apparel. The chain operates as a one-stop shop for boat outfitting and repairs, too.

“Like many in the boating community, West Marine has faced headwinds in recent years, including supply chain disruptions, extreme weather events, and shifts in consumer behavior,” the company said in a press release about its Chapter 11.

West Marine also noted mounting pressure on the traditional brick-and-mortar retail model. According to the filings, the chain was locked into leases that cost more than $55 million per year.

In its petition, West Marine listed $549 million in total obligations. It also reported between $500 million and $1 billion in both assets and liabilities.

West Marine CEO Paulee Day said, “West Marine has been a trusted partner to the boating community for decades, and we remain deeply committed to that mission. The actions we are taking today will allow us to optimize our operations and rationalize our footprint, so that we can focus on continuing to serve our customers and community well into the future.”

Under a restructuring support agreement with its key financial stakeholders, West Marine aims to reduce debt by over $300 million. The company expects to emerge from Chapter 11 by mid-August, according to the restructuring timeline.