Callaway reaches agreement with Perry Ellis

Callaway Golf has announced that Perry Ellis International is to design, manufacture and distribute Callaway golf and sports apparel in the United States, Canada, Latin America and the Caribbean.

Terms of the agreement have not been disclosed, but the move ends months of speculation over the future of Callaway Apparel, which was formerly licensed out to Ashworth until the California-based company was taken over by TaylorMade adidas late last year.

As for the European market, SGB Golf understands the decision of who will take on the European license is yet to be made. Callaway has taken its apparel stock and business in-house for the time being.

In the US, Callaway will continue to manage shipping and servicing of its apparel for the remainder of this year, with Perry Ellis taking over with the Spring Summer 2010 line. The timing for Perry Ellis could not be better, because while the company holds licenses for the PGA Tour, Original Premium and Grand Slam brands, its long-term partnership with Karsten Manufacturing to run Ping Collection expires at the end of 2009 and is not being renewed.

It is understood that Perry Ellis will work on establishing Callaway as a lifestyle brand as well as a specific golf label.

Despite the backdrop of a recession, Perry Ellis president and COO, Oscar Feldenkreis, claims that the company’s “golf business grew by almost 20 percent for fiscal 2008”.