reebok is gone, read this Options

[Hell-Rell]

addidas but out reebok for 3.8billion dollars

Frankfurt — Adidas-Salomon AG said Wednesday that it will buy shoemaker Reebok International Ltd. in a $3.8-billion (U.S.) deal, giving the company about 20 per cent of the U.S. market and putting it in a position to better challenge leader Nike Inc.

Under the terms of the deal, Adidas will pay $59 a share for all of Reebok's outstanding shares, a premium of 34 per cent.

The deal is subject to regulatory approval in the United States and Europe as well as by shareholders. Both companies said the transaction could close during the first half of 2006.

“Today's announcement represents a major strategic milestone for our group,” said Adidas-Salomon chairman and chief executive officer Herbert Hainer. “This is a once-in-a-lifetime opportunity to combine two of the most respected and well-known companies in the worldwide sporting goods industry.”

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Reebok will continue to operate under its own name and its headquarters will remain in Canton, Mass., the companies said. Adidas said it did not expect any significant reductions in the work forces of the companies in the aftermath of the acquisition.

Mr. Hainer said the combined company would mean an expanded reach globally, with a sharp push into North America.

“With Reebok, we are advancing our position on the playing field of the sporting goods industry and are improving our financial strength to drive increased shareholder value,” he said. “We have long respected Paul Fireman and his team for what they have accomplished at Reebok, and we expect them to be an important part of our group as we bring these two world class organizations together.”

Reebok chairman and CEO Paul Fireman said the deal would bring a synergy to the market for sportswear and apparel and put the company on track to take on Nike directly, among others.

“As an aspirational global sports performance and lifestyle brand, Reebok's mission is to enroll global youth through sports, music and technology. This complements Adidas' mission to be the leading sports brand in the world with a focus on performance and international presence,” he said.

The deal brings together two impressive stables of athletes and entertainment endorsers. English soccer star David Beckham and rap artist Missy Elliott are under contract to Adidas.

Reebok in February launched the “I am what I am” marketing campaign, which features pitches from celebrity entertainers and athletes in an effort to draw younger buyers who regard sneakers as high fashion. One of the ads featuring the rapper 50 Cent was pulled in March amid complaints that it glorified gun violence.

Reebok said its second-quarter profit soared 71 per cent on strong sales driven by its high-performance model shoes and the new marketing campaign. The announcement came as Herzogenaurach-based Adidas posted a 30-per-cent gain in second-quarter profit and improved sales.

[xx_Fashionista_x...]

Man, I use to love reebok

[*mzkandi*]

Well thats alot of money, I dont own any reeboks so not really much of a loss to me

[Trolling]

Reebok was like a poor mans nike... Couldnt stand rbk and they looked cheap too

[jnukes]

I thought it was 4.4 billion dollars .

[maia_dc]

I never liked reebok anyway.

[Paradox of Life]

Yeah. Reebok wasn't so great.

[*danielle_x3*]

bye bye reebok. :| even though i never had any of their sneakers, i'll miss seeing your commercials.

[*Statistik*]

I have a reebok sneaker oh well..good bye

[lbjshaq2345]

omfg all i have is like reebok and nike are they still gonna make shoes our are they out of it period no more g-units? iversons? s. carters? wat about all their NBA apparel? WTF IS WRONG WITH REEBOK

[toodlepops.]

noooooooooo!
I loved Reebok. Better than Adidas, I must say

[miss barnes]

uumm...reebok isnt gone..just adidas owns them

[Shana_Kru]

Reeboks the shit!!! I HearT ReeBok

[mai_z]

miss barnes is right, chances are, the consumer won't even notice the change. It'll probably only affect stockholders.

[turbulent]

i probably wouldnt of noticed the change

i own a pair of reebok classic shoes which i love so much. they are my favourite, cant believe they sold out to addidas

[ikayto]

That's okay i guess. Reebok and Adidas don't make very fashionable shoes, i only know they're good for competition.

Maybe now they can make some decent shoes.

[EXPLO5ION]

I never really wore any reebok shoes, so it doesn't really affect me.

[Eryi]

Adidas was waay better than Reebok, hooray no more reebok.

[LiLEthiopian]

I'm an Adidas fan...and I never really liked Reebok..so I guess this is a good thing.

[Teesa]

AW.

oh, well, I never had Reebok shoes anyway :)

[pinklove_stains]

reebok wasn't THAT bad, but addidas yeah looks much better with our outfits.

[Hell-Rell]

R.I.P
Reebok

[datass]

i never see reebok's adverts, i wouldnt have known it if my classmate werent wearing them...they were so great.