Harley Davidson’s secret $2.3 billion taxpayer bailout
12-06-10, 06:32 PM
#31
It's funny that so many people are worried about Mexicans coming here to pick fruit. When what they should be worried about is American companies sending jobs to Mexico that pay ten times as much.
12-07-10, 05:35 AM
#33
Lexus Test Driver
I have a very, very hard time believing this from a compony such as HD. While 50% of all the parts on any HD are made overseas, I can almost guarantee that final assembly will still be here in the U.S.
While I've heard talk of the York, PA plant being shut down, Harley knows it's customer base still wants "made in the USA". It's ingrained too deep in the HD culture. Sub-assemblies being put together in Mexico, then shipped to Milwakee to be mated with other sub-assemblies? Sure, I might buy that. But I guarantee final assembly will be left here in the States somewhere. Without a US production line of some sort, HD will lose all credibility with it's die-hard fans, and Willie G knows this (or should).
While I've heard talk of the York, PA plant being shut down, Harley knows it's customer base still wants "made in the USA". It's ingrained too deep in the HD culture. Sub-assemblies being put together in Mexico, then shipped to Milwakee to be mated with other sub-assemblies? Sure, I might buy that. But I guarantee final assembly will be left here in the States somewhere. Without a US production line of some sort, HD will lose all credibility with it's die-hard fans, and Willie G knows this (or should).
I do agree to a point, but you need to look at the demographic of who is spending money with the comapny. Kids can't afford thier bikes, but middle working class can, and that is the group that are understanding how a global economy works. In general I would say the next generation of HD buyers will maybe have prefered the bike be built in the US, but will understand if it's not. Most of the current owners already understand that a good deal of the parts are outsourced and it doesn't seem to stop them from buying a part when the bike breaks.
12-07-10, 06:19 AM
#34
Pole Position
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OT- You will see a HUGE layoff from Kohler as soon as the holidays clear... HD is already running lean and will be going leaner... thx DC!!
12-07-10, 08:24 AM
#35
If the bike was bought on a bank loan or financed through a third party (not HD's Financial Services arm) then HD have already been paid for it in full and it is no longer part of their problem. HD have had some good years up until the crash but it wasn't so long ago that they made more money from selling merchandise than selling motorcycles.
12-07-10, 08:42 AM
#36
Lexus Test Driver
If the bike was bought on a bank loan or financed through a third party (not HD's Financial Services arm) then HD have already been paid for it in full and it is no longer part of their problem. HD have had some good years up until the crash but it wasn't so long ago that they made more money from selling merchandise than selling motorcycles.[/QUOTE]
I remember back in Jan. of this year,I read HD finance was doing very well...I thought that was odd given the state of the economy. My guess is they saw what happen with the home loans and figured they could free up requirments before someone jumps in and regulates.
I remember back in Jan. of this year,I read HD finance was doing very well...I thought that was odd given the state of the economy. My guess is they saw what happen with the home loans and figured they could free up requirments before someone jumps in and regulates.
12-07-10, 10:33 AM
#37
Out of Warranty
H-D has done pretty well in recent years - back in the mid nineties at the worst of the slump of their motorcycle business, they assembled small delivery vans, some of which were purchased by the USPS. One of my vendors had one, and it was pretty nice, for a small work truck. The body was built under license from Grumman, and was a tall aluminum box, taller than it was wide - enough to allow "standing" headroom inside (for the vertically challenged), despite a floorpan that was similar to the SWB Chrysler Corp minivans.
The dash and forward sub-frame was purchased direct from Dodge, and carried the 4cyl engine and automatic transmission of their minivan. Out back was a beam axle with cart springs, probably lifted from the same source. The hood and front fenders were aluminum, as was the body, and delivered unpainted - which actually looked pretty good. The grill was vintage Dodge, as were the headlights, the tails coming from what appeared to be a trailer supply store.
It had two sliding front doors, a pair of pedestal seats, and a big roll-up back door. It was about the price of a minimalist minivan, and lacked any kind of creature comforts whatsoever. It was a big box shrunk to the size of a small mommy-van, but with standing headroom aft of the front seats.
At the front center of the hood, just above the grill, was a "Manufactured by Harley Davidson" plaque. I asked by friend who owned the company if he was planning to drive it to Sturgis, but he said after one trip to San Antonio, he wasn't taking that thing out on the Interstate again. While it was an excellent little hauler around town, top speed of this square box was just under 70 - if you had a mile or two to get it rolling that fast. Wind noise was deafening, and it heeled like a sailboat in the slightest crosswind. Aerodynamic it was not.
Parts were quickly sourced from Ford and GM, and soon the little truck was being manufactured by Ford, using its own components. You still see these in service as mail delivery vans, although they have grown a bit in recent years.
The dash and forward sub-frame was purchased direct from Dodge, and carried the 4cyl engine and automatic transmission of their minivan. Out back was a beam axle with cart springs, probably lifted from the same source. The hood and front fenders were aluminum, as was the body, and delivered unpainted - which actually looked pretty good. The grill was vintage Dodge, as were the headlights, the tails coming from what appeared to be a trailer supply store.
It had two sliding front doors, a pair of pedestal seats, and a big roll-up back door. It was about the price of a minimalist minivan, and lacked any kind of creature comforts whatsoever. It was a big box shrunk to the size of a small mommy-van, but with standing headroom aft of the front seats.
At the front center of the hood, just above the grill, was a "Manufactured by Harley Davidson" plaque. I asked by friend who owned the company if he was planning to drive it to Sturgis, but he said after one trip to San Antonio, he wasn't taking that thing out on the Interstate again. While it was an excellent little hauler around town, top speed of this square box was just under 70 - if you had a mile or two to get it rolling that fast. Wind noise was deafening, and it heeled like a sailboat in the slightest crosswind. Aerodynamic it was not.
Parts were quickly sourced from Ford and GM, and soon the little truck was being manufactured by Ford, using its own components. You still see these in service as mail delivery vans, although they have grown a bit in recent years.
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