Global Edition

TaylorMade-adidas Golf acquires Maxfli

12.08am 6th January 2003 - Corporate

TaylorMade-adidas Golf, a division of the adidas-Salomon Group, has exercised its option to acquire the Maxfli brand of golf balls and accessories. With this acquisition, TaylorMade strengthens its position as a fully-integrated golf company, offering products with leading positions in all major golf categories. The agreement took effect on 31st December 2002. adidas-Salomon and Dunlop Slazenger Group Limited have agreed to keep the financial terms confidential.

Since the start of the licensing and distribution agreement at the beginning of 2002, TaylorMade’s UK market share in golf balls has grown to 7% according to Sports Marketing Surveys Ltd. Prior to the inclusion of Maxfli, TaylorMade’s market share of the golf ball segment was less than 1%.

“By acquiring Maxfli, we have fortified our already powerful product line with a prestigious brand of golf balls that carries a deep history of technological development, as well as a decades-old tradition of winning at the professional level,” said TaylorMade president and CEO Mark King. “Maxfli’s reputation for premium-quality, premium-priced golf balls makes the brand a natural complement to both TaylorMade brand golf clubs and adidas Golf apparel and footwear.”

During 2002 TaylorMade solidified the partnership and has already realized significant synergies. “By combining TaylorMade’s resources with Maxfli’s, we’ve been able to lower production costs,” said King. “In addition, we’ve strengthened our research and development department and our sales force by merging Maxfli’s with TaylorMade’s. And we’ve added quality Maxfli personnel to our executive staff and marketing department.”

John Guest, managing director for TaylorMade adidas Golf Europe added, “The Maxfli brand in Europe has a stronger heritage than in any other part of the world. Here at TMaG Europe, we look forward to extending the awareness of the brand across Europe, as well as strengthening its position in the UK.”

Maxfli www.maxfli.com

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