Nike Bails on Snowboarding

  • ESPN.com has reported that “Nike confirmed that it is getting out of the snowboarding and freeskiing industry, just as its 2014-15 line of boots and outerwear is arriving in stores.  “Nike SB will focus its innovation, design and marketing resources on its biggest brand driver and growth opportunity, skateboarding,”  Nike spokeswoman Jenna Golden told XGames.com. ‘The current Holiday ’14 Nike Snowboarding collection will be the final at retail.’  Rumors about the move had been circulating since the company’s fiscal year 2014 results statement in June — when Nike reported growth in every key area except its action sports division — and began escalating last week.  Nike had made substantial investments in its snowboarding program over the last decade, first through its Nike 6.0 brand and then with Nike Snowboarding and Nike Ski under its Nike SB action sports brand. Nike declined to provide specifics on sales figures or growth for those lines.”

     

Vail Adds Another Resort to Its Growing Portfolio

Vail Resorts, Inc. has agreed to acquire Park City Mountain Resort (“PCMR”) for $182.5 million, the closing of which should conclude the courtroom battle between the two operators before the upcoming eviction.

Vail purchased the mountain base, lower trails and lifts, and the snowmaking equipment.

Vail Resorts said, “With the acquisition, all aspects of the previously disclosed litigation with respect to PCMR have been settled, and this dispute will no longer pose any future threat to disrupt the operation of the resort.”

“First and foremost, we are very pleased to bring a permanent end to this dispute and provide assurance to the guests and employees of PCMR, and to everyone in the Park City community, that they no longer have to worry about any disruption to the operation of the Resort. This has been a difficult period for everyone involved, and I commend John Cumming and Powdr Corp. for helping to find a solution to this situation,” said Rob Katz, chairman and chief executive officer of Vail Resorts.

“Selling was the last thing we wanted to do, and while we believe the law around this issue should be changed, a protracted legal battle is not in line with our core value to be good stewards of the resort communities in which we operate,” said John Cumming, CEO of Powdr.