SYDNEY (AP) – Surfwear retailer Billabong International Ltd. says it will shed 400 jobs worldwide and close dozens of loss-making stores as it tries to restore its flagging fortunes in a tough retail market.
The cost-cutting drive and a decision to sell half of its Nixon Inc. watches and accessories brand was announced as the company Friday reported a 71 per cent dive in six-month earnings to 16 million Australian dollars ($17.3 million).
Billabong has 677 stores worldwide and says it could close between 100 and 150 stores that are losing money or performing weakly. It hopes to reduce its annual costs by AU$30 million.
The company earlier this week received a takeover offer from private equity company TPG Capital, but said it was uncertain the deal would go ahead.
(Copyright 2012 by The Associated Press. All Rights Reserved.)
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