Harley-Davidson, Inc. (NYSE: HOG) announced today that it expects to ship between 86,000 and 88,000 Harley-Davidson(R) motorcycles in the third quarter of 2007. Shipments of between 91,000 units and 95,000 units were originally planned for the quarter. Shipments for the full year are expected to be in the range of 328,000 to 332,000 Harley-Davidson motorcycles.
“Initial reports about our 2008 model year motorcycles from our dealers and the media have been excellent, but this is a difficult time for the U.S. consumer,” said Jim Ziemer, Chief Executive Officer of Harley-Davidson, Inc. “Coming off a negative U.S. retail sales trend in the first six months of the year, we ran an effective promotion in July that increased retail sales and reduced inventories of 2007 model motorcycles. However, our U.S. dealers’ retail sales have fallen sharply during August. Against the current economic background, we no longer expect worldwide dealer retail sales to increase during the second half of 2007. As a result, the Company has decided to reduce its planned shipments of motorcycles to its dealers for the remainder of 2007. The Company expects its actions will result in fewer wholesale motorcycle shipments than dealer retail sales during 2007,” said Ziemer.
“Although this is a challenging time, Harley-Davidson is the worldwide heavyweight motorcycle market leader,” said Ziemer. “We enjoy an enviable position of financial strength, with a solid balance sheet, strong cash flow and a history of returning value to shareholders. While a decision to reduce shipments and expectations is never easy, it is clearly the right thing to do for the long-term health of the brand and the business,” said Ziemer.
I wish it was attributed to people smartening up and shying away from the "paint-mixers" but there are way too many posers out there for that to ever happen. Oh well.....
I wish it was attributed to people smartening up and shying away from the "paint-mixers" but there are way too many posers out there for that to ever happen. Oh well.....
Nope. HD will not be the only manufacturer to suffer! Toys are the first things to get thrown overboard. I would be worried about the small Italian brands who seem to struggle even in good times. Guns & Butter has come home to roost. A sharp amount of pain, then a leveling off for some 70's style stagflation. IPOD's & Flat Screen TV's will decline in price(not that anyone will have refi cash to buy the crap) but things you need like food and energy will increase in price. Who wants to step up & play Jimmy Carter?
all you need to know about economics...
It's a recession if your neighbor looses his job.
When you loose your job it becomes a depression.
I wish it was attributed to people smartening up and shying away from the "paint-mixers" but there are way too many posers out there for that to ever happen. Oh well.....
I happen to like Harley Davidsons, especially some of the new 08's. The Nightster, the Fat Bob, the Road King CVO, any of the v-rods, the new Fat Boy, last years Street Glide. I am going to buy one in the next 12 months, I just can't decide which one.
But then again, I ride a beautiful yellow 748. Guess Ducati owners are posers too?
mikster, what do you ride, sense it must be a nonposer model?
Anyone else think this sentence is funny? "New" and Harley is an EXTREMELY rare combination.
Actually, the new CVO Road King has a trick new ABS system that does away with all visible components usually associated with anti-locks. Pretty trick in my book. Wonder why didn't come up with that at BMW? IMO because BMW dosn't get the style thing (at least with there bikes). Harley does, and Ducati does.
Oh, by the way, the CVO Road King also comes with electronic throttle control (fly by wire).
Then there is the Rocker in which the rear fender is attached to the swing arm so it has a cool slammed look like a hard tail.
Yes, there are some cool new variations and features in the line this year. So if your point is that they are still using an air cooled v-twin, I say so does the new Hypermotard, and I want one of those too!!
Gambler....what do you know? I have been following the housing bubble since early 06. I started reading a blog that predicted *everything* that has happened in the last few months (foreclosure, subprime meltdown etc etc) these same people, six months ago said a recession would be in full force by Christmas....and it seems to be playing out, but not as bad...yet, some have predicted a depression, but I think it will not get that bad.
Anyways, I think the people are starting to wise up on the Hardleys...I mean the market is flooded with them, they are not worth a fraction of what they sell them for...especially with those production figures, and all those stupid choppers churned out over the last few years....
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Gambler....what do you know? I have been following the housing bubble since early 06. I started reading a blog that predicted *everything* that has happened in the last few months (foreclosure, subprime meltdown etc etc) these same people, six months ago said a recession would be in full force by Christmas....and it seems to be playing out, but not as bad...yet, some have predicted a depression, but I think it will not get that bad.
Anyways, I think the people are starting to wise up on the Hardleys...I mean the market is flooded with them, they are not worth a fraction of what they sell them for...especially with those production figures, and all those stupid choppers churned out over the last few years....
bears are always early, bulls are always late
the market has a funny way of bleeding everyone
It is gonna be interesting to watch it all unfold that is for sure...I will say this, customer service seems to be at an all time low, hopefully a recession would help improve it!
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"mikster, what do you ride, sense it must be a nonposer model?"
To begin with, that's Mikstr (I know, 6 letter words can be tough to master but hang in there...)... as for my choice of bikes, I ride a midnight blue (a colour that was never imported into the US) 1999 Honda VTR1000, one of the true "anti-poser" bikes. I could have picked it in red or yellow but some times it is best not to draw attention to one's self.
In terms of Ducs being poser bikes, I am sure some owners are posers but I would hasten to guess most are not (Ducs, after all, do offer some unique and inspiring performance experiences). The same, however, cannot be said for H-D owners. On need only look at their advertising to see how they try to tap into the mid-life crisis Baby Boomer "wannabe" mentality (so eager to live out his Peter Fonda fantasies) to sell bikes. It is also the reason the company's success is being used as a marketing case study in business schools around the world. Harley do not sell bikes (for in all honesty the technology is mostly archaic, with some notable excpetions as you have pointed out), they sell an image. As I am in no need of a bike to buoy up my self-esteem or draw attention to myself, I will likely never own a H-D until such time as they build practical, reasonably priced bikes that offer performance (straight-line, braking, handling). H-D is essentially the flavour of the day, no more, no less.
IN response to its need to cut production numbers, Harley has said that it will close its final assembly plants in York, Pa., and Kansas City, Ma., their powertrain operations in Wauwatosa and Menomonee Falls, Wi. and their Tomahawk operations in Tomahawk, Wi. for the week of Nov. 26.
Employees will not be paid during the lay-off, although healthcare benefits will be continuous and all employees will be re-called immediately after the shut-down. Union bosses are estimating that some 1500 employees will be affected in Wisconsin alone.
The move represents Harley's response to its need to cut '07 production numbers following its reduced sales forecasts for the year.
"The company regrets the temporary impact the shipment reduction will have on so many of its employees as well as its dealers, suppliers and customers," Harley said in a statement. "The company believes this solution is the best option for balancing the needs of our stakeholders while doing what's right for the long-term prosperity of the company."
A September 7th announcement stated that Harley was lowering its sales projections for the third quarter and second half of 2007. The company now says its '07 motorcycle sales will be lower than last year with third quarter "shipments" now being forecast down to between 86,000 and 88,000 motorcycles.
Chief Executive Officer Jim Ziemer says that the company "no longer expects worldwide dealer sales to increase during the second half of 2007." Coupled with a decline in unit sales in the first half of 2007, unit shipments for the year as a whole are also now expected to be lower than were recorded in 2006.
The firm is now forecasting a "modest" decline in revenue for 2007, the first year in which they'll have seen such a revenue since the 1980s, and earnings per share are expected to be down between 4 and 6 percent.
Harley have also said "some sites will take additional steps to achieve their production reductions," but the company did not state what the actions would be.
did you ever go to WSBK race at Laguna? You notice they had Ducati Island? I did. So I went over and took a look.
Just a bunch of middle aged, pompous, people with their noses in the air.
Do I think there are some hardcore riders that ride Ducati? Sure. But the overwhelming majority are not.
Posers? Maybe.
Back to Harley. Don't worry, those sales figures, and manufacturing is gonna fall way the hell off. This subprime housing bubble is gonna put a bunch people on the skids... the same people who would buy Harleys are getting foreclosed on, or what they thought was disposable income (home equity loans) is now gone.
mikstr, you got a hard on for people other than your self or what?
I own Harley's, Honda's and Ducati's!! All great bikes I own because I like them not because someone else even cares. I could give a crap. I don't F'n care what any one else thinks. If you get to the point in life where you can afford the bikes I have you might feel the same way.
Ride what you can when you can! It' not about what you ride its about motorcycles and that fact you ride. Be happy a lot of people don't have that.
Harley's sell an image,big deal. The bikes they currently produce are great bikes that preform well as they were designed too.
For track days the VRT1000F is the bike of choice not that the RC51, F4I, CBR1100xx,ST3 or 1098s wouldn't do. Its just the way it is.
Every body lighten up and have fun while you can. Get over your stereotyped mind set. Life is too short.
did you ever go to WSBK race at Laguna? You notice they had Ducati Island? I did. So I went over and took a look.
Just a bunch of middle aged, pompous, people with their noses in the air.
Do I think there are some hardcore riders that ride Ducati? Sure. But the overwhelming majority are not.
Posers? Maybe.
Back to Harley. Don't worry, those sales figures, and manufacturing is gonna fall way the hell off. This subprime housing bubble is gonna put a bunch people on the skids... the same people who would buy Harleys are getting foreclosed on, or what they thought was disposable income (home equity loans) is now gone.
Glad I didn't visit the "Ducati Island" then, but while one could argue quite convincingly that I'm a middle-aged Ducati rider (and my teenage daughter may even declare I'm pompous), around these parts Ducatis outnumber VTRs at least 10:1 at the local track days.
Do I draw any conclusions from that? Nahhhh, other than VTR riders don't tend to ride their bikes on the track around here much, for whatever reason, just as we pretty seldom see Harley-Davidsons on the track.
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"Harley-Davidson's third quarter financial results are disappointing but not unexpected. In early September, we announced that we would reduce planned motorcycle shipments for the rest of 2007, and our results for the quarter are consistent with the Company's revised guidance," said Jim Ziemer, Chief Executive Officer of Harley-Davidson, Inc.
The phat fux are too stupid, (or greedy) to regulate supply. An illiterate knows the laws of supply verses demand. If you are in control of supply, the price is regu=lated by demand only. Sky is the limit for something in demand. So the corperates slut out and cash in our children's game? I'ts a microscript of what our intire country, and corporate mentality has become.
how long can you cheat and not get caught?...
HD sales off
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