CHICAGO — As Bally Total Fitness Holding Corp. works on a July release of restatements of financials from 2001 through the first quarter 2004, the company has announced an inducement plan for new employees and changes in finance-related positions.

Bally's board of director's compensation committee will provide up to 600,000 shares of the company's common stock in order to attract professional executives, help build the business, and achieve strategic goals. Bally determined that its long-term incentive plan didn't have enough shares available to provide equity inducement for new employees. Chairman and CEO Paul Tobak said the new plan will help Bally to attract the right people at an important time.

In a move to meet its financial goals, Bally also appointed finance veteran Carl Landeck as chief financial officer (CFO) and Katherine Abbott as vice president and treasurer.

“I have every confidence that Carl will be an excellent addition to the executive team as he brings a wealth of management and financial turnaround experience and possesses the leadership skills necessary to help us chart our future on a sound financial basis,” said Toback

Landeck, a certified public accountant, most recently served as chief financial and administrative officer at Levitz Home Furnishings Inc. Before joining Levitz, Landeck was CFO of Cablevision Electronics Investments, a wholly owned subsidiary of Cablevision Systems Corp. He previously served as vice president of finance and chief accounting and financial officer at Herman's Sporting Goods Inc. His experience also includes implementing restructuring plans and development of financial technology.

Landeck replaces Bill Fanelli who has served as acting CFO since April 2004. Fanelli will transition to the new position of senior vice president of planning and development where he will oversee strategic business planning, information technology, real estate, construction and franchising.

Abbott will have direct responsibility for Bally's treasury operations and the company's investor relations. Prior to joining Bally, Abbott was a vice president of the Restructuring Group for J.P. Morgan Securities Inc.