Gold's Gym on Tuesday announced that it has filed for Chapter 11 bankruptcy protection due to the novel coronavirus pandemic, but its president and chief executive Adam Zeitsiff assured that they are "not going anywhere."
In a video message, Zeitsiff maintained that Gold's Gym "is not going out of business."
"The COVID-19 global pandemic has affected Gold's Gym deeply and in many ways," he admitted. "Our focus from the beginning of this crisis has been on the health and safety of our members, our team members, and the communities we serve."
Gold's Gym closed 30 company-owned gyms last month, in an effort 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."
"While the COVID-19 pandemic certainly impacted our company-owned gym operations, we expect the filing will have no further impact on current operations," the company said.
The company further assured that they will continue to support its system of nearly 700 gyms around the world. There are 26 Gold's Gym branches in the Philippines, all of which have been closed since the enhanced community quarantine was implemented in March.
"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 company said.
Gold's Gym was founded in 1965 by bodybuilder Joe Gold in Venice Beach, California.
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