4 more boat companies out of buisness.

[5150abf]

I heard yesterday at work that GenMar( own Mercury engines and 12-14 boat brands) fired 4700 people(don't have to pay unemployment this way) and closed 4 plants, don't know which brands are affected but this continues a very disturbing trend.

This makes at least 10 companies that have gone under in the last 6 months and it isn't over yet.

Rumor has it that Bentley pontoons is about to or has just gone under, makes me nervous being in this industry that is callapsing.

Starcraft has moved part or all of its production to Sylvan/Smokercraft, I assume they were bought out.

So far Bennington is doing well considering, we have certainly been hit but between one of the largest dealer networks in the buisness and not building stock boats hopefully we can ride it out.

I am in Nothern Indiana and the Goshen/Elkhart area is the RV capitol of the world, that buisness has been absolutely gutted, 2300+ lay offs just in the last 3 weeks not to mention the hundreds and hundreds before that and this is in a single county, pretty ugly here.

We just had our model change so I have been too busy to gossip much but I will try to find out company names if I run into the right person.

 

[gcboat]

Re: 4 more boat companies out of buisness.

Chief,
Seems the whole damn country is going down the tubes. Something has to happen for the better but I'm convinced it just might be a little bit too late.
It's devastating news to hear of all of the lay-off's, firings, dismissals.
My daughter-in-law is a RN. Said her job won't be affected by the downturn.
Wrong answer! Cut her hours to 32 ( or stay at 40 and lose some benefits).
Scary time my friend.

 

[Silvertip]

Re: 4 more boat companies out of buisness.

Crystal Pierz Marine closed six of its 12 dealerships in Minnesota and Iowa. Obviously the fuel price is a big player in all of this. However, gas was $3.73 here in Minnesota today. A week ago yesterday it was $3.97 so its refreshing to see 24 cent drop in a week. This fuel thing is sort of a double edge sword. The environmentalists on one hand gripe because the auto manufacturers didn't make enough small cars and instead concentrated on SUVs and trucks. Well -- small cars were available all along from all of the manufacturers but people elected to buy the big vehicle. Nobody held a gun to their head so the manufacturers can't be blamed for that. The market dictates what will sell and right now, scooters, small cars, and hybrids are the big sellers. Should fuel drop very far below $3.00 a gallon you will see bigger vehicle demand rise again. It's happened before and it will happen again. When times are good, too many people buy toys they can barely afford. Comes the squeeze and they find themselves in trouble and then blame the government and expect a bail-out. The economy cycles just like it has every 7 - 10 years or so and it has done that for ages. If you don't plan for it, well -- you end up in financial trouble. In the meantime, I'm getting ready for another week-long fishing trip and will probably burn the same amount of fuel I always have.

 

[woodchip]

Re: 4 more boat companies out of buisness.

unforntunatly(or forntunatly) it isn't the same everywhere.places where the economy is driven by resources or farming things are alright but where it's mostly finance or manufacturing it's gotten pretty grim.alot of people need to tighten there belt until things improve,and don't hold your breath waiting for that,.

 

[RotaryRacer]

Re: 4 more boat companies out of buisness.

GenMar( own Mercury engines and 12-14 boat brands) fired 4700 people(don't have to pay unemployment this way) and closed 4 plants, don't know which brands are affected but this continues a very disturbing trend.

GenMar doesn't own Mercury....that would be Brunswick. That detail doesn't change this that much. I just thought it would be worth correcting.

 

[tashasdaddy]

Re: 4 more boat companies out of buisness.

yes Brunswick owns Mercury, but they are cutting back also
http://www.rbbi.com/company/bc/bc.htm

 

[BillP]

Re: 4 more boat companies out of buisness.

It's grim down here in FL too. Local dealers still have 2006 boats and motors sitting in inventory and can't unload them. Of course merc and yamaha have graciously (in the consumers best interest they say) fixed that problem by eliminating the "model year" so their 2006 motors are now 2008s and will be 2009s in a short time. The largest marine retailer in the country has also just announced they're closing more stores and a distribution center.

 

[tashasdaddy]

Re: 4 more boat companies out of buisness.

when the belt gets tighted, it starts with luxuries. to me boating is not a luxury, it is a necessity for my mental health.

 

[JB]

Re: 4 more boat companies out of buisness.

North Texas is far less affected than most places, because so much less of our economy is dependent on consumer spending (read consumer willingness to spend).

However, boats, cars and homes are not selling well and many people are pulling in their spending here, too.

 

[Shizzy]

Re: 4 more boat companies out of buisness.

I have noticed latley how much attention the smaller 14' aluminum jobs with a small outboard are getting. Kind of like seeing a 1996 Geo Metro selling for 3K

 

[5150abf]

Re: 4 more boat companies out of buisness.

Sorry about the misinformation, I was told wrong or heard wrong(the latter is pretty typical).

Our dealer show is next week so we are all holding our breath for that, usually generates about half our orders but this isn't a usual year.

Thanks for the link TD, I was hoping someone would find it, been working alot and it was our county fair week so I have been really busy this last week but I got to see Pat Benatar and Hootie and the blowfish and tractor pulls so it was worth it.

 

[CATransplant]

Re: 4 more boat companies out of buisness.

I have noticed latley how much attention the smaller 14' aluminum jobs with a small outboard are getting. Kind of like seeing a 1996 Geo Metro selling for 3K

Yup. I've noticed that, too, in the Twin Cities. The prices have been going up all season on small fishing boats with trailer and outboard. Interesting.

 

[tashasdaddy]

Re: 4 more boat companies out of buisness.

look at ebay, the small motors are selling at rediculous prices. i need a 2hp for my inflatable, been watching for 3 months.

 

[204 Escape]

Re: 4 more boat companies out of buisness.

In the past 2-3 months Cobalt, (which is built less that 75 miles from my house), laid off 1/3 of it's production force. That computes to about 250 people.

A 5th wheel camper company cut out over 100 a year ago, and that affects the people that build the trailer frames, the sofas, matteresses, cabinet doors, etc. as well.

 

[ebry710]

Re: 4 more boat companies out of buisness.

In California it is the same. Here in Sonoma County we lost 4 dealers and one was Marine Max. West Marine is the only parts place we have left. The remaining marine places either sell new boats or work on boats. Specialty parts can only be found on the internet or special order through Oakland (slower then the internet).

 

[alamosaddles]

Re: 4 more boat companies out of buisness.

I heard yesterday at work that GenMar( own Mercury engines and 12-14 boat brands) fired 4700 people(don't have to pay unemployment this way)

News to me.

When a business fires an employee, unless it is shown that it was for cause (theft, violating company rules etc.) that business is on the hook for unemployment. Only when you quit or abandon your job etc. does unemployment not get paid. I believe it works pretty much the same in all states with some minor variations from state to state.

 

[alamosaddles]

Re: 4 more boat companies out of buisness.

It's grim down here in FL too. Local dealers still have 2006 boats and motors sitting in inventory and can't unload them. Of course merc and yamaha have graciously (in the consumers best interest they say) fixed that problem by eliminating the "model year" so their 2006 motors are now 2008s and will be 2009s in a short time.

A crock of crap if you ask me. Now that I am better educated on outboards etc, I would not get suckered into a new (2008-2009) boat with a motor that was manufactured in 2006, passed off as a new motor. I'd haggle, fight and stick to my guns to get 2009 technology. There's only so far that they can pull that trick. If in 2009 their engines incorporate some new technology that was not in place in 2006, a buyer would be a fool to accept that bait and switch game. I got caught with that a few years ago, thankfully, there was no real difference between the 03 and 04 model, but I'm still upset I was duped with it.