Under Armour announced the week of Sept. 6 that it will layoff 600 workers from its global workforce. The decision is a result of sales struggles that the coronavirus pandemic has caused, the Baltimore-based athletic wear maker said.

In a filing with the Securities Exchange Commission, Under Armour noted that it anticipates that it will have to shoulder $235 million in charges. That includes $135 million for contract termination and other restructuring costs.

Under Armour indicated that its total restructuring costs for 2020 will now be more than previously anticipated, rising to the range of $550 million to $600 million.

While COVID-19 has hurt Under Armour’s business, the company was already struggling prior to the pandemic. That’s part of what prompted the firm initially to announce a $475 million to $575 million restructuring plan for the year in April, though that plan didn’t take the coronavirus impact into account.

With its new restructuring plan, Under Armour expects to generate long-term cost savings as it continues to try to rebuild its brand, according to The Baltimore Sun.

News of the layoffs at Under Armour comes several weeks after the company was sued by the University of California, Los Angeles (UCLA) for more than $200 million in damages in a case alleging breach of contract tied to what was the largest branded apparel sponsorship deal in the history of college sports.