With the deal by Nautilus to sell the certain StairMaster and Schwinn commercial assets now closed (click here to see a Jan. 6 story on SNEWS®), the new company is starting to lineup its team and other logistics.
Dustin Grosz, former vice president of operations for Nautilus, is the new president and CEO overseeing the Core Fitness company, which will do business as StairMaster and will sell both StairMaster and Schwinn commercial products according to the deal’s terms.
“He’s a long-term employee with Nautilus,” said Reed Brown, general counsel for the company that purchased the assets. “He knows the product lines. He knows the players. We’re very pleased to have Dustin.”
Although the purchaser was announced as Land America, a long-time China-based manufacturing partner to Nautilus, Brown said the official purchaser ended up being Xiamen World Gear Sports Goods (www.laxiamen.com), which is also an affiliate of Land America. Fit Dragon, a corporation registered in the British Virgin Islands with headquarters in Hong Kong, and Core Fitness LLC, a company that was registered in Nevada in November 2009, are also both affiliates. (Click here to see a Dec. 18, 2009, SNEWS story, “Fit Dragon unveiled as Land America taking over Nautilus commercial as Core Fitness.”)
Brown said about 10 additional employees (about seven of whom are still Nautilus employees) are scheduled in the next week or two to begin working for Grosz -- once the current Nautilus staff wrap up a transition with Nautilus and move over to Core Fitness.
Meanwhile, Grosz and the new company is sub-leasing space in the Vancouver, Wash.-based, Nautilus facility, while, Brown said, the company searches for another space.
“Ultimately, Core Fitness will have its own space in Vancouver,” he said. “We’re looking at several properties right now.”
He said that sales calls and customers will funnel through the current 800 number (1-800-NAUTILUS) and be forwarded either to Grosz or to other team members as they come aboard. “The customer would not know any difference if they didn’t know,” he said. “It makes it smoother for all of us.”