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24 HOUR FITNESS ANNOUNCES CHAPTER 11 FILING BUT VOWS TO STAY IN BUSINESS!

I am writing to share an important update with you about 24 Hour Fitness and our commitment to delivering the best possible fitness experience for you.

Today we are announcing a financial restructuring, through a voluntary Chapter 11 filing, that we expect will make our company stronger. As part of this, we have received commitments for $250 million in financing that will allow us to continue our club reopening process without interruption. This restructuring will enable us to eliminate debt and close selected clubs that were either out-of-date or in close proximity to other 24 Hour Fitness clubs.

Removing these financial and operational constraints will allow us to focus on our network of approximately 300 existing clubs nationwide. We will have the financial flexibility to upgrade our equipment and expand and improve our fitness offerings to best serve our members and continue our transformational journey.

Importantly, this restructuring process does not change our commitment to health and safety. In addition, during our phased club reopening, all members will have access to any available 24 Hour Fitness club through the end of 2020—regardless of membership level. We will also continue to enhance the fitness experience inside and outside our clubs including our 24GO®app and 24GO® LIVE streaming services through the 24 Hour Fitness® YouTube channel and other offerings that contribute to your health and overall wellbeing.

We plan to provide updates to you during this process, and you may receive notices about the Chapter 11 case in the mail. You can visit the Contact Us portion of https://www.24hourfitness.com/restructure to see FAQs or to raise any questions about this process or your membership. Thank you for your patience with our Member Services department as we work to respond to your inquiries as quickly as possible.

We remain deeply grateful for your membership and offer our heartfelt thanks for your continued loyalty and commitment to 24 Hour Fitness. You provide the inspiration for what we do, and we hope you will choose to continue your fitness journey with us.

We look forward to welcoming you back into our clubs.


All My Best,
Tony
Tony Ueber, CEO

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