The losses are expected to continue. Over the past year the company has had three different anchors. The latest helmsman, Roland Smith , looks like a keeper. His professional life heading up consumer brands like Arby's and KFC, where marketing matters, should provide a welcome approach to increasing bowlership. Last year it blamed the shortfall on the Asian currency crisis.
Competition becomes the new scapegoat but, in reality, the company needs a shot of introspection.
Smith has the qualifications to turn the company around, but the road ahead is not as smooth as a freshly waxed lane. Over the summer the company issued more stock directly to shareholders through a rights offering and began to buy back some zero coupon bonds. However, raising interest in a sport that has remained stagnant while its more ESPN-friendly peers have evolved is equally critical. In baseball, three strikes make an out. In bowling, three strikes in a row make a turkey.