The future of Schwinn/GT international has looked shaky for a while and now rumours are confirmed as Bicycle Retailer.com reported they had filed for Chapter 11 bankruptcy in America yesterday.
As their debts are greater than the assets they posses they have had to seek court protection, meaning that only the secured banks will get their money, leaving bike industry debtors largely empty handed.
American bike company Huffy are rumoured to be bidding for the bike division, which will be sold in late August / early September, and the succesful bidder will get full rights to the Schwinn Cycling, GT, Riteway, Dyno and Powerlite brands in the United States. Schwinn Fitness will be sold seperately however.
We’ve not yet received any comment from the receiver handling the UK end of things, but staff we spoke to are waiting to see what happens when Huffy – or whoever – ends up buying the US organisation.
The Schwinn 100 event is unaffected, so keep putting in the miles.