In early 2007 we began to adjust our winter sports business to match the decrease in volumes by cutting costs and enhancing cooperation between Atomic and Salomon.
To ensure that our plans are carried out efficiently, we set up a new business unit called Winter & Outdoor, which encompasses Salomon, Atomic, Mavic, Arc'teryx, and Bonfire. We will also take further measures to adjust our cost structure.
With the exception of winter sports equipment, our business units are progressing as planned. Particularly good progress has been witnessed in Salomon's Apparel and Footwear and in Precor's operations. Wilson's Racquet Sports, Suunto, and Mavic reported continued positive development."