BBC NEWSAmericasAfricaEuropeMiddle EastSouth AsiaAsia PacificArabicSpanishRussianChineseWelsh
BBCiCATEGORIES  TV  RADIO  COMMUNICATE  WHERE I LIVE  INDEX   SEARCH 

BBC NEWS
 You are in:  Business
News image
Front Page 
World 
UK 
UK Politics 
Business 
Market Data 
Economy 
Companies 
E-Commerce 
Your Money 
Business Basics 
Sci/Tech 
Health 
Education 
Entertainment 
Talking Point 
In Depth 
AudioVideo 
News image


Commonwealth Games 2002

BBC Sport

BBC Weather

SERVICES 
Thursday, 14 March, 2002, 13:39 GMT
Job cuts as gym chain shapes up
Health club company Esporta is cutting 100 jobs after it dipped into the red last year.

Esporta, which has 37 fitness centres in the UK, said it also plans to vary joining fees, sell adverts in its gyms and outsource the running of its refreshment bars.

It hopes the review will help it to save up to �4.2m annually.

The 100 job cuts, most of which have taken place this month, will be spread across the Wokingham-based group's operations, leaving a staff of 2,500.

Chief executive Maurice Kelly, who began the review on taking over in January, said the group had to "put right what has gone wrong."

"I want a business that is more focused on sales and one that is better at converting sales into profit," he said.

"Half the people we show around our clubs choose to become a member and the business has been weak at going out and inviting people to come and take a tour."

Managers have now been given responsibility for recruiting members at their gyms and will be able to alter joining fees accordingly.

A fall in new joiner numbers in the second half of 2001, and losses at each of the nine new clubs opened in the UK hit Esporta's profits last year.

Before one-off costs, operating profits fell to �8.5m from �13.5m in 2000.

See also:

Internet links:


The BBC is not responsible for the content of external internet sites

Links to more Business stories are at the foot of the page.


E-mail this story to a friend

Links to more Business stories



News imageNews image