Golf Galaxy will close its headquaters in Eden Prairie, Minnesota, affecting several dozen jobs, according to a report in Minneapolis's Star Tribune. As reported, Randall Zanatta, president and CEO of Golf Galaxy, plans to step down, effective July 18, according to a filing with the Securities & Exchange Commission by Dick's Sporting Goods. Dick's completed its acquisition of Golf Galaxy in February 2007.
On Monday, Dick's confirmed the move to close the headquarters. It said Golf Galaxy employees will be given severance packages and incentives to remain at the headquarters until the office is closed at a yet-to-be-determined date.
“It's been our plan all along to integrate the back-office functions of Dick's and Golf Galaxy,” said Jeffrey Hennion, Dick's executive vice president and chief marketing officer. “But when you look at Golf Galaxy's financials, the integration plans go beyond the back office.”
Hennion told the newspaper that the Golf Galaxy chain is not meeting Dick's expectations in a competitive golf environment. He said Dick's has no immediate plans to close any Golf Galaxy stores but is evaluating the entire business.
“It's a great business. It's a terrific brand,” Hennion said. “We want to grow the [financial] results even stronger.”
