RV industry out of gas

[TRLRTRSH]

The RV Industry: Running on Empty? | Newsweek Business | Newsweek.com



RV manufacturers are feeling the pain. National RV Holdings filed for bankruptcy last November. Fleetwood Enterprises, which makes manufactured homes and RVs, reported a dismal quarter on May 1: "February and March motor home shipments were down 21 percent and 27 percent, respectively, from the prior-year period. " Sales of the fancy Class A homes were off 36 percent in both months. Coachmen, which likewise makes RVs and modular housing, in April reported that revenues at its RV unit were down 13. 1 percent from the 2007 first quarter. In March, Winnebagoreported that quarterly revenues and earnings were off 17. 5 percent and 66 percent, respectively, from the comparable quarter in 2007. This is the ugly one-year chart of the Fleetwood, Coachmen and Winnebago stock prices compared to the S&P 500. And it's likely to get worse. Much of the carnage of the past 12 months happened when the economy was still expanding, when gas was cheaper than it is today, and when credit was available on better terms than it is today. On May 1, GE Money, the consumer finance unit of General Electric that is a major lender to RV purchasers, announced it was going to exit the sector.



I know for a fact Alpenlite and ALFA have both closed their doors, maybe for good:{:{:{I have to wonder how many folks have lost their jobs and will lose their jobs because our country can not get "our" act together when it comes to drilling for oil. Ya I know it might hurt some figgin mouse on the TRUNDRA#@$%!#@$%!#@$%!#@$%!

 

[SierraRam]

I purchased Stock in them and Winnebago about 8 years ago while things were going good, you could see the effect of fuel prices when we went over two dollars a gallon, traded my stock for Chevron about a year ago, took a bath on it but doing better now. I know i am sleeping with the devil.



SR

 

[Tractorat]

Drill for our oil ? Yes, I agree that we need to drill for our own oil. But, come on now. Does anybody really believe that the cost of gas and diesel has anything to do with the supply ? The Saudi's just laughed at Bush the other day when he was pleading with them to increase the supply. Their answer is that there is plenty of oil now, there are no shortages anywhere. So, they will not increase oil production.



Even if we got 100% of our oil from the lower 48, is there anyone that really believes that the price would be any less ? Come on now.



I think that everybody realizes now that the problem is how oil and gas and diesel are traded on wall street. That is where the price is set. And as long as they can keep bidding the price up, look for $500 oil before too long.



As Ive mentioned before, if someone doesnt figure out how to fix the problem on wall street, we're toast. And they cant just stop the skyrocketing. It need to come back down to less that $50. At least under $60



TRat

 

[RRees]

Tractorat,



I concur with your thoughts about the price of fuel.



Bob

 

[Gary - K7GLD]

Drill for our oil ? Yes, I agree that we need to drill for our own oil. But, come on now. Does anybody really believe that the cost of gas and diesel has anything to do with the supply ? The Saudi's just laughed at Bush the other day when he was pleading with them to increase the supply. Their answer is that there is plenty of oil now, there are no shortages anywhere. So, they will not increase oil production.



Even if we got 100% of our oil from the lower 48, is there anyone that really believes that the price would be any less ? Come on now.



I think that everybody realizes now that the problem is how oil and gas and diesel are traded on wall street. That is where the price is set. And as long as they can keep bidding the price up, look for $500 oil before too long.



As Ive mentioned before, if someone doesnt figure out how to fix the problem on wall street, we're toast. And they cant just stop the skyrocketing. It need to come back down to less that $50. At least under $60



TRat

Would you care to run for President? You'd certainly get MY vote!

 

[Grizzly]

On the other hand if your in the market for a large RV, this is the time. Small RV's are selling like hotcakes.



I purchased a 27' 5er last October and now I feel like we can't use it, or at least we won't go very far due to the high cost of diesel. This is hurting all of us.

 

[RVTRKN]

I say keep it on the RV conversation, I'm already feeling the cost of Diesel and am tired of that topic. The side effect is lower RV prices , and I might be in the market it's just easier to convince the wife and cheaper. :-laf

 

[Blu-meanie]

Would you care to run for President? You'd certainly get MY vote!

Really, the first candidate that says they will drill, refine, fence, and deport will be my pick. Maybe with a little "nuke" inserted somewhere too.

 

[TAbbott]

Me too Blu-meanie!

 

[Regcabguy]

Cal Cummins Pacific here in El Cajon laid off three techs and a salesman. The coaches just aren't coming in for service as frequently. Conversely,the wife and I were camping at South Carlsbad State Beach and we were surrounded by high roller rigs. With no hookups the owners were oblidged to fire up their generators. Try camping next to one of those. No quiet time for Gonzo. :{