NY Post On Adidas Taylor Made Sale: "May Have To Give It Away"

Josh Kosman on the distressing news that TaylorMade-Adams-Ashworth is losing between $75 million and $100 million a year, and no post-Tiger signing momentum has expedited sales talks.

Now Adidas, the parent company of Taylor Made, may have to give the brand away.

Losses at TaylorMade are much greater than many potential bidders anticipated, causing suitors to walk away, sources said.

The golf division that Adidas announced was for sale last May — which includes golf club maker TaylorMade, and the much smaller Adams and Ashworth brands — is losing between $75 million and $100 million a year, according to sources close to recent deal talks.

That is quite a fall from 2013 when TaylorMade was posting $1.7 billion in sales and a healthy profit, sources said. Today, sales are a little better than $500 million.

Adidas last year was asking for more than $500 million for the business, but now may have to give it away, a source who considered making a bid said.

The story goes on to say Callaway's new Epic driver taking the top spot from Taylor Made hasn't helped, but neither did the parent company CEO talking down the golf business. Or releasing three drivers in one year.