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Golf Equipment Counterfeiters Convicted In Shanghai

July 2, 2009

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June 29, 2009; Shanghai, PRC: The U.S. Golf Manufacturers Anti-Counterfeiting Working Group (the “Group”) comprised of Acushnet Company, Callaway Golf, Cleveland/Srixon Golf, Nike Golf, PING and TaylorMade Golf Company reports that the Shanghai Changning District Court recently convicted two principal violators (Shi-Feng and Shi-Chun-Ping) for selling counterfeit golf products. These convictions were the culmination of an enforcement action conducted after complaints were filed by the Group with the Public Security Bureau (“PSB”).

The court determined that the defendants were guilty of an “attempted crime” based on the evidence that the inventory of counterfeit golf products was not ultimately sold only because their operation was raided. In addition, the court acknowledged that the defendants confessed, and expressed remorse for their actions. For these reasons, the court mitigated the punishment according to Chinese criminal law.

An official ceremony took place last week in Shanghai where the counterfeit products seized in the raids were destroyed by the PSB. The Chinese court had valued the counterfeit golf equipment seized by the PSB at more than $880,000. A bulldozer crushed the illegal goods into useless scrap.

The Group was formed in 2004 to petition governments to enforce their country’s laws against counterfeiters of golf equipment products. As a result of the Group’s petitioning efforts, dozens of successful raids of manufacturing, warehouse, assembly and retail facilities have been conducted by Chinese law enforcement and civil enforcement authorities over the past five years. Several business operators have been arrested and many have now been prosecuted in the Chinese courts.

The U.S. Golf Manufacturers Anti-Counterfeiting Working Group consists of the worlds’ leading golf equipment manufacturers. Its members and brands include Acushnet Company – Titleist, FootJoy and Cobra Golf; Callaway Golf – Odyssey, Top-Flite and Ben Hogan; Cleveland Golf/Srixon; Nike Golf; PING; and TaylorMade-adidas Golf and Ashworth.

For more information, please contact Rob Duncanson at (949) 589-5931.

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