Callaway Golf Company

{{Infobox Company | company_name = Callaway Golf Company | company_logo = | company_type = Public () | genre = Golf | foundation = 1982 | founder = Ely Reeves Callaway, Jr. | location_city = Carlsbad, California | location_country = USA | location = | origins = | key_people = George Fellows (CEO) | area_served = Worldwide | industry = | products = Golf equipment | services = | revenue = US$951 Million (FY 2009) | operating_income = US$-31.5 Million (FY 2009) | equity = US$707 Million (FY 2009) as well as the Top-Flite, Strata and Ben Hogan golf brands picked up following the bankruptcy of Spalding's former golf division in 2003.

History

Callaway Golf Company was founded by former Burlington Industries textile president, Ely R. Callaway, Jr. Callaway was raised in Lagrange, GA and was a graduate from Emory University. Callaway became very successful in the textile industry and was very fond of playing golf. At games, Callaway would use clubs by Hickory Sticks. The clubs were constructed of hickory-shafts with a steel core. At that time, Hickory Sticks was owned by Richard Parente and Dick De La Cruz. As Hickory Sticks started running low on funds, they sought investors to help the company and approached Callaway. At the time, he had just sold his vineyards for a $9 million profit. Then in 1982, he bought half of Hickory Sticks, the company was renamed to Callaway Hickory Stick USA. In 1984, Callaway bought the rest of the company for $400,000. In 1983, he became president and moved the company to Carlsbad, California where he sold clubs out of his Cadillac. The company eventually changed to its present name in 1988.

In 1985, the company hired Bruce Parker, as head of sales, who later became the company's Chief Merchant and through his tenure with Callaway Golf as head of sales was responsible for sales in excess of $3.0 billion. As a key member of management, Parker was involved in all major decisions during the company's growth.

In 1986, Callaway hired a billiard cue designer, Richard C. Helmstetter, as a consultant. Helmstetter later became chief club designer that same year and introduced computer-controlled manufacturing machines. With his help and the help of Glenn Schmidt, the company's master tool maker, the company developed the original Big Bertha driver using large-volume (190cc) steel clubhead. The Big Bertha driver grew to 290 cc in 1997.

In 1996, the company hired Roger Cleveland as chief club designer and in 2002, launched the Callaway Golf Forged Wedges. These wedges were constructed from carbon steel and a face with modified U grooves.

In that same year, Callaway announced the development of a new golf ball, under the leadership of Chuck Yash, the former head of Taylormade Golf. Callaway Golf spent three years developing its new golf ball and a state-of-the-art production facility. The company’s entry into the market represented a $170 million investment in the research and development of the ball, construction of the production facility, and development and purchase of special manufacturing equipment. Callaway’s manufacturing facility and its equipment were designed specifically for the unique production requirements for the new ball.

Callaway Golf Ball Company engineers, recruited from Du Pont and Boeing, used aerodynamic computer programs (first used by Boeing and General Electric) to evaluate more than 300 dimple patterns and more than 1,000 variations of ball cores, boundary layers, and cover materials to create the new Rule 35 ball. Callaway engineers designed only two models of the Rule 35 ball—choosing to develop a "complete-performance" ball rather than separate balls developed for spin, control, distance, and durability. Ely Callaway explained the company’s product development objectives as follows: "We have combined all of the performance benefits into one ball so players no longer need to sacrifice control for distance, or feel, or durability. Each Rule 35 ball contains a unique synergy of distance, control, spin, feel and durability characteristics. This eliminates confusion and guesswork in trying to identify the golf ball that is right for each individual golfer."

In 1997, Odyssey Sports was acquired expanding Callaway's line of putters.

In 2003, Ron Drapeau, announced the intended purchase of Top-Flite Golf, as well as its Ben Hogan Golf division, soon after it filed for Chapter 11. Following competition from Adidas the acquisition would eventually cost Callaway Golf $169 million.

Financial

In February 1992, Callaway Golf went public on the New York Stock Exchange with a market capitalization of $250 million. By late 1997, it reached a market capitalization of over $3.0 billion.

Endorsements

Callaway has endorsement deals with many professional golfers who play on the world's leading tours. They also have commercial relationships with some of the legends of the sport including Arnold Palmer and Annika Sörenstam, and celebrities such as Justin Timberlake.

PGA Tour Stuart Appleby Cameron Beckman Rich Beem Notah Begay Mark Brooks Alex Čejka Ernie Els J. J. Henry Fredrik Jacobson Lee Janzen Greg Kraft Derek Lamely Shaun Micheel Phil Mickelson James Nitties Paul Stankowski Brian Stuard Nicholas Thompson

European Tour Thomas Bjørn Michael Campbell Nick Dougherty Niclas Fasth Alastair Forsyth Anton Haig Thongchai Jaidee Danny Lee Michaël Lorenzo-Vera Ross McGowan Christian Nilsson Alexander Norén Álvaro Quirós Marcel Siem Jeev Milkha Singh Oliver Wilson

LPGA Tour Sandra Gal Vicky Hurst Leta Lindley Morgan Pressel Momoko Ueda

Champions Tour Olin Browne Mark McNulty Gary Player Eduardo Romero Hal Sutton

Source

Current products

Drivers

i-MIX

FT-iZ

FT-Tour

FT-9

Diablo Edge

Diablo Octane

RAZR Hawk

Fairway Woods

FT

FT-iZ

Diablo Edge

Diablo Octane

RAZR Hawk

Hybrids

FT

FT-iZ

Diablo Edge

Irons

X-Forged (2009)

X-22 & X-22 Tour

X-24 Hot

X Prototype

Diablo Forged

Diablo Edge

Wedges

X Series Jaws

X Series Jaws CC

X-Forged

Balls

Tour i(s)

Tour i(z)

HX Bite

HX Hot Plus

Big Bertha Diablo

Solaire

Warbird Plus

Source

References

External links

Official Callaway Golf website

Official Odyssey Golf website

Official Top Flite Golf website

Official Ben Hogan Golf website

Category:Companies based in San Diego County, California Category:Sporting goods manufacturers of the United States Category:Golf equipment manufacturers Category:Golf in the United States Category:Clothing brands Category:Companies listed on the New York Stock Exchange