According to US trade site Bicycle Retailer, Pacific Cycle and Direct Fitness have closed their joint $151 million deal to purchase Schwinn / GT bikes and fitness.

Pacific have already announced plans to move the bike company offices from Boulder and California, to the decidedly less glamorous HQ in Wisconsin and Illinois, but it's expected that 250 out of 300 employees will lose their job.

Pacific have left the 2002 line up largely unchanged, but the parts and accessories division has been dropped and the lines will in future feature fewer models and be centred below the $500 mark.

Talking to the UK end of Schwinn / GT there's still some uncertainty but they're planning a slightly delayed launch of 2002 bikes from both ranges early next year. We'll keep you posted as to any developments as soon as they happen.