Embattled apparel brand Under Armor said today it will lay off 3% of its global workforce, about 400 people, in a restructuring bid aimed at streamlining its operations. The Baltimore-based company also updated its 2018 outlook, saying it now expects losses of $60 million, compared to the previously estimated range of $50 million to $60 million.
“In our relentless pursuit of running a more operationally excellent company, we continue to make difficult decisions to ensure we are best positioned to succeed,” Under Armour CFO David Bergman said in a statement laden with vague corporate speak. “This redesign will help simplify the organization for smarter, faster execution, capture additional cost efficiencies, and shift resources to drive greater operating leverage as we move into 2019 and beyond.”
Under Armor has struggled over the last year or so in the face of stiffer competition from Nike and a general decline among sporting-goods retailers like Foot Locker and Dick’s. In its announcement today, the company did not say who or which departments would be affected by the cuts.
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