Callaway Golf filed a lawsuit against the Royal
Canadian Golf Association (RCGA) earlier this week in
response to the organization's ban on Callaway's new ERC
driver, according to Mike Freeman of the SAN DIEGO UNION-
TRIBUNE. The RCGA banned the club in April after a test
conducted by the USGA found that the club "had too much
bounce off the club face." The lawsuit "is the first real
counterpunch thrown in what has been a verbal war between
golf's rule makers and equipment companies over the so-
called trampoline effect in drivers, which supposedly adds
distance off the tees." Although the club is banned by the
PGA Tour as well, 19 European Tour players used it in the
French Open last week (SAN DIEGO UNION-TRIBUNE, 5/9).
Callaway does not have plans to sell the driver in the U.S.,
but it does have plans to market it in Canada (Toronto GLOBE
& MAIL, 5/9). PGA Tour player Colin Montgomerie said that
he "expects to use" the ERC driver in several European Tour
events and "possibly" the British Open in July (AP, 5/10).
NICE SHOT! BRIDGE NEWS' Jennifer Allen reported that
shares of Callaway Golf "soared" to over $20 per share
Tuesday for the first time in almost two years due to
"strong club demand." Allen noted that "increased first-
quarter sales are carrying through the second quarter,
prompting expectations for industry-wide club demand to grow
in the low-single digits." The company "also appears to
have started purchasing shares under a buyback program
announced last week" (BRIDGE NEWS, 5/9). Callaway shares
closed yesterday at 20 7/16, up 3% (THE DAILY).
