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RV industry taking a hit

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Western Recreational Vehicles is currently closed.



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Yakima -- First it was the employees now Western RV customers are saying they're being left in the dark and left with half serviced vehicles.



Bob Wert, Western RV President says, "We've run out of money we've paid all the bills we can pay, done all we can do. "



That's the response from President Bob Wert explaining that a continuing slow down in sales is forcing them to temporarily suspend manufacturing operations.



They're narrowing down their approximately 200 employee work force to skeleton status only keeping six from their management staff.







CHINO, Calif. -- Alfa Leisure laid off its entire workforce today and shut its doors, one of the manufacturer's California dealerships confirmed this evening.



Owned by Johnnie Crean, son of Fleetwood founder John Crean, Alfa Leisure had a reputation for exceptional quality and workmanship. But the declining market for motorhomes made it nearly impossible for the company to compete, said those who were aware of the situation. It is not know how many people were impacted by the plant's closure.



Alfa Leisure has not yet filed bankruptcy and may be waiting for a potential buyer to emerge, one dealer suggested.



Rumors began circulating late last week that closure was imminent. One source suggested the company hadn't received an order for a single coach in more than three weeks. Another source suggested the company owed several warranty shops tens of thousands of dollars and were out 120 days on accounts payable. The warranty shops had, apparently, stopped doing business directly with Alfa, requiring consumers to pay for the repairs and seek reimbursement directly from the company.





Looks like the dates on the announcements were in April
 
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Went into a large RV facility - sales and repairs - in Manteca California a couple of days ago for a small part for our RV refrigerator, and saw a very nice and well equipped 32 foot toy hauler in their showroom priced at under $30K - I commented that it was a VERY low price for that type and quality of 5er - and the salesman commented - "Yeah - it's been marked down over $20K due to a lousy RV market"...



Too bad I'm not in the market to upgrade - but apparently, I'm not alone... ;)
 
Not sure about the quality of this model but dang what a mark down.



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Wish I could upgrade seems that now is the time.
 
I think we will be seeing many companies disapearing before things turn around. You can add Van Aaken to that list.



Bob
 
I think we will be seeing many companies disapearing before things turn around.

Bob



Yep, a lot of changes on the way. Travel Supreme went down. Jayco picked up the pieces and the TS products will re-appear under a different name.



NuWa has closed the Custom Campers manufacturing facility where the Hitchhiker IIs were built. The HHIIs are still being built in a NuWa factory across the highway "due to decreasing demand".



Bill
 
NuWa / Custom Camper merger

Here is the post from Mike Mitchell, the CEO of NuWa on the recent merger of the two plants. He is a frequent poster on the NuWa Forums and keeps all of us loyal NuWa owners in the loop as to company functions and news.



NuWa recently notified dealers of plans to "merge" the Custom plant with the NuWa factory. All HHII products will be produced in the NuWa factory beginning with 2009 models. This decision is caused by several issues, but bottom line is that we would rather have one factory operating efficiently than have two factories operating inefficiently. Sales volume is such that we do not have enough production to keep both plants sufficiently busy. Call it "restructure, call it downsizing" call it whatever you wish, but it's become a common occurrence in our industry. I held off longer than maybe I could have to make the decision, because of the impact on Chanute's economy and some good employees of Custom. The larger NuWa factory has the capacity to produce the volume needed to supply the market with all products, thus we have decided to "merge" the best of Custom with the best of NuWa. Many of the Custom employees will be asked to transfer to the NuWa factory, as the increased production will create a need for additional staff. The HHII service department and parts department will be merged with NuWa as well, and at some point in the near future all parts and service will be handled through NuWa. When this occurs, a change of phone numbers will be posted on the web site and this forum for customer awareness.



We feel the least confusing way to clarify the change will be for 2009 HHII products to be introduced from the NuWa factory. This should begin happening with specific models in June. The process will take several weeks and thus not all HHII models will immediately be available. There will most likely be a time lag for availability as each model is introduced into the NuWa production process. Custom engineering and production staff will oversee the process at NuWa, while NuWa staff continues to focus on 2009 DA and CE model introduction. It is possible that a HHII order placed in the near future may be delayed as far as getting into the hands of the customer. This is a "moving target" at the moment as we attempt to estimate the time needed for the transition. Their are a lot of logistics issues concerning material and equipment that must be decided as the process develops.



I do not expect that this decision will have any noticeable change for customers other than the "re-location" of production and service, and some amount of delay during initial stages. I have asked that we increase service space as well as personnel to handle the larger service work load. The increase in production at NuWa will actually allow this plant to run smoother as it is sized for 20+ units of production per week. The addition of the Custom production staff will also be welcomed, so departments can be properly staffed. I believe when the transition is complete, the benefits to all will be noticed and appreciated. The NuWa owners on this forum are important ambassadors for NuWa and I felt it was both important to make you initially aware of this recent decision and to hope that you will be able to discount any "rumors" that might occur. Any change to a company's status in this industry is often "jumped on" as "false evidence of their pending failure. Not so in this case, and we may have to "educate some folks, who enjoy spreading rumor. NuWa is simply making an important business decision to adjust to the present market conditions. We are actually more fortunate than some competitors who may not have the ability to merge two product lines into one plant. And if fact business is not that bad. But we can handle the increased production at NuWa and look forward to the opportunity to do so.
 
I use I-70 a lot and it's amazing how few RV rig's are on the road nowdays. You can drive 20 minutes in the middle of the day and not see a one.
 
I live on route 14 at the bottom of the Big Horns and I would be hard pressed to say there are less RV's going past than any other year. They are going past in singles. doubles and some times as many as four in a line.



I wonder what will happen when every one's credit card gets filled up.



Went to Cody on Wednesday and it was not very busy but there were lots of RV's coming and going. They are expecting a record year in Yellowstone.
 
We were in Lake Tahoe last weekend at Zephyr Cove RV Park and the place was packed. Saw lot's of rigs going up and down Hwy 50 but not to many folks on the strip? Went fishing on Sunday and the guide said that they expected a very low influx of summer vactioneers this year. . fuel prices are killing us!!!
 
I havent seen a noticeable slow down in the number of RV's on the highway here either, I must say I am suprised. It would be nice to see the price cuts on Diesel Pusher's be as big as the 5er's but looks like no such luck. ofcourse I would rather see prices stay the same and people go back to work but doesnt look like that is going to happen.
 
We travel on 395 between Gardnerville, NV & Carson City, NV. There still are a lot of RV's traveling on the road. I will admit that the most of them are toy haulers. Mine is parked!!!
 
We have two neighbors with TTs (both are 30footers, towed with midsized SUVs) that have already said they only pulled their TTs out of storage for the summer to avoid paying charges... they have no intent to go on any vaction this year because it will "cost too much".



I look at it as others here have: its going to cost more, but not that much more than any other year. I am not going to stop vacationing because of fuel prices at this time.
 
An RV that sits too long and not used will surely be more costly than the extra fuel required to tow or drive one... in the long run. The value of my Winnebago dropped almost 20K since last year..... so it is not worth selling. I will keep it and drive it and just pay more for gas. We will only go on short trips and stay at Federal and State Parks to save on camping expenses.
 
An RV that sits too long and not used will surely be more costly than the extra fuel required to tow or drive one... in the long run. The value of my Winnebago dropped almost 20K since last year..... so it is not worth selling. I will keep it and drive it and just pay more for gas. We will only go on short trips and stay at Federal and State Parks to save on camping expenses.





We just bought a small 5vr last fall... luckily we didn't invest much into it.
 
I've got a 2000 Northstar sitting on mine. I average 14. 5 mpg. with it on there all the time. We still enjoy local camp trips so I'll be keeping it for now. We got burnt out on motels in Novermber when we made a Big Sur trip. It seems like you can always hear people next door or somebody trapsing down the hallway. I do wish I had somewhere to store it,but it's way too expensive here.
 
I did a trip this time last year and fuel cost was right at $600, and based on current costs per gallon it would now be $920. I know that sucks, but if $300 is going to make or break you chances are you should not be vacationing or own an rv right now anyway. My self I am planning a few short ones this summer and we already have a 2 plus week out west road trip planned for next year, now we can only wonder what the cost per gallon will be then. BTW I am not rich, just a normal middle class guy with a wife and 2 kids.
 
I did a trip this time last year and fuel cost was right at $600, and based on current costs per gallon it would now be $920. I know that sucks, but if $300 is going to make or break you chances are you should not be vacationing or own an rv right now anyway.



BTW I am not rich, just a normal middle class guy with a wife and 2 kids.





That's kinda how I feel. The cost sucks, but if you can't afford it you probably shouldn't be going anyways.



I myself have already done a 4,000 mile trip this year and have a bunch of 2-400 mile trips planned for the summer.
 
We're still going on our 2 week trip to the northwest this year. We missed one trip this year because of weather, so a little savings there. I'll be a little more frugal in other areas to make up the difference. Not going is not an option. I have to get out of here!:-laf I can't let my family miss out on too much because of all the stuff that goes on in the world that I can't control.
 
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