Adidas Group CEO Herbert Hainer announced this week that the equipment giant plans to lay off approximately 14 percent of the global work force at its TaylorMade golf division by the end of the year.
The announcement comes amid a quarterly report that shows TaylorMade sales rose 6 percent during the third quarter. But the decision was reportedly made to appease investors with annual revenue for the golf division still expected to decline.
"While this will negatively impact profitability by a low double-digit-million euro amount in the fourth quarter, the immediate results will be a more nimble organization, which will have a positive effect on the group's profitability from 2016 onward," Hainer said in a statement.