July 11 Golf equipment maker Callaway Golf Co
is set to reveal plans on Wednesday to cut up to 10
percent of its global workforce, Golfweek magazine reported,
Callaway will cut 150 to 170 jobs as part of the
cost-cutting plan instituted by new chief executive Chip Brewer,
The company has 2,100 employees, according to Thomson
"Callaway is down because of the (report on) job cuts. It
indicates that their turnaround efforts are not working," Diana
Katz of Lazard Capital Markets told Reuters.
The majority of the layoffs will be in North America, with
Joe Urzetta, senior vice president for the Americas, being the
highest ranked employee to lose his job as part of the trimming,
the magazine reported.
The company will also revise its outlook for its
second-quarter revenue, Golfweek said.
Recovery at the company, which has been cutting costs for
about a year, has not happened as fast as investors had
expected, Roth Capital Partners analyst Edward Timmons said.
Company representatives told Golfweek that a statement would
be made on Wednesday, but did not comment further, the magazine
Callaway did not immediately respond to Reuters' requests
The company's shares were down about 7 percent at $5.77 on
Wednesday afternoon on the New York Stock Exchange. They have
fallen 8 percent in the past year.