Leading US-based golf and casual apparel manufacturer, Hartmarx Corp, on Friday reported a fall in fourth quarter sales and revenues and said it would slash the salaries of its highest paid managers in order to cut costs.

The firm said in a news release that it lost $2.2 million - seven cents per share - in the quarter, compared with a profit of $3.2m - 11 cents per share - in the year-ago period. Revenues plunged to $154.7m in the period from $169.7m in 2000.

It added that all workers earning more than $50,000 a year will have to take pay cuts of between three and seven per cent. The move follows the recent closures of several plants and administrative units and offices.

Hartmarx chief executive, Elbert Hand, admitted 2001 had been a difficult year for the company but said he expected the business to return to profitability this year.