Crocs sells Canadian business unit |
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| Monday, 06 October 2008 | |
 Crocs Inc. has sold some assets of its Foam Creations business unit, located in Quebec City to a Canadian corporation led by Andrew Reddyhoff, former Foam Creations founder. Foam Creations will continue to operate out of its existing facility in Quebec City, and will keep 26 local employees.
The Foam Creations business unit was responsible for the manufacture and sale of industrial goods under the Crocs corporate umbrella. Production of Crocs shoes at the 30,000-square-feet factory was halted in April when Crocs Inc. said it no longer would make shoes there in order to reduce operational expenses.
Ron Snyder, president and chief executive officer of Crocs, Inc. commented "This is really a win-win situation as this divestiture allows us to add strategic focus to our core business - Crocs brand footwear. We will maintain a Canadian sales and marketing office as well as our retail store in Quebec City; while expanding our presence throughout the country including the opening of additional Crocs branded stores in Montreal and Toronto." "I'm very pleased that we were able to acquire this business from Crocs," stated Andy Reddyhoff, the former Foam Creations founder. "It was important for us to retain the business' key employees and customers and we are thrilled we have succeeded." image: crocs |
The new business will also not operate in the footwear industry but will continue to produce a range of industrial products such as spa pillows and kayak seats from the foam material.