Callaway Golf is to shut its Gloversville plant as of July 31st, making 120 people redundant in the process. The 70,000 square foot branch had been used to produce golf balls though Callaway has now decided to move production to China due to the lower manufacturing and shipping costs. Whilst most of the production work performed in Gloversville will be transferred to China, the companys main production facility in Chicopee, Massachusetts, will also take on some of the work.
Callaway enjoyed a successful 2007 with net sales of $1.13 billion, representing a 10 per cent increase on the previous year. Furthermore, the companys net income of $54.6 million more than doubled on the previous year. Michelle Szynal, a company spokesperson, revealed that the company had been trying to switch its production efforts to China for over a year now attempts fuelled by the fact that more than half of the companys profits come from overseas markets.
