Last Updated on Monday, 18 August 2014 23:11
Monday, 18 August 2014 22:58
The Adidas Group, parent company to TaylorMade-Adidas, Ashworth and Adams Golf, has said in a statement that it has closed its Adams Golf headquarters in Texas and has consolidated the business into TaylorMade's California headquarters in Carlsbad.
At the same time, according to mygolfspy.com
, 15 percent of the golf division's staff, a majority of whom were Adams Golf employees, have been laid off.
TaylorMade's business has struggled the first two quarters this year. Sales were down 18 percent in the second quarter and are down 27 percent in total for 2014, a number which equates to roughly $315 million.
Here is the official statement from TaylorMade-adidas Golf:
“We recently announced that a reorganization of our company was being planned. This restructuring includes the consolidation of our Adams Golf business currently located in Plano, TX to our global headquarters in Carlsbad, CA. We are also realigning our workforce at TaylorMade to better meet the needs of our business and ultimately, our consumers. This includes investing in new areas to strengthen our brands and strategically approach our future to reinforce our leadership in the industry.”
“We also have decided to take strategic measures to tackle our profitability challenges at TaylorMade-adidas Golf and in Russia/CIS.” – Herbert Hainer, adidas Group CEO
In April, TaylorMade’s longtime CEO, Mark King was appointed to the position of President of adidas Group North America. Ben Sharpe moved over from his position of Executive Vice President of adidas Golf and Ashworth to takeover for King.
Coincidentally or not, Bob Maggiore, TaylorMade’s Cheif Marketing Officer, and the man widely credited with creating the aggressive marketing strategy that helped TaylorMade ascend to the top of the golf industry, also left the company.
Here is the message sent out to shareholders: