Phoenix-based Action Performance Cos., which sells auto
racing collectibles and other motorsports souvenirs, "cut"
57 jobs and "renegotiated some loans as it struggles to
rebound from losses in its" Internet site, goracing.com,
according to Peter Corbett of the ARIZONA REPUBLIC, who
reports that the company also "restructured its die-cast
manufacturing and apparel operations." Corbett: "Some
advertising and sponsorship contracts have been renegotiated
as well." Corbett notes that 42 employees in various
departments were "laid off" last week in Phoenix and 15 were
"let go" in its Charlotte office. Action CFO David Martin
said that the cutbacks "will save the company" about $4.5M
in FY 2001. Action COO David Husband said that the
"restructuring and steps taken last quarter to eliminate"
goracing.com losses "will help return the company to
profitability." Corbett adds that Action "has not reported"
a profit since September '99 and its stock "hit a 52-week
low" of $3.19 on August 9. Action closed at $4.63
yesterday, down $0.19 (ARIZONA REPUBLIC, 8/16).
