The executive board of the Adidas Group has decided to have more rotation among its managers between the head office and the markets, among the markets themselves and among its different brands upon the recommendation of Roland Auschel and Eric Liedtke, the board members responsible for global sales and global brands. In this spirit, the company has announced a few more management changes after the recent appointment of Mark King as president of the Adidas Group in North America (see the previous issue).
| Adidas Consolidated Income Statement | |||
| (Million Euros, Quarter ended March 31) | |||
| 2014 | 2013 | % | |
| Net Sales | 3,533 | 3,751 | -5.8 |
| Cost of Sales | 1,797 | 1,870 | -3.9 |
| Royalty/Comm. Income | 24 | 25 | 1.2 |
| Other Operating Income & Expenses | 1,457 | 1,464 | 1.1 |
| EBIT | 303 | 442 | 1.1 |
| Pre-Tax | 290 | 427 | 9.6 |
| Tax | 84 | 118 | 18.1 |
| Net Income | 206 | 309 | 6.7 |
| Diluted Euro/Share | 0.96 | 1.47 | -34.7 |
Sven Moser, a Swiss executive who is currently acting as senior vice president of global wholesale, will relocate to Stockholm to become general manager of Adidas Group Nordics from next Aug. 1. Reporting into Gavin Thomson, managing director of Adidas Group North Europe, he will succeed Brian Grevy, who has accepted a new role at Adidas' headquarters in Herzogenaurach as general manager of global training.
There will also be a new managing director for Adidas Group Southern Europe, Andreas Gellner. The German executive, who is now running Adidas Group Southeast Europe, will move to Italy on July 1 and replace Jean-Michel Granier, the Frenchman who has been running the business lately. He will report to Gil Steyaert, managing director of Adidas Group Western Europe.
The Southeast Europe area will be run by Lawrence Norman, an American who is currently vice president of Adidas in charge of global basketball. He will report to Gellner.
As for Granier, he will move to Seoul to act as managing director of Adidas Group South Korea from July 1, reporting directly to Auschel. That position is currently held by a New Zealander, Zion Armstrong. He has accepted a new role as Adidas brand director in the North American office, reporting to King as of Aug. 1.
| Adidas Group Net Sales | ||||
| (Million Euros, Quarter ended March 31) | ||||
| 2014 | 2013 | Change | Change | |
| Wholesale | 2,357 | 2,481 | -5.0 | 1.0 |
| Retail | 794 | 722 | 10.0 | 22.0 |
| Other Businesses | 382 | 548 | -30.3 | -2.7 |
| Western Europe | 1,098 | 1,096 | 0.2 | 0.0 |
| European Emerging Markets | 477 | 433 | 0.9 | 28.0 |
| North America | 680 | 890 | -23.6 | -20.0 |
| Greater China | 419 | 409 | 6.3 | 5.0 |
| Other Asian Markets | 482 | 533 | 10.2 | 0.0 |
| Latin America | 377 | 390 | 4.5 | 19.0 |
| Adidas | 2,826 | 2,858 | -1.1 | 3.0 |
| Reebok | 358 | 378 | -5.3 | 5.0 |
| TaylorMade-adidas Golf | 264 | 423 | -37.6 | |
| Rockport | 53 | 61 | -13.1 | |
| Reebok-CCM Hockey | 32 | 31 | 3.2 | |
| Footwear | 1,694 | 1,874 | -9.6 | -3.0 |
| Apparel | 1434 | 1382 | 3.8 | 11 |
| Hardware | 405 | 495 | -18.2 | -13 |
| Total | 3,533 | 3,751 | -5.8 | |
King, who has done wonders at TaylorMade-Adidas Golf, will have the delicate task of turning around the group's operations in its biggest single market. Auschel has agreed to take over responsibility for North America at group level from Herbert Hainer, chief executive of the group, following the implementation of a joint business model for the Adidas and Reebok brands in the region.
