(Photo by Stephen Babcock)
Under Armour has announced a company-wide restructuring amidst its second consecutive quarterly loss.
In a quarterly report released by the athletic apparel company, founder Kevin Plank said the company will meaningfully increase their go-to-market speed and amplify its digital capabilities.
“We’ve identified a number of areas to enhance our operational capabilities, drive process improvement and gain greater efficiencies,” Plank said. “We remain steadfast in driving and building our brand while shifting our operational focus to become more return-on-investment and cost of capital centric — institutionalizing discipline to deliver more consistent, long-term shareholder value.”
The Baltimore Business Journal is reporting there will be a two-percent global workforce reduction, including layoffs in Baltimore.
One hundred forty of the 280 expected layoffs will take place in Baltimore, according to a spokeswoman for the company. Under Armour has 3,500 employees in Baltimore and 15,000 worldwide.
The company reports it will spend $15 million in employee severance and benefits costs. The overall restructuring is expected to cost between $110 and $130 million.
At the end of June, Plank stepped down from his role as president of the company but remained as CEO. Patrick Frisk took the reigns as president but directly reports to Plank.-30-
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