MONTRÉAL (BRAIN) — Dorel Industries announced Thursday it is trimming the payroll at its Dorel Sports division — which includes its mass market and IBD bicycle businesses. The company said it would reduce its global workforce in the division by about 4 percent.
Dorel also said it would “exit” its three Cannondale Sports retail outlets. Two of the stores are in the Boston area and one is on Long Island.
Dorel Sports’ second quarter revenue decreased by 5.8 percent to $236.5 million, compared to $251.1 million last year. After removing the impact of foreign exchange rates, organic revenue declined by approximately 4.8 percent.
Dorel Sports’ IBD division, Cycling Sports Group, saw global revenue decline in the quarter and in the first half. The company said the North American market was “soft and competitive,” with continued high inventory at the wholesale and retail levels. However, the company said Cannondale market share increased in the first half.
The company said it has begun restructuring activities including the layoffs and store closings. The restructuring also includes switching GT’s China market distribution to a third-party distributor and relocating Pacific Cycle’s mass market and distribution operations from Illinois to Savannah, Georgia.
The company said the moves would save it …read more