Looks like the end of the line for Buell....
- Thread starter Schtum
- Start date
By Steve Gelsi
NEW YORK (MarketWatch) -- Harley-Davidson Inc. said Thursday its third-quarter net income dropped 84% to $26.48 million, or 11 cents a share, from $166.54 million, or 71 cents a share in the year-ago period. The Milwaukee-based motorcycle manufacturer was expected to earn 23 cents a share, according to a survey by FactSet Research. Harley's latest quarter included a one-time fixed-asset impairment charge of $14.2 million related to Buell and a goodwill impairment charge of $18.9 million related to MV Agusta. Looking ahead, the company will discontinue production of Buell motorcycles, resulting in the loss of 180 jobs over time. It'll book one-time charges of $215 million to $245 million in 2009 and 2010, about $55 million ahead of its July projections. The company expects to ship 35,000 to 40,000 motorcycles in the fourth quarter.
NEW YORK (MarketWatch) -- Harley-Davidson Inc. said Thursday its third-quarter net income dropped 84% to $26.48 million, or 11 cents a share, from $166.54 million, or 71 cents a share in the year-ago period. The Milwaukee-based motorcycle manufacturer was expected to earn 23 cents a share, according to a survey by FactSet Research. Harley's latest quarter included a one-time fixed-asset impairment charge of $14.2 million related to Buell and a goodwill impairment charge of $18.9 million related to MV Agusta. Looking ahead, the company will discontinue production of Buell motorcycles, resulting in the loss of 180 jobs over time. It'll book one-time charges of $215 million to $245 million in 2009 and 2010, about $55 million ahead of its July projections. The company expects to ship 35,000 to 40,000 motorcycles in the fourth quarter.
Deleted account 220427002
Registered user
- Joined
- Dec 27, 2003
- Messages
- 20,428
- Reaction score
- 3
Tarka must in 
once the carrier pigeon get the news to him
once the carrier pigeon get the news to him
So if you've got a wodge of cash sitting in the bank doing nothing and you're young enough and can wait 20 years for your investment to mature then buy a Buell, keep it pristine and there's your pension pot.
Poor old Erik, he sounded genuinely upset.
Poor old Erik, he sounded genuinely upset.
Deleted account 211025001
Registered user
- Joined
- Feb 3, 2005
- Messages
- 10
- Reaction score
- -1
Maybe they will go private again or be bought? I find it hard to believe that they will just cease to exist.
What's the connection between HD and MV Augusta (as in Schtum's note on share prices)?
Andres
What's the connection between HD and MV Augusta (as in Schtum's note on share prices)?
Andres
HD own MV. I believe there was previously news that MV is up for sale.
SamD
Registered user
Harley-Davidson reported this morning a 21 percent decrease in motorcycle sales in the third quarter of 2009. The company also said it plans to discontinue its Buell production line and divest MV Agusta, an Italian motorcycle maker Harley purchased recently.
The company also said in this morning's earnings report that talks have begun on a new contract with union workers the plants in York County. Harley said its "two path" study into whether to keep Harley in York County continues and that it still expects to make a decision by the end of the year.
Harley's sales fell by about 30 percent this spring. Shutdown weeks and job reductions have come this year as the Milwaukee-based company has sought to scale back production. Locally, four full weeks and two partial weeks of shutdown time were scheduled earlier this year. Three weeks have already happened.
York County hosts Harley's largest manufacturing facility, but the company said earlier this year it might move the operations elsewhere to make them more cost effective. The company maintains its preferred option is to stay, and union and company representatives reportedly told workers last week a restructuring plan is "viable." Contract negotiations are also part of the effort to keep the Springettsbury Township plants from moving.
Harley said this morning it plans to end Buell production and terminate about 180 total positions. Most of those workers will see their employment end by Dec. 18, the company said. MV Agusta will go up for sale, only a little more than a year after Harley purchased it.
Harley CEO Keith Wandell said in the release the company is seeking through the moves to have a "single-minded focus on the Harley-Davidson brand
The company also said in this morning's earnings report that talks have begun on a new contract with union workers the plants in York County. Harley said its "two path" study into whether to keep Harley in York County continues and that it still expects to make a decision by the end of the year.
Harley's sales fell by about 30 percent this spring. Shutdown weeks and job reductions have come this year as the Milwaukee-based company has sought to scale back production. Locally, four full weeks and two partial weeks of shutdown time were scheduled earlier this year. Three weeks have already happened.
York County hosts Harley's largest manufacturing facility, but the company said earlier this year it might move the operations elsewhere to make them more cost effective. The company maintains its preferred option is to stay, and union and company representatives reportedly told workers last week a restructuring plan is "viable." Contract negotiations are also part of the effort to keep the Springettsbury Township plants from moving.
Harley said this morning it plans to end Buell production and terminate about 180 total positions. Most of those workers will see their employment end by Dec. 18, the company said. MV Agusta will go up for sale, only a little more than a year after Harley purchased it.
Harley CEO Keith Wandell said in the release the company is seeking through the moves to have a "single-minded focus on the Harley-Davidson brand
Meaning:
Harley CEO Keith Wandell said in the release: "the company is going to be left selling tractors and orange/black tat"
Al
Meaning:
Harley CEO Keith Wandell said in the release: "the company is going to be left selling tractors and orange/black tat"
Al
You say it like its bad thing
Deleted account 231211001
Registered user
- Joined
- Oct 8, 2006
- Messages
- 2,106
- Reaction score
- 72
HArley in deep doodoo halt Buell
Harley D are in deeeeeeeeeeeeep smelly stuff:
In an astonishing move Harley-Davidson has stopped all Buell production and no more Buells will be built – ever!
The announcement was made this afternoon by company founder Erik Buell himself in a video posted on the Buell website (link here).
A clearly emotional Erik Buell thanked customers for their support and said he was very proud of what the firm had achieved in the last three decades, that all customer bikes’ warranties would be supported by company owners Harley-Davidson and that a limited supply of machines were still available at Buell dealers.
See the video here - http://www.buell.com/en_us/
In another astonishing development, it has emerged that Harley-Davidson is to sell Italian brand MV Agusta with immediate effect.
The news follows the shock announcement of the closure of Buell – also owned by Harley-Davidson – and confirms the crisis that has enveloped the historic American marque.
Harley has also just announced a further worldwide drop in sales of 21 per cent and an 84 per cent decline in income compared to a year ago.
Harley only bought MV just over 12 months ago in a bid to expand its product line and
Harley D are in deeeeeeeeeeeeep smelly stuff:
In an astonishing move Harley-Davidson has stopped all Buell production and no more Buells will be built – ever!
The announcement was made this afternoon by company founder Erik Buell himself in a video posted on the Buell website (link here).
A clearly emotional Erik Buell thanked customers for their support and said he was very proud of what the firm had achieved in the last three decades, that all customer bikes’ warranties would be supported by company owners Harley-Davidson and that a limited supply of machines were still available at Buell dealers.
See the video here - http://www.buell.com/en_us/
In another astonishing development, it has emerged that Harley-Davidson is to sell Italian brand MV Agusta with immediate effect.
The news follows the shock announcement of the closure of Buell – also owned by Harley-Davidson – and confirms the crisis that has enveloped the historic American marque.
Harley has also just announced a further worldwide drop in sales of 21 per cent and an 84 per cent decline in income compared to a year ago.
Harley only bought MV just over 12 months ago in a bid to expand its product line and
Deleted account 220427002
Registered user
- Joined
- Dec 27, 2003
- Messages
- 20,428
- Reaction score
- 3
that's shocking news
"O dear another sign of the times? be interesting to see if there are any takers for MV?
Big D
A real shame.......they are genuinely innovative and that announcement comes as a bit of as a bit of a surprise to me TBH....the more competition and decent models of bikes there are out there the better IMO, and Buell had what seemed to me to be a nice little niche segment.
Mutley
Registered user
Not really a surprise. HD have had money troubles for some time and the current recession can't be helping 
Not really a surprise. HD have had money troubles for some time and the current recession can't be helping
And yet it seems, on the roads at least, that Harley's are as popular as ever
Mutley
Registered user
The UK market is a drop in the ocean compared to the US operation though. Secondly, how many of them are new bikes?
Deleted account 211025001
Registered user
- Joined
- Feb 3, 2005
- Messages
- 10
- Reaction score
- -1
the more competition and decent models of bikes there are out there the better IMO, and Buell had what seemed to me to be a nice little niche segment.
I wonder if the flop of that atttempt at a sports bike took it's toll on Buell?
Andres
Similar threads
