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Last Updated: Monday, 2 May, 2005, 15:19 GMT 16:19 UK
Adidas sells ski brand to Finns
Herbert Hainer, chairman of Adidas-Salomon
Adidas is giving the boot to winter sports brand Salomon
German sports kit maker Adidas-Salomon is to sell its Salomon winter sports equipment wing to Finnish rival Amer for about 485m euros (328.9m; $627m).

Salomon has been part of the group for the past eight years, but analysts have long been calling for its sale.

Salomon said its sales fell 9% in the first-quarter, with operating losses widening to 25m euros from 16m in 2004.

However, Adidas saw a 46% leap in its first-quarter net profit to 105m euros, helped by growth in Asia and the US.

'Perfect fit'

Adidas said it had decided now was time to focus "even more on our core strength in the athletic footwear and apparel market".

It is also looking at expanding its sales in the growing golf category.

"Salomon has been a great member of our group," Adidas chief executive Herbert Hainer said. The company later said its net income would rise by at least 20% in 2005 after the Salomon deal.

Meanwhile, Amer said Salomon's winter sports and Freedom Action Sports brands would be a good mix with its own Atomic winter sports business.

"Salomon fits perfectly with our own portfolio," said Amer, which also owns the Wilson sports brand.

The deal is expected to be completed by the end of September.




SEE ALSO:
Adidas earnings given Asian boost
03 Nov 04 |  Business


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