Irregularities at Indian arm stop Adidas' profit run

Irregularities at Indian arm stop Adidas' profit run Adidas said it has corrected its consolidated financial statements as on December 31, 2012, in which the comparative figures for the year 2011 are restated and the opening balance sheet for 2011 is reported to the extent that earlier periods are affected. Adidas made a fourth quarter operating loss of million, compared with analyst expectations for profit of million. results of these restatements led to a reduction of net income attributable to shareholders of million for 2011. In addition, shareholders equity of the opening balance sheet for 2011 is negatively impacted by million, the company said in a statement. Adidas has posted six per cent increase in overall sales to billion, while its net cash position stood at million. Last year, Reebok India had filed an FIR alleging Rs 870 crore fraud by its former MD Subhinder Singh Prem and COO Vishnu Bhagat, which both of them denied. Following this, the company undertook a restructuring programme where in it moved from a minimum guarantee to a cash and carry model. It shut over 400 stores and gave voluntary retirement schemes to 200 employees. Tushar Goculdas, Brand Director, Adidas India, says that this is a year of innovation for the brand. To start with the company is focussing on various sports each month to achieve high double digit growth. With March being dedicated to running, the brand has introduced Energy Boost running shoes. Priced at Rs 10,000, the shoes are being targeted at http://www.4jatransportltd.co.uk next Gen runners and youth. Goculdas claims that it has received good response. He said during the http://www.foreverwithjen.co.uk coming months, the company will be targeting sports like cricket with exclusive IPL jerseys on offer and football with nitro charge series of shoes.