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ESCALADE INC. Evansville, Indiana Move Into Fitness Gear Has This Firm Pumped.(THE NEW AMERICA)
Byline: MARILYN MUCH
After years of spending freely on fitness equipment, Americans are taking a breather.
Shipments of exercise products for the home and institutional markets slipped 3.6% to $3.5 billion last year -- the first decline in more than a decade, according to the Sporting Goods Manufacturers Association.
Like a lot of U.S. businesses, manufacturers got hurt by the recession and a slowdown in purchases of high-ticket, $500-plus items after Sept. 11.
The good news is, business should rebound as the economy improves. And the home exercise market could get an extra lift from the cocooning effect as consumers forgo vacations and other major expenditures.
The SGMA predicts 2002 wholesale shipments will rise to $3.7 billion, or roughly the level of 2000. Favorable demographics should help drive long-term gains. Americans 55 and older are growing in ranks and are moving into exercise in big numbers. Between 1987 and 2000, health club members 55 and over surged 393% to 7.4 million.
Sporting goods maker Escalade Inc. hopes to cash in. In the past six months, the company has branched out into fitness equipment with two acquisitions.
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