Doral Company for Sale!

[PhatboyC]

"Canadian-based Doral Boats International is for sale, according to the Quebec newspaper Nouvelliste. Doral Executive Vice President Denis Jutras is quoted as saying that "American interests" are looking to buy the company and move the assets to the US. Doral has two production facilities, one in Grand-M?re, Quebec and the other in Midland, Ontario.

The paper noted that Doral owner Erwin Zecha decided to sell the company in December. Jutras said that three US companies are looking at the builder. "If it is bought by the United States, it will leave Grand-M?re," Jutras told the paper. "And the danger is the short lapse of time." He said that 225 jobs are at stake.

Jutras added that a local group is looking to buy the factory in order to keep it in the region. "That's looking good," he told the paper.

Jutras said that a slowing US economy and the strength of the Canadian dollar has hurt the company. "We have lost market share in the United States, with 20 per cent of our sales this year against 50 per cent previously," he said. "We are less competitive and even if the international market accounts for 60 per cent of our turnover, we cannot afford to lose the American market."
"

Here is the French Article:
http://www.cyberpresse.ca/article/20080307/CPNOUVELLISTE/803070717/6785/CPNOUVELLISTE

 

[kenmyfam]

Re: Doral Company for Sale!

That Sucks !!!! Most likely lose the Doral name if that happens.....and who knows what will happen to the build quality.

 

[Imback31]

Re: Doral Company for Sale!

Hopefully it's not Genmar trying to buy them, if so say good-bye to the quality we all expect from these boats. It's sad to see this happen, but I really don't think they would kill the name. Hopefully the locals end up buying the company but i wouldn't bet money on it.

 

[kenmyfam]

Re: Doral Company for Sale!

Hopefully it's not Genmar trying to buy them, if so say good-bye to the quality we all expect from these boats. It's sad to see this happen, but I really don't think they would kill the name. Hopefully the locals end up buying the company but i wouldn't bet money on it.

Would be nice if they bought it. Most likely have a lot of pride in their product if that was the case.

 

[PhatboyC]

Re: Doral Company for Sale!

I must have read the article 5 times now.

The VP of Doral, M. Jutras, admits he already has a Canadian investor interested to buy. The problem is they don't want to until the employees renew their collective agreement. The Canadian buyer wants a 5 year contract with a salary freeze for the first year and some flexibility on other employee items.

He also mentions he has 3 other US investors interested. But I believe he is trying to scare the employees on pushing them to sign the collective agreement. They have been at the bargaining table since Sept. 07...

 

[kenmyfam]

Re: Doral Company for Sale!

Well with the current economic climate in North America as a whole I can understand any investor wanting to know their overheads and liabilities for the next few years. Looking around my area there are a huge amount of "newer" used boats for sale at present and fewer and fewer people with the money to buy them. A lot of folk just want someone to take the boat and take over the payments so they can walk away and pay the regular household bills. There will most likely be a lot of repo boats, RV's, cars and houses coming up this summer. Could be a great buyers market for thoise that still have good gainful employment and a few bucks to spare.
The workers should settle even if they get a little less this time. Put a clause in there for profit sharing down the road. Good for workers morale and product quality which should lead to improved sales if the new management market correctly. Then you can start talking more significant improvements to the next contract.
Manufacturing place near where I am went on strike and held out for what they wanted. Company eventually agreed to all demands, the workers / union claimed a resounding victory for the "common worker" yelling as they usually do on all TV interviews. 6 weeks later the company announces that it is closing the doors due to costs and the fact they were now running at a loss.
Great victory eh !!!!
Do not take this as me being a union basher as I am not and feel that there is without doubt benefits of being a union member. It is just a scenario that I thought I would share.