REI has announced the closure of its Experiences division after four decades of providing outdoor classes, excursions, and tours. This decision comes as part of a broader strategy to ensure the long-term financial health of the co-op. The closure, which is set to take place this week, will result in the layoff of 428 employees, including management staff and part-time guides who have played vital roles in the division.
Founded in 1935, REI's Experiences division offered a variety of activities aimed at outdoor enthusiasts. Popular offerings included classes such as Intro to Backpacking and Moonlight Walking Tours, as well as hiking trips across locations like North Carolina's Looking Glass Rock and Spain's Camino de Santiago. However, financial considerations have led the company to make this difficult decision.
REI President and CEO Eric Artz addressed the situation, stating that prioritizing the co-op's financial health is essential. He acknowledged the emotional impact on employees but reiterated the necessity of this move for the company's future sustainability.
“Our goal must always be the long-term financial health of the co-op, and while today’s decision is a difficult one, it is necessary,” – Eric Artz, REI President and CEO
Customers who have trips booked with the Experiences division will receive refunds. REI encourages affected customers to reach out to their customer service for further assistance regarding their bookings. This customer-first approach underscores REI's commitment to its clientele during this transitional period.
The closure will lead to significant short-term impacts for both employees and customers. Artz noted that the upcoming weeks would be particularly challenging as the company transitions away from this division.
Despite this setback, REI continues to expand its operations. The company plans to open two new stores in 2025, located in Durango, Colorado, and St. George, Utah. This expansion signals REI's ongoing commitment to serving outdoor enthusiasts even as it restructures its core offerings.
