They're 'not core to our business.'
FARMINGTON, UT — Vista Outdoor Inc. plans to sell off the Bollé, Serengeti and Cébé brands, which are part of its Sports Protection business, amid flagging financial performance.
The sale of the brands "is expected to take place over the next few quarters," said Chris Metz, CEO of Vista (NYSE: VSTO).
He noted that the brands focus on fashion, prescription and safety eyewear, "which are areas that we have determined are not core to our business."
"While I've only been here a short time, I realize we have much to do: we must make significant changes, act decisively, and move quickly to reposition and stabilize the company," Metz said. "We will take an aggressive position on profit improvement through both margin expansion and cost reductions across all areas of the core business.
"We're in the process of completing a portfolio review of our brands, and we will divest assets where we see the potential to unlock shareholder value."
The company's second-quarter sales totaled $587 million, down 14 percent from the prior-year quarter. Vista reported a loss of $115 million for the quarter.