Kevin Plank, founder and CEO of Beneath Armour sportswear, in his workplace in Baltimore, Maryland on October 1, 2009.Invoice O'Leary | The Washing
Kevin Plank, founder and CEO of Beneath Armour sportswear, in his workplace in Baltimore, Maryland on October 1, 2009.
Invoice O’Leary | The Washington Put up | Getty Photos
Under Armour is the topic of federal investigations by the Justice Division and Securities and Alternate Fee over its accounting practices, the corporate confirmed Sunday.
Beneath Armour started responding in July 2017 to requests for paperwork and data associated to its accounting practices and associated disclosures. Beneath Armour is cooperating with each investigations and believes its accounting practices and disclosures had been applicable, an organization spokesperson mentioned.
The Justice Division is conducting a felony investigation and is coordinating with civil investigators on the SEC, in keeping with The Wall Road Journal, which first reported the story. The SEC declined to remark. The Justice Division didn’t instantly reply to requests for remark.
Beneath Armour has struggled on its dwelling turf as of late within the face of stiff competitors from Nike, Adidas and Lululemon. Its gross sales in North America dropped 2% in 2018 to $3.7 billion. Analysts say the retailers’ “efficiency” targeted gear, like sweat-proof shirts, doesn’t resonate with as many patrons.
Beneath Armour has additionally confronted turmoil in its govt ranks. The corporate went by way of three CFOs within the interval…