adidas-Salomon completes divestiture of Salomon to Amer Sports Corporation
Herzogenaurach, October 20, 2005 – adidas-Salomon AG announced today that it has formally completed the divestiture of its Salomon business segment to the Amer Sports Corporation. As previously announced, the transaction value for the Salomon business segment is approximately € 485 million based on year-end 2004 figures. The final price will be adjusted in accordance with net assets as at September 30, 2005. Following the completion of the divestiture of the Salomon business segment on October 19, 2005, the Salomon segment will be deconsolidated at the beginning of the fourth quarter 2005.
The Salomon business segment includes the related subsidiaries and brands Salomon, Mavic, Bonfire, Arc’Teryx and Cliché. In conjunction with the transaction, adidas-Salomon and Amer have entered into collaboration agreements in order to ensure a smooth transition post closing.
“With the Salomon divestiture now complete, our organization is now devoting its energies to the adidas and TaylorMade brands and the next major steps lying ahead of us,” said adidas-Salomon CEO Herbert Hainer. “The Salomon family of brands continues to offer considerable promise and we wish them all the best for their future.”
adidas-Salomon is one of the global leaders within the sporting goods industry and offers a broad range of products with brands such as adidas and TaylorMade in its portfolio. Excluding the Salomon business segment, the adidas Group had 14,217 employees and reached sales of € 5.9 billion in 2004. The Group’s net income attributable to shareholders from continuing and discontinued operations reached € 314 million in 2004. adidas-Salomon AG will remain the company’s name for the time being. The change of the name to adidas AG is subject to shareholder approval and will be proposed to the Annual General Meeting in May 2006.