We are in negotiations on a mutually agreeable exit out of Gold's Gym

Gold's Gyms in Appleton, Menasha and Green Bay will be called something other than Gold's Gym at the end of the month.

Gold's Gym International spokesman Dave Reiseman said the company and one of its Wisconsin franchisees, Vertical Fitness Group LLC, are in discussions "to arrange a mutual parting of ways," according to a post Thursday morning by Milwaukee Journal-Sentinel sports blogger Don Walker.
Vertical Fitness Group owns the three northeastern Wisconsin Gold's Gyms plus two more in Hales Corners and Racine.
Jon Barton and Jamie Nelson, two of the four owners here, confirmed they are in the process of splitting from the brand. Six more gyms in Minnesota that have some of the same partners also will leave the Gold's brand.
The 11 facilities have about 125,000 members. The three northeastern Wisconsin gyms have 25,000 members, according to Barton.
"We are in negotiations on a mutually agreeable exit out of Gold's Gym. Unfortunately this (announcement) is premature. We're not ready to put our whole plan out there yet," Barton said.
"We are not selling (the clubs). We're not closing them. The clubs will be exactly the same. No members' rates will change," Barton said.
Letters and emails will be sent to members by April 23 with details.
Barton said negotiations are confidential and that he can't disclose the terms of the split. The agreement has not yet been signed.
Likewise, Reiseman told the Journal-Sentinel that the conversations were ongoing and he couldn't discuss details.
"This was 100 percent our initiation to leave the brand," said Barton, disputing the Journal-Sentinel's headline that read "Gold's Gym looking to end ties to Wisconsin franchisee."
"The headline doesn't align with what really happened, but the context of the article is accurate," said Nelson.
"We can say we're in negotiations to leave the brand in a very mutually agreeable way so that we can pursue our model for a fitness center and take our model to other locations that the current franchise restrictions won't allow us to do," Barton said. "This is us desiring to move forward and expand. We want to wrap up our relationship with Gold's Gym in a positive way."
Barton said the ownership of the gyms will remain the same. The five Wisconsin branches are owned by Barton, Nelson, Tom Davidson and Jason Lang.
One member who has used the local Menasha and Appleton Gold's Gyms for four years said she wasn't concerned about a name change.
"Do I care if it doesn't have the Gold's Gym name on it? Probably not," said Christine Williams of Appleton. "I would be concerned if losing the Gold's name means they'd lose BodyStep and BodyFlow classes, which are (Les Mills) trademarked. As long as they have comparable classes, I'd be OK with it."
Williams was unhappy about the "overselling" of the gym when it went to a $10-a-month fee structure because it caused overcrowding at peak times. But overall she hoped the gym would remain open and continue with comparable services.
"There isn't any competition anymore. Lake Park is higher priced and it's difficult to get to from here. That leaves Planet Fitness, the Y and the 24-hour fitness places. There isn't competition of the caliber of Gold's."
Gold's International spokesman Dave Reiseman could not be reached.