Sparks-based Fila USA, which was recently sold to Fila Korea for $400 million, will likely lose jobs as the company undergoes an internal reorganization to cut costs and reposition the brand.
“Initially, we will cut our fixed costs to support the business we are currently doing,” said Bruce Fendell, vice president of U.S. sales for Fila. “We will have some cutbacks of staff initially while we grow our business.”
Fila says part of the repositioning of the Fila brand will be to change what they deliver to consumers, expand distribution to companies such as Kohl?s, Foot Locker, Famous Shoes, J.C. Penney and the Finish Line as well as the upscale golf shops and tennis boutiques that presently carry the brand.
Fendell, who has worked both with Adidas and Reebok, will be part of the team put into place by Fila Korea owner Yoon-Soo Yoon who bought Fila USA from Sport Brands International.
Yoon has brought several executives from his Fila Korea operations to help restructure Fila USA.
Most of the mass-market appeal of competitors Nike and Adidas can be attributed to the high-profile, marquee players signed on with the companies. That is something Fendell says his company is not in the position to do right now.
“There is no way that where Fila is today can go out and sign the two top players in the NBA draft this spring,” said Fendell. “We will continue to market to our signature market ? golf, tennis and mountain climbing ? until we have sufficiently grown the business. If we are to be successfully ultimately we don?t want to overstep,” he added.
