Bass Pro Shops announced plans to shutter a Cabela’s distribution center in the company’s former headquarters of Sidney, Nebraska. The move comes as Bass Pro Shops restructures its distribution network, in a bid to provide faster shipping on par with Amazon.
“This action is being taken as a result of an extensive review of all Bass Pro Shops and Cabela’s operations, including independent analysis by global logistics experts and shipping companies,” the company said in a statement.
One hundred twenty-one jobs will be lost in the western Nebraska town, where Cabela’s once employed some 2,000 people.
The distribution center was originally constructed during World War II to store U.S. Army ammunition. Bass Pro Shops stated that, of the six Cabela’s distribution centers in the country, the 77-year old facility was the least efficient.
Per Bass Pro Shops, “The effort supports the company’s new ‘fast-and-free’ two-day shipping initiative, created to compete with major national ecommerce platforms offering two-day shipping. As part of ‘fast-and-free,’ roughly 97 percent of all eligible online orders at BassPro.com and Cabelas.com will ship the same day a customer places the order, providing faster home delivery than ever before.”
According to Bass Pro Shops, employees will be given the opportunity to apply for new jobs within the company.
Bass Pro Shops acquired Cabela’s in a landmark $5 billion deal in 2017. In March of 2018, Bass Pro Shops announced plans to lease its former rival’s 550,000 square foot headquarters for $1.
“The company greatly respects Cabela’s long-term ties to Sidney,” Bass Pro Shops continued in the company’s official statement. “Over the last year, every effort has been made to maintain significant operations in the city and across Nebraska while maintaining an obligation to customers and employees. Over the last year, every effort has been made to maintain significant operations in the city and across Nebraska while maintaining an obligation to customers and employees by continually assessing the business and implementing necessary actions to keep the organization financially healthy and better serve customers in a competitive marketplace.”
Bass Pro Shops says the action is being taken as the result of an independent global logistics analysis. “Cabela’s will be ceasing operations at the distribution center in Sidney, Nebraska, and the return center in Oshkosh, by Spring 2019. Cabela’s will continue to serve customers from five existing distribution centers across the country by expanding operations to seven days a week and adding new jobs throughout the remainder of the network.”
Bass Pro Shops expects the closure to be completed within months.