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001-RVB_0808_LO_FrtCover-r
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RVBUSINESS.com
VOLUME 59, NUMBER 5, AUGUST 2008
©
Bontrager family matriarch
Bertha Bontrager-Rhodes
with granddaughter Amber
Gorsuch, son Derald, grandson Jason, and son Wilbur
RV/MH Hall of Fame Popularity Growing
Among Industry Event Planners, Tourists
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2009 Product Preview: Monaco, Pilgrim,
Gulf Stream, Four Winds, KZ RV, Damon
.com
Congressional Hearings Underscore Lack
of National Formaldehyde Standards
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23
VOLUME 59, NUMBER 5, AUGUST 2008
DEPARTMENTS
4 State of the Art
18 In Brief
47 Public Domain
48 Retail Trends
50 Ad Index
38
56 Classifieds
TOP OF THE NEWS
7 Hearings Underscore Lack of National Formaldehyde Standards
7 Baird Survey: Economy Takes Heavy Toll on RV Manufacturers
7 McCain Landslide Routs Obama in RVB Presidential Straw Poll
8 Sixteen Industry Execs Compete for Nine RVIA Board Seats
8 May RV Shipments Decline as Consumers Wait Out Economy
10 RV OEMs Make Workforce Reductions Due to Market Conditions
12 Study Gauges Retail Experience for Shoppers of Class A Coaches
16 Sobel on Sales: Why Certain Dealers Thrive in Tough Times
18 Guest Commentary: We’ve Worked through Tough Times Before
THIS PAGE: The amenity-laden interior of
KZ RV’s Palais Royale prototype is everything you
would want of a fifth-wheel RV expected to price out
in the neighborhood of $125,000 (page 38). David
Woodworth’s collection of pre-WWII RVs recently
went on display in the Boots and Betty Ingram Hall
at the RV/MH Hall of Fame (page 23).
NEWS IN FOCUS
23 Woodworth Exhibit Boosts Visitation to RV/MH Hall of Fame
2009 PRODUCT PREVIEW
30 Monaco Celebrates 40th Anniversary, Debuts Lightweight Lines
34 Gulf Stream Dealer Meeting Highlighted by Sterling-based ‘C’
36 Four Winds, Mandalay Host Dealer Open House in Michigan
38 KZ RV Unveils High-End Fifth-Wheel ‘Palais Royale’ Prototype
41 Damon Dealers View New Del Ray Class C, 31-Foot Avanti Diesel
43 Pilgrim Showcases New ‘Green’ Composite Fifth-Wheel Lines
COVER STORY
26 Bontrager Family Guides Jayco Corp. Toward Top of Industry
SUPPLIER SHOWCASE
53 Thetford Corp. Takes RV Sanitation, Refrigeration Systems Global
COVER: Jayco Corp. has come a long way from its
founding by Lloyd Bontrager in 1968. Still familyowned and operated, the RV powerhouse shipped
about 36,000 units in fiscal 2007. While Lloyd’s
widow, Bertha Bontrager-Rhodes, is no longer connected with the company’s daily activities,
other family members
are: Amber Gorsuch is in
marketing communications, Derald is president and COO, Jason
is director of product
planning for Starcraft
Inc. and Wilbur is
chairman and CEO.
Photo by Shawn Spence.
RV Business (USPS 920-340) is copyrighted 2008 by TL Enterprises
Inc. in the United States, Canada, Great Britain and other countries.
Publication Sales Agreement No. 1938495 Canadian return address:
Affinity Group Inc., 2575 Vista Del Mar, Ventura, CA 93001. All
rights reserved. Permission to reprint or quote excerpts granted only
upon written request. Periodicals postage paid at Ventura, Calif. 93001,
and additional mailing offices. POSTMASTER: Send address changes
to RV Business, PO Box 17126, North Hollywood, Calif. 91615-7126,
(866) 238-3237, fax (818) 760-4490. Address all correspondence and
editorial material to the Ventura, Calif., office. RV Business is published
monthly. Subscription rates: U.S. and Canada, $79 a year; $149 for two
years. Foreign subscriptions, $129 a year. Single copies are $11.95.
Advertising rates are provided on request. RV Business is published by
TL Enterprises Inc., 2575 Vista Del Mar Dr., Ventura, Calif. 93001,
which also publishes Trailer Life, MotorHome, Rider, Trailer Life’s
Campground/RV Park & Services Directory and Highways for the
Good Sam Club. TL’s Book Division currently has 11 books in print.
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004-RVB_0808_LO_StateofArt
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B Y
Page 4
S H E R M A N
G O L D E N B E R G
STAFF
Sherman Goldenberg
Bruce Hampson
WEB EDITOR Dave Barbulesco
ART DIRECTOR Steven Averill
SENIOR EDITOR Bob Ashley
MIDWEST EDITOR Steve Bibler
EDITOR AT LARGE Jeff Crider
PHOTOGRAPHY DIRECTOR Shawn Spence
CONTRIBUTING TECHNICAL EDITOR Chris Hemer
PRODUCTION DIRECTOR Bob Dawson
VP/RV TRADE PUBLICATIONS
S T A T E
O F
T H E
A R T
EDITOR
The RV Industry Isn’t Going
Away — But It Will Probably
Need to Reinvent Itself
magine, if you would, a stroll through a large recreational vehicle
show two or three years from now and how it might look — even
though you may be wondering right now whether there will even
be an RV industry two or three years from now, given the sorry current state of the American marketplace. Well, farsighted insiders are
convinced there will be an industry down the road — and that some
of its products may look a lot different after all these economic
storms pass and some semblance of normalcy returns.
The bad news is that, because of the economic upheaval we
are currently experiencing, the industry has no choice but to
change and flex with the times. But the good and rather exciting
news is that there are no limits to the inventiveness and ingenuity of the human mind and what it can generate in terms of
marketable new concepts. In fact, some of these new-age products
may well stand a chance of breaking through the ever-aging buyer
demographic with which the industry’s been dealing for a bunch of years to reach a
younger tier of consumers. Yes, the same cerebral stuff that drove us to land a man on
the moon and construct the Internet more than likely will reshape the traditional RV
market, just like it did in the early years of the industry when all of the current product types were created as companies like Jayco Inc. (see our cover story) were founded
and a lift system on a folding camping trailer was a truly novel idea.
Heck, we can do that again — reinvent the wheel to meet the tastes of the current
marketplace — many times over.
My guess is that the typical towable of 2012 will likely be a combination of the past
and future. Can’t imagine that all of the larger equipment will simply disappear, but
it will more than likely be accompanied at a 2012 retail show by a growing array of
smaller designs equipped with ramps and tents and collapsible structures and telescoping slideouts and other accessories that expand the available living space without
enlarging the footprint and profile of the unit itself. And, of course we can see
elements of these designs today in a wide variety of RV brands, from Starcraft to
Fleetwood, Airstream to Dutchmen, TrailManor to Hi-Lo and Livin’ Lite.
On the motorized side, I
just can’t help thinking that
somebody — some inventive soul in some small
studio on the West Coast,
perhaps — may well come
up with blueprints for a
downscale cutting-edge
motorhome not unlike the
aerodynamic, 6,500-poundGVWR Vixen 21. The aesVixen
thetically pleasing 21-footer
developed by Vixen Motor Co. suffered a quick and disappointing demise after its
1986 introduction — perhaps because it was built before its time.
Hold on to your seat, and don’t give up hope. The best, in a smaller sort of way, may
be yet to come.
I
SENIOR ADVERTISING
Brenda Hutchinson
Olivia Long
PREPRESS SPECIALIST Gerald Vandiver
IMAGE EDITOR Robert Peterson
ASSISTANT CIRCULATION DIRECTOR Jill Anderson
CONSUMER MARKETING MANAGER Eve Smith
FULFILLMENT MANAGER Denise Vigstol
PRODUCTION MANAGER
PRODUCTION COORDINATOR
TL ENTERPRISES INC.
Stephen Adams
Michael Schneider
SENIOR VP/CFO Tom Wolfe
CHAIRMAN
PRESIDENT & CEO
VP/PUBLISHER/
RV CONSUMER & TRADE PUBLICATIONS
VP/CONTROLLER
Bob Livingston
Dale Hendrix
VP/EXECUTIVE DIRECTOR
Susan Bray
Kevin Hobbs
VP/TL DATABASE PUBLISHING Joe Daquino
OF GOOD SAM CLUB
VP/MARKETING
SENIOR DIRECTOR OF
CLUB & PUBLICATIONS MARKETING
CHAIRMAN & PUBLISHER EMERITUS
Ken Hurd
Art Rouse
EDITORIAL /BUSINESS OFFICE
2575 Vista Del Mar Drive, Ventura, CA 93001
(805) 667-4100; Fax: (805) 667-4484; [email protected]
ADVERTISING
Terry Thompson
Sue Panchenko (Mgr.), Angela Pezzullo
BUSINESS MANAGER Denielle Sternburg
ADVERTISING SALES PROMOTION MGR. Barbara Keig
P.O. Box 8510, Ventura, CA 93002-9912
(805)667-4100; Fax: (805) 667-4379
Elkhart, Indiana
MIDWEST SALES DIRECTOR Chuck Lasley
ADVERTISING SALES Tacy Hendershot
2300 Middlebury St., Elkhart, IN 46516
(574) 295-7820; Fax: (574) 522-0418
ADVERTISING SALES Paul Gillerlain
(219) 324-4740; Fax: (219) 324-6564
Seattle, Washington
ADVERTISING SALES Scott Oakes, John Marciano
1818 Westlake Ave., Seattle, WA 98109
(206) 283-9545, fax (206) 283-9571
VP/RV ADVERTISING SALES
CLASSIFIED
Automotive Accounts
CROMPTON HOLDINGS Scott Crompton
2031 Fernway Drive
Montgomery, AL 36111
(334) 613-2040, fax: (334) 356-7740
As Vice President of RV Trade Publications for TL Enterprises Inc., Sherman Goldenberg,
based in Elkhart, Ind., oversees RV Business & Woodall’s Campground Management.
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what if they found you?”
We have a terrific product.
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And over 1 million names of current RV buyers on our
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See why dealers can sell over 1 million dollars a year,
at some of the highest margins in the industry.
The New TrailManor. It’s something to see.
For your dealer pack and DVD, call 1-800-707-7061
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007-RVB_0808_LO_TOP
7/16/08
TOP
News
OF THE
Baird Survey: Economy
Takes Toll on RV OEMs;
‘Turnaround Must Await
Boost in Confidence’
The latest quarterly survey conducted by Robert W. Baird & Co.
gauging RV dealer sentiment states
the obvious: “conditions are brutal.”
The investment firm contacted
137 RV dealers during the second
quarter to assess recent trends.
“Retail remains soft and traffic
deteriorated as the quarter progressed. We lowered our already
pessimistic estimates, and see no
evidence of a cyclical rebound,” said
analyst Craig Kennison. “Fundamentally, we believe consumer confidence
(oil, housing, economy) must
improve to spur a recovery.”
Kennison continued, “This RV
cycle has been particularly nasty.
The downturn has been nearly twice
as long and twice as deep as the last
cycle. At the current 2008 pace,
motorhome registrations will drop to
35,000 units, down 43% from
62,000 units in 2004 and more than
11,000 units below the bottom of the
last two cycles. We believe a cyclical
recovery could begin sometime next
year assuming consumer confidence
rebounds and borrowing conditions
improve.”
The Baird survey had these
findings:
continued on page 20
Thor’s Riegel Slated
to Speak at RVDA
International Confab
The Recreation
Vehicle
Dealers Association (RVDA)
announced June
24 that Thor
Industries Inc.
COO Richard
“Dicky” Riegel
Richard Riegel
will be a speaker during a Sept. 25 “special general session” as part of the RV Dealers
International Convention/Expo.
Riegel will offer his perspective
on the trends shaping the future of
the RV retail sector — including RV
product design, marketing and concontinued on page 20
3:51 PM
Page 7
Congressional Hearings Underscore
Lack of U.S. Formaldehyde Standards
Four RV Industry Execs Appear Before House Committee Investigating Elevated
Levels of Gas Found in Some Emergency Living Units; Chairman Waxman Admits
‘Confusing Array of Formaldehyde Standards’ Exist Among Federal Agencies
“Scientifically unfounded allegations” led to four
Indiana RV executives being called to task in front
of a U.S. House committee for high formaldehyde
levels in travel trailers they sold to the Federal
Emergency Management Agency (FEMA) to house
victims of Gulf Coast hurricanes, according to a
Hoosier congressman.
“(RV manufacturers) have faced a relentless barrage of attacks from Congress that have largely
ignored science and instead relied on anecdotes
that could be as much motivated by lawsuits than
anything else,” Rep. Mark Souder, R-Ind., said following the four-hour July 9 hearing before the
House Committee on Oversight and Government
Reform, of which the Grabill, Ind., congressman is
a member.
Formaldehyde is a naturally occurring compound
used in construction materials that vents into the air
as a colorless gas with a pungent aroma that, at
high levels, can cause headaches, burning eyes
and throats along with breathing difficulties and is a
suspected carcinogen for which no “safe” levels
have been established.
The hearings were called by the committee amid
widespread media coverage after the Centers for
Disease Control and Prevention (CDC) tested 519
trailers purchased by FEMA and found high
formaldehyde readings in a handful of them.
Committee Chairman Rep. Henry Waxman,
D-Calif., directed most of the committee’s attention
toward James Shea Jr., chairman of Gulf Stream
Coach Inc., Nappanee, Ind., which sold 50,000
travel trailers to FEMA for hurricane victims.
Waxman contended that Gulf Stream itself found
high levels of formaldehyde in 50 trailers the
RVBUSINESS.com
company tested in
Louisiana in 2006
— 11 of which
were occupied —
and didn’t inform
FEMA or the trailers’
occupants.
Shea, for his part,
described the readings as “screenings” that were
taken casually by an
employee who later
realized he had
James Shea Jr.
not operated the
equipment properly.
“It certainly was
not testing,” Shea
responded.
As Waxman used
terms like “shameful” to describe Gulf
Stream’s actions,
he, too, acknowledged the “confusing array of formal dehyde standards”
established by the
various
federal
Peter Liegl
agencies, including
the Department of
Housing and Urban Development, EPA and OSHA.
“Companies that built these trailers are just not
accepting any of the responsibility,” he said.
McCain Routs Obama in
INDUSTRY POLL Presidential Straw Poll
67% of Respondents Select Longtime Arizona Senator, Citing His Experience and
Honesty; Freshman Illinois Senator Selected by 25%; Libertarian Barr Carries 2%
JOHN McCAIN BY A LANDSLIDE.
At least that’s the consensus from the
recreational vehicle community, according
to the latest RVBUSINESS.com Industry
Poll that asked respondents to weigh in on
November’s presidential election.
Fully 67% of the 346 participants cast
their ballots for Republican Senator
McCain. Democratic Senator Barack
Obama was a distant second at 25% while
Libertarian Bob Barr carried 2% and
another 6% were undecided.
The overwhelming factor among
McCain supporters was his level of experience.
“There are several key issues, including
national security, taxes and the economy,”
said a member of the supplier community.
“Obama is inexperienced and has no track
record to be qualified to lead our country.
It’s somewhat unbelievable he has gotten
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007-RVB_0808_LO_TOP
7/16/08
3:51 PM
Page 8
of the NEWS
Candidates to Vie for Nine RVIA Board Seats
16 Industry Execs Compete for Manufacturer, Supplier Places with
Association’s Governing Body; This Year, Voting Can be Done Online
The Recreation Vehicle Industry Association’s (RVIA)
Nominating Committee has selected 16 candidates that
will be competing for nine seats on the board during
August’s association elections.
Seven candidates are vying for five three-year manufacturer seats, including: DeWayne Creighton,
Dynamax Corp., Elkhart, Ind.; Doug Gaeddert, Forest
River Inc., Elkhart; Bob Olson, Winnebago Industries
Inc., Forest City, Iowa; Gerald Sell, Pilgrim
International Inc., Middlebury, Ind.; Dan Shea, Gulf
Stream Coach Inc., Nappanee, Ind.; Don Walter,
Starcraft RV Inc., Topeka, Ind.; and Rory Willett of
R.C. Willett Co., Cedar Falls, Iowa.
One two-year manufacturer seat is in contention this
year. Keith Hulsey of TrailManor Inc., Lake City, Tenn.,
and Matt Miller of Newmar Corp., Nappanee, Ind., are
vying for the spot.
The four candidates in the running for two three-year
term supplier seats are: Andrew Kuehnel, Fabrica; John
Regan, Fabric Services, Bristol, Ind.; Ed Thor, CoachNet, Lake Havasu City, Ariz.; and Art Wyatt, Dometic
Corp., Elkhart.
The three candidates competing for one two-year term
at-large seat include Craig Floyd, TRC, Clearwater, Fla.;
Britt Murphey, B&B Molders, Mishawaka, Ind.; and Bob
Parish, GE Capital Solutions, Tampa, Fla.
The official representatives from RVIA member companies will elect candidates in each category to serve on the
board. This year, voting for the board seats will take place
electronically.
Pre-ballots will be sent electronically on July 11.
Election ballots will be sent electronically to official reps
on Aug. 1, and voting can be done online. All new terms
begin Oct. 1.
This year's nominating committee is chaired by Jack
Tierney of Thetford Corp., Ann Arbor, Mich., and includes:
Norm Jacobson, Lance Camper, Lancaster, Calif.; Mike
Terlep, Coachmen RV Co., Middlebury; and B.J.
Thompson, B.J. Thompson Associates, Osceola, Ind. 6
KUEHNEL
CREIGHTON
WYATT
OLSON
PARISH
MURPHEY
FLOYD
SHEA
WALTER
GAEDDERT
THOR
SELL
REGAN
HULSEY
MILLER
WILLET
May RV Shipments Fall 25.6%; All Segments Down
As Consumers Wait Out Economic Uncertainties
Towable and motorized wholesale shipments showed marked declines in May as
dealers turn more conservative on ordering in
the face of flagging consumer demand.
According to the Recreation Vehicle Industry
Association (RVIA), overall May shipments fell
25.6% to 25,000 units compared with 33,600
in the year prior. For the five months, deliveries
fell 13.9% to 139,000 units from 161,500
in 2007.
All segments showed double-digit wholesale
declines in year-over-year comparisons for
May, led by a 58.6% drop in Class A deliveries
to 1,200 units compared to 2,900. Year-todate, Class A shipments were down 39.5%
with 8,900 units delivered versus 14,700 a
year ago.
8
May travel trailer shipments fell 22.9% to
13,500 units from 17,500 the previous year
while the sector was down 10.6% for the five
months with 73,600 units delivered compared
with 82,300.
Other highlights include:
■ Overall May towable shipments
decreased 21.5% to 22,300 units from 28,400
in 2007 and the motorized sector declined 48%
to 2,700 units compared with 5,200. Year-todate, towable deliveries dropped 11.3% to
121,300 units from 136,800 a year ago while
motorized deliveries declined 28.3% to 17,700
units versus 24,700.
■ May Class C shipments were down 35%
with 1,300 units delivered compared with
2,000 in 2007. Year-to-date the sector dropped
9.4% to 7,700 units from 8,500.
■ For the month, fifth-wheel shipments fell
15.5% to 6,000 units from 7,100 in 2007. For
the five months, the segment was down 10%
with 33,200 units shipped compared with
36,900 the previous year.
■ Class B deliveries were down 100 units to
200 in May and year-to-date dropped 400
units, or 26.7%, to 1,100.
■ May folding camping trailer shipments
declined 25.8% to 2,300 units from 3,100 a
year ago and were down 17.6% for the five
months with 11,700 units shipped versus
14,200.
■ Truck camper shipments fell 200 units to
500 in May and declined 600 units, or 17.6%,
to 2,800 year-to-date. 6
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009-RVB0808 PG 9 ZURICH
7/9/08
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abcWhat if an insurer
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Insurance solutions
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your risks, we offer specialized property and casualty insurance products, including
Unicover®, the policy we designed for dealerships. In the event of a covered loss,
our claims professionals have the knowledge to help you return to business as
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Page 10
of the NEWS
Work Force Reductions Rise as Builders Adjust to Soft Market
Rising Fuel Costs, Contracting Economy Force Manufacturers to Lower Production
Consumer confidence fell in June to
its lowest in 16 years as high inflation
continued to sap confidence and pushed
expectations for the future to a record
low, the Conference Board said on June
24. Manufacturers of recreational vehicles already knew that — total RV shipments through May have dropped nearly 14% compared to 2007 — and have
begun the painful process of furloughing
workers as assembly lines adjust to
reduced capacity.
Less than a week after the Conference
Board said its overall monthly measure
of consumers’ mood declined to 50.4 in
June — the lowest since 47.3 in February
1992 — from a revised 58.1 in May,
Tiffin Motor Homes Inc. told state officials it plans to lay off nearly 100 workers. Earlier, three other RV manufactur-
ers — Dutchman Manufacturing Inc.,
Newmar Corp. and
Fleetwood
Enterprises Inc. — announced plans to
lay off workers in response to a sluggish
market buffeted by rising fuel costs,
tightened credit and a sagging economy.
The Birmingham News reported that
General Manager Tim Tiffin confirmed
June 27 a filing the company made with
the Alabama Department of Economic
and Community Affairs that said it plans
to reduce its work force by 99 positions.
“It’s been a rough six months,” he said
of the company founded in 1972 by his
father, Bob.
Red Bay, Ala.-based Tiffin Motor
Homes has 800 employees after the layoffs, Tim Tiffin said. “We’ve had to
make some adjustments,” he said, declining to comment further on the issue.
Fleetwood’s Smith Sees Shift in Product Mix
As Buyers Move Toward Smaller Coaches
The recreational vehicle industry’s
make-up and product offerings will be
very different when it comes out of the
current downturn, the CEO of
Fleetwood Enterprises Inc. predicted
June 26 during an investors conference
call following the company’s fourth
quarter earnings report.
“Fuel prices certainly are going to
impact the RV industry long term and
will bring about a change in the type
of products and model mix we have to
offer, in terms of more efficient and
lightweight products,” said Elden L.
Smith, CEO of the Riverside, Calif.based firm.
“While I believe long term the RV
Country Coach’s Veranda Offers Open-Air Patio
Representing one of the year’s more innovative
design twists, Country Coach Inc. has introduced the
luxury Veranda Class A diesel pusher featuring an openair patio that extends from the side of the coach, much
like a slideout room. However, instead of sliding out, the
Veranda’s 41⁄2-foot by 13-foot deck automatically lowers
into place from the passenger-side wall via an HWH
hydraulic system. “It transforms the coach so that you
feel like you are out of doors,” explained Matt Howard,
vice president of marketing for the Junction City, Ore.,
company. In the setup mode, the cantilevered patio —
rated at 3,000 pounds capacity — can be closed off
from the interior of the coach by a set of hurricane-rated
sliding glass doors. When in the travel mode, the patio’s
railing becomes a two-foot-long window. The Country
Coach Veranda is available in five triple-slide floorplans
on Country Coach’s own Dynomax chassis with
GVWRs ranging from 45,200 pounds to 54,000
pounds. “The Veranda has tremendous versatility, and
can be thought of in a modular context,” said Howard,
noting that Country Coach plans to develop additional
floorplans around the Veranda concept. MSRPs range
from about $400,000 to $800,000. 6
10
Dutchmen Manufacturing Inc. said it
is laying off 116 workers at one of its
plants at the company’s headquarters in
Goshen, Ind., according to a report in
the Indianapolis Star.
Suzanne Randall, director of human
resources for Dutchmen, said the facility is older and less efficient than others.
Randall said the company intends to
consolidate production with undetermined facilities in Goshen and
Middlebury.
The towable builder, which employs
950 in Indiana and another 75 in Idaho,
notified the state Department of
Workforce Development of plans for
the Aug. 24 closure of its plant on
Steury Ave. om Goshen.
Dutchmen is also taking a two-and-acontinued on page 57
Camping World/
FreedomRoads
Buys Moturis RV
Rental Network
Camping World/FreedomRoads July 7
announced the acquisition of Zurich,
Switzerland-based Moturis RV Rentals. The purchase comes on the heels of Camping
World/FreedomRoads’ recent decision to enter
the RV rental market, the company announced on
June 12.
Moturis, which is the nation’s third-largest RV
rental company, will officially change its name to
Camping World RV Rental in the U.S. but will
continue to operate as Moturis RV Rentals and
Camping World in the international market.
According to its Internet website, Moturis
operates North American-based motorhome and
motorcycle rental locations in Boston, Chicago,
Denver, Ft. Lauderdale, Fla., Las Vegas, Los
Angeles and San Francisco and the Canadian
cities of Vancouver, Winnipeg and Ottawa and
Chiahuahua and Monterrey, Mexico. The company’s fleet consists of Class C motorhomes in
lengths of 22 to 31 feet, and 32-foot Class A units.
Moturis RV Rentals will maintain its international sales and marketing office in Switzerland.
The U.S. staff, procedures and products will not
change, although Moturis will move its Denver
and Los Angeles stores to larger locations in the
same cities.
According to a press release, Camping World
resources will allow Moturis’ fleet to be updated
more quickly, while extending the number of
rental locations and growing the overall number of
rental vehicles. 6
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Page 12
of the NEWS
Study Gauges
Retail Experience
for Shoppers of
Class A Coaches
Winnebago Itasca Ranked Highest in
2008 Pied Piper Prospect Satisfaction
Index Citing Anonymous Evaluations
At 583 RV Dealerships Across U.S.
Winnebago’s Itasca brand RV dealerships
ranked highest in the newly released 2008 Pied
Piper Prospect Satisfaction Index U.S. RV Industry
Class A Study, one of a series of annual national
benchmarking studies which measure how consumers are treated when shopping for a new car,
motorcycle, RV or boat.
Following Itasca in the rankings were Damon,
Monaco, Holiday Rambler and Beaver. Rounding
out the Top 10 were Alfa Leisure, Tiffin, American
Coach, Safari and Mandalay.
The 2008 study, conducted between June 2007
and April 2008 using anonymous shopper evaluations at 583 dealerships located throughout the
U.S., showed that overall RV industry sales effectiveness was unchanged compared to the previous year, but performance of the 22 individual
brands varied, with nine brands improving their
performance, five unchanged and eight declining.
Brands showing significant improvement included
Beaver, Tiffin and American Coach. Brands with
substantial declines included Spor tscoach,
Monaco and Fleetwood.
“Challenging consumer confidence, higher fuel
prices and less availability of home equity financing have created a tough environment for RV manufacturers and dealers,” said Fran O'Hagan, president of Pied Piper. “But we see examples of
brands and dealers who make the most of the
floor traffic they already have.”
Gamel Liquidating Remaining RV Dealerships, Selling Properites
In late 2007, Fresno, Calif., businessman Dan Gamel returned to the helm
of the corporation that carries his name
and the company’s six RV sales and
service centers that he had sold off
in 2005.
On June 27, Gamel announced that
he will begin liquidating the inventory
of all RVs in his remaining dealerships
and will close the doors for good once
the inventory is sold off.
Gamel’s current California locations
are in Bakersfield, Modesto, Rocklin,
Anderson, and two locations in Fresno
— his original RV sales center and the
flagship Camp America store that he
opened in a former Super K-Mart.
Earlier this year, Gamel closed three
of his under-performing stores in Santa
Rosa, Chico, Calif., and Yuma, Ariz.
After resuming his role in January,
Gamel said he quickly implemented
many programs designed to improve
performance and the company said it
“enjoyed increased sales during the first
quarter of 2008.” Gamel attributed the
increased volume to aggressive value
pricing and a “proprietary sales system”
known as Project 4, which computerizes the entire selling process and made
it possible for his team to sell RVs from
anywhere there’s an Internet conneccontinued on page 51
Affinity’s Patel Adds CMO Duties, New Business Development Role
Prabhuling Patel has taken on the expanded
role of chief marketing officer for Affinity Group
Inc. (AGI), parent company of RVBusiness magazine, while continuing to lead Affinity Ventures,
managing the Ventura, Calif., company’s products and services.
As CMO, Patel will be responsible for the overall coordination of all marketing efforts engaged in
by the company in the outdoor recreation markets
it serves, an AGI release stated. “His new role will
help Affinity to ensure that best marketing practices are embraced and followed across all business units, provide guidance to all business units
on maximizing corporate resources to reduce
12
unnecessary mailings to customers, promote
greater understanding of Affinity’s corporate marketing database by all marketers and encourage a
consistent and disciplined approach to new product ideas among business units,” according to the
release. “In addition, the new business development function will also be part of Prabhuling’s
new responsibilities.”
Patel has held a number of senior executive positions at direct marketing companies and also
served as an advisor to venture capital firms interested in making investments in the direct marketing
space. Additionally, Patel has served on the advisory board for the National Center for Database
Marketing and as a member of the Ethics Policy
Committee and co-chairperson of the retail operating group for the Direct
Marketing Association.
He
received
his
MBA from Columbia
University in New York
and his masters in electrical engineering from
the Indian Institute of
Science in Bangalore,
India. He will continue to
be based out of Affinity’s
Prabhuling Patel
Denver office. 6
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5:20 PM
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!SINGLESOURCE-ANYFINANCINGOPTIONS
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KEYCORP, CIRCLE 115 ON READER SERVICE CARD
!LLLOANSSUBJECTTOCREDITAPPROVAL
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Page 14
of the NEWS
Newly Formed MVP RV Debuts
Ultra-Lightweight Towable Line
Company Formed After Purchase of Thor California Inc.
Will Operate Out Of Same Manufacturing Complex
A proposed reorganization at regional
RV manufacturer Thor California Inc.
led instead to the purchase of the company by three members of management
and the formation of a new company —
MVP RV Inc. — that was announced
July 10.
Prototype of new Coast travel trailer
“Because of the proposed
reorganization we were
ahead of the game by the (L-R) Pablo Carmona, Roger Humeston and Brad Williams head up MVP RV
time we made the offer,”
said Brad Williams, president of Ind.-based Skyline Corp., has joined
Moreno Valley, Calif.-based MVP RV MVP as vice president of sales and marwho for a short time was Thor keting.
“In essence, the company stays the
California’s president.
Williams’ partners include same except for the name,” Humeston
former Thor California man- said. “California is a different market
agers Pablo Carmona, COO and Thor was losing its taste for busiand president of manufac- ness here.”
The stock purchase for an undisclosed
turing,
and
Roger
Humeston, CFO and amount came about when the trio prochief administrative offi- posed a company restructuring to Thor
cer. Paul Krutsch, most Industries Inc. COO Richard “Dicky”
recently a division sales Riegel. “We told him that in the event
manager for Elkhart,
Members of Congress Back RVIA’s
Stance on CAFE Standards, Towing
Efforts by the Recreation Vehicle Industry
Association (RVIA) urging the National Highway
Traffic Safety Administration (NHTSA) to consider
towing capability when setting new fuel economy
standards was bolstered when letters signed by 13
members of Congress were submitted to the
agency.
According to RVIA, five U.S. senators and eight
representatives signed letters asking NHTSA to identify towing capability as a vehicle attribute and to
establish an adjusted target level for vehicles capable of towing significant loads. The letters indicate
that such a consideration is necessary “in order for
vehicles used for towing recreation vehicles, trailers,
boats, farm equipment, animals, and commodities
to safely perform the functions required of them.”
Following the passage of a comprehensive energy bill in 2007 that contained increased Corporate
Average Fuel Economy (CAFE) standards for motor
vehicles, NHTSA is now looking at public comments
on the proposed standard for passenger cars and
light trucks for model years 2011 to 2015. RVIA
noted that the agency’s final decision on new fuel
economy standards could have a substantial impact
on the availability and safety of RV tow vehicles.
The letters bearing the congressional signatures
were largely a result of RVIA members’ efforts during Capitol Hill Advocacy Day, held in conjunction
with RVIA Committee Week in Washington, D.C.
Senators offering support included Mike Crapo,
R-Idaho, Ron Wyden, D-Ore., Debbie Stabenow, DMich., Carl Levin, D-Mich., and George V. Voinovich,
R-Ohio.
The House letter was endorsed by representatives
Baron Hill, D-Ind., Lee Terry, R-Neb., Mark Souder,
R-Ind., Robert Aderholt, R-Ala., Andre Carson, DInd., Jim Jordan, R-Ohio, Ken Calvert, R-Calif., and
Tim Walberg, R-Mich. 6
KOA Opts for Two National Jamborees
Kampgrounds of America Inc. (KOA) has
opted to hold two national conventions, or
“jamborees,” this fall — one on each coast
— for the convenience of its franchisees.
After a one-year experiment holding its
annual convention in concer t with the
National Association of RV Parks and
Campgrounds (ARVC) InSites Convention,
KOA decided to return to its own event, but at
two different regional sites.
Jamboree dates are Nov. 8-10 at the
Sheraton Myrtle Beach in Myrtle Beach, S.C.,
and Nov. 18-20 at the Sheraton Suites Fairplex
14
in Pomona, Calif. The jamborees were scheduled around ARVC’s InSites Convention,
which is scheduled for Nov. 12-15 in
Nashville, Tenn.
The jamborees will mirror each other,
explained Mike Gast, vice president of communications for KOA. Both jamborees will be
equally staffed by KOA corporate managers and
feature similar seminars and vendor shows.
KOA picked the two coastal sites to cut
down on travel expenses for its franchisees
and make it easier for them to attend, Gast
explained. 6
Patrick
Industries
Looks to
Grow Market
Share
Elkhart, Ind.-based Company
Looking for Other Acquisitions
After Purchase of Adorn
Holdings Inc. in May 2007
The purchase of Adorn Holdings
Inc. in May 2007 was the largest
acquisition that Patrick Industries
Inc. had made since its founding in
1959, according to a report in The
Truth newspaper of Elkhart.
Now with a former Adorn leader
handling the daily operations, the
Elkhart, Ind.-based company is
looking for other acquisitions in
order to serve its customers better
and to enter new markets.
“There are a number of industries
that we need to have our minds
open to,” said Todd Cleveland, president and COO at Patrick.
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015-RVB0808 PG 15 RVIA
7/9/08
5:20 PM
Page 15
ROLL WITH THE BEST
5 ) "/ / 6"-
5 ) " //6" -
National RV Trade Show
California RV Show
OPEN TO THE TRADE ONLY
%&$&.#&3o
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-PVJTWJMMF,FOUVDLZ
Turn out for the UI"OOVBM/BUJPOBM375SBEF
4IPX and turn over inventory in the year ahead.
Everything you need to excite your customers
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leading recreational vehicle manufacturers and
suppliers on hand to showcase the latest type A, B
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merchandise, accessories, component parts and
more. Discover what it takes to give your bottom
line a positive spin at the Outlook 2009 breakfast.
Mark your calendars now and get ready to roll with
the best! Call to learn more.
0$50#&3o
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Make a move and be a part of the west coast’s
biggest, longest-running and most popular event
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RVIA’s UI "OOVBM $BMJGPSOJB 37 4IPX! See
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1896 Preston White Drive
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Suite 150
Riverside, CA 92506
703-620-6003
951-274-0696
RECREATION VEHICLE IND ASSOC, CIRCLE 102 ON READER SERVICE CARD
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Page 16
of the NEWS
Sobel on Sales
Why Certain
Dealers Thrive
in Challenging Times
■
BY RANDY SOBEL
or purposes of discussion, let’s
say that in the year 1900 it took
100 acres of land to produce
100 truckloads of crop. Fifty years
later, with new more powerful
equipment and better seeds and
soil, only 50 acres of land was needed produce the same 100 truckloads
of crop. Today, yet another 50 years
later, we can produce the same 100
truckloads with just 10 acres. The
point being made: In every industry,
every day, technology is the great
equalizer to inflation. In my print
business, for example, we have not
raised our prices to our clients in
more than 18 years. While costs of
employees and paper continues to
increase, the cost to print and time
for production go down at an equal
rate!
How does this apply to the RV
business? In the sales department,
change “technology” to technique,
and “land fertilization” to client
development. First, determine if
your technique is keeping up with
the changing times. For example,
just 20 years ago we had clients
with equity in their trades and no
one shopped on the Internet — has
your selling style or system changed
with the times?
I recently trained with a salesperson who had just been informed by
his owner that, due to a downturn in
the market, he was going to lay off
many employees. You can imagine
how this left the salesperson feeling. However, because I have
known this person for eight years, it
was an easy fix. I asked the salesperson how many fresh clients he
needed per month in the year 2000
to make the $75,000 he earned.
F
Because the store kept great logs,
we knew the answer was 77. I then
asked that same salesperson how
many fresh clients he needed in
2004 when he made $120,000. He
answered 48. Lastly, I pointed out
that he made close to $185,000 in
2007 — and yet only averaged 27
fresh clients per month.
After a brief discussion it became
evident that the reason for needing
fewer clients to make more sales
was twofold. First, the salesperson
had continued to acquire more and
more modern sales techniques
through the years; and, second, he
replaced fresh clients with repeat
and referral clients who have a higher closing ratio. The salespeople
who are struggling today waiting for
fresh clients and not learning new
techniques are not paying attention
to gravity: You can only coast one
way — downhill!
In this and future columns in
RVBusiness, we will explore new
techniques that are effectively working in today’s changing market. We
will also examine the keys to building a client base that should help to
insulate you from slow times. There
is one other key factor that must be
addressed before we do that, however: Referring back to farming, are
you using the “high-quality seeds”
— and is your soil fertile enough to
grow your business?
The “seeds” refer to the quality of
your salespeople. On many occasions I have heard managers say,
“We can’t hire that guy. He made
too much in his previous job — he’ll
starve here!” I disagree. Winners
are winners. With more than 60,000
Randy Sobel, President of Sobel and Associates, Inc is a faculty member for the RVDA Education Program
and a frequent speaker at RVDA National and State Association conventions. Sobel and Associates, Inc.
currently provides training for Management and Salespeople in over 400 RV Dealerships throughout the
U.S. and Canada. For questions please contact us at (800) 952-1765 or [email protected].
RVDA Offers Tips
on Dealing with
Defunct OEMs
Association Recommends That Dealers
‘Reevaluate Manufacturer Business
Partners,’ Determine Exposure to Risks
EDITOR'S NOTE: The following is an
article from RV Executive Today, published by
the Recreation Vehicle Dealers Association
(RVDA), outlining strategies for retailers who
have done business with manufacturers that
have ceased operations.
A few RV manufacturers recently
filed bankruptcy and halted production
while some others simply went out of
business, creating additional challenges
for the dealers who sold those manufacturers’ products in the past or who
have those builders’ products in their
inventory.
Dealers can easily find themselves
owed tens of thousands of dollars, or
more, from manufacturers for warranty
reimbursements, incentives and other
spiffs that become virtually uncollectible
once the manufacturer ceases its business operations. This challenging business environment necessitates RV
dealers to reevaluate their manufacturer
business partners, and determine their
exposure to risks from a manufacturer.
So, how can dealers handle sales of
existing units, warranty obligations,
financing and some other issues when
a manufacturer does go out of business? RVDA offers the following
considerations:
■ Discuss with your dealership’s
attorney the possibility of titling the
out-of-business manufacturer’s units in
your dealership's name, and selling
them used with a limited express warranty, or “as is.”
■ If you sell the vehicle as new, there
needs to be full disclosure as to the
manufacturer’s inability to pay for warranty work and, likely, a prominent disclosure on the bill of sale.
■ Review your contracts with consumers who bought units built by the
defunct OEM to see if you assume
responsibility for the warranty work. In
some cases, paperwork may indicate
that the only warranty is the manufacturer’s warranty, and only the manufacturer is responsible for warranty work.
16
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of the NEWS
Indiana Startup to Debut Travel Trailers NHTSA Issues Latest
Company Grows After Initial Success Marketing Ultralight Units on Internet
RV-Related Recalls List
“We’ve shrunk things down a bit and tightened up
the production line,” he said.
The
laminated
fiberglass-and-aluminum
Waterfall SURV travel trailer and Cascade Classic
each come in two 191⁄2-foot floorplans without
slideouts to keep the weight down, Miller said. The
Waterfall SURV, weighing 3,640 pounds dry
weight, features a 7-foot deep garage. The radius
front ends of both the Waterfall and Cascade are
designed to be more aerodynamic. “A six-cylinder
SUV can easily pull these units,” Miller said.
“Weight is very important,” he added, echoing
a theme heard frequently around the industry
these days. “We want to stay with smaller units
that can be pulled by half-ton pickup trucks.”
Cascade MSRPs start from $14,500; Waterfall
begins at $15,500. 6
The National Highway Traffic Safety
Administration (NHTSA) has issued
recall notices for the following products
related to the recreational vehicle industry:
■ 265 (2007) Damon Intruder (373,
374, 378), (2007-2009) Outlaw (3611),
and (2009) Challenger (371, 376, 377,
378) motorhomes built on Ford chassis
for failing to comply with the certain
Federal Motor Vehicle Safety Standard
labeling requirements.
■ 478 (2007-2009) Dutchmen
N’Tense, Victory Lane, and Winner’s
Circle travel trailers built without rear
reflex reflectors for noncompliance with
Federal Motor Vehicle Safety Standard
involving “Lamps, Reflective Devices, and
Associated Equipment.”
■ 22 (2009) Monaco Coach Corp.
Alumascape fifth-wheel, Alumascape
Suite and Presidential travel trailers for
non-compliance with FMVSS standards
regarding incorrect labeling of tire pressures information.
■ 213 (2007-2008) Spartan Chassis
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Riverside RV Inc., a small, startup northern
Indiana travel trailer manufacturer, intends to show
its ultralight units to the general public for the first
time at the Pennsylvania RV and Camping Show
Sept. 8-14 at the Giant Center and Hersheypark
entertainment complex in Hershey, Pa.
The fledgling firm has experienced some initial
success in marketing its Waterfall sport utility trailer and the traditional Cascade Classic travel trailer
on the Internet, specifically on eBay, according to
Riverside Vice President Ora Miller.
“A lot of dealers don’t want to take on a new
product at this time,” said Miller, a principal in the
company along with President Gary Yoder, both of
whom are former Keystone RV production managers. “I think once we get to the market, more
dealers will be interested. As far as eBay goes,
we’ve gotten a tremendous amount of
retail action from people. And we've had
quite a bit of interest from Canadian
dealers.”
While production launched in
February at Riverside’s 11,000-squarefoot factory south of Bristol, Ind., currently only one or two units a week are
moving down the line. However, Miller
said the company is prepared to
increase that rate when the retail RV
market begins to recover, which he
expects won’t happen until early 2009.
AU G UST
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of the NEWS
Roadmaster Set to Move, But Plans for Fewer Jobs
Portland, Ore.-based supplier Roadmaster Inc.
will move into its new facility in Vancouver, Wash.,
this fall, but the company will only transfer 150 jobs
instead of the 300 jobs announced last year.
“We’re down 50% in sales,” Jerry Edwards,
Roadmaster founder and president of Roadmaster,
told the Columbian, Vancouver. He attributed the
downturn to skyrocketing fuel prices that have
greatly affected the bottom line for Roadmaster,
which makes and sells tow bars for motorhomes.
He does not expect that to change his compa-
ny’s plans for its 98,000-square-foot, $11 million
building, which is nearly finished. The company will
move out of three smaller buildings in Portland,
relocating its metal presses and welding machines
and 150 employees. The Columbian reported that
most of those employees work on Roadmaster’s
assembly line as welders, machinists and assemblers who earn between $9 and $22 an hour.
Edwards said he has postponed plans to build a
second building next to his company’s new
Vancouver facility.
NHTSA Recalls
Fleetwood Enterprises Inc.: Certain
Class A gas and diesel motorhomes, Class
C motorhomes, and conventional and
fifth- wheel travel trailers:
■ Jayco Inc.: 74 (1999-2001) Jayco
Designer fifth-wheel trailers.
■ Foretravel Inc.: 3 (1998-1999 and
2001) Foretravel U320 coaches equipped
with Norcold refrigerators.
■ General Coach: (2000) General
Coach Corsair Excella trailers.
■ Monaco Coach Corp.: Certain
motorhomes.
■ Carriage Inc.: 187 (2001-2002)
Carriage
Carri-Lite,
(1999-2001)
Carriage, (2000-2002) Carriage LS and
(1999-2001) Royals towables.
from page 17
MM, and (2008) K2, K3 and SU
motorhome chassis due to certain chassis
fastener issues.
■ 1,732 Atwood water heaters,
Models 96202, 96117, 96110, 94186,
and 94180, manufactured between May
20 and June 9, 2008, installed as original
equipment in various recreational vehicles and sold as aftermarket or replacement equipment. The water heaters were
produced with gas valves that can leak
internally.
Meanwhile, the following recalls have
been issued with regard to an ongoing
Norcold refrigerator recall:
RVDA Tips
from page 16
■ In some states, it may be illegal to
sell a new vehicle without a warranty, or
to sell a vehicle as new if the manufacturer is no longer licensed to do business
in the state.
■ In the recent past, lenders have told
dealers they will not accept financing
requests for new or used units built by
manufacturers who had gone out of
business.
■ If a bankruptcy reorganization
turns into a liquidation, discuss with
your dealership’s attorney whether your
good faith effort to repair a customer’s
warranty issue, without seeking reimbursement, is inconsistent with your
disclaimer of implied warranties, and
whether you may be obligated for additional repairs.
There may be some lessons learned
from National RV Inc.’s bankruptcy in
late 2007. The following information,
posted on the company’s website, provides insights into issues dealers may
need to consider if there are rumors of
another manufacturers’ bankruptcy. It
reads: “National RV cannot make war18
ranty payments to dealers or consumers.
Dealers seeking reimbursement for warranty work must file a claim with the
U.S. Bankruptcy Court in Riverside,
Calif., in order to, possibly, get paid.”
The company also advised dealers “to
work directly with your customer to
determine the best course of action”
concerning warranty repair issues.
National RV recommended consumers seeking payments for warranty
work make a claim through their
third-party extended-service contract
provider, if they have one. National RV
added that warranties covering the
chassis, engine, appliances and other
non-National RV components remain
in effect.
National RV said it no longer can
help dealers obtain replacement or
repair parts and cannot pay for any
recall-related repairs. However, the
company “strongly advises that dealers
work directly with any customers
involved in any National RV recalls to
have the recall repairs performed at the
earliest opportunity.”
Dealers seeking rebates or spiffs from
National RV must file claims with the
bankruptcy court. 6
IN BRIEF
DoubleTree Changes Company
Name to DRV. Howe, Ind.-based recreational vehicle builder DoubleTree RV LLC
has changed its name to DRV LLC due to
recent federal legislation governing trademark law, according to the company. DRV
said that DoubleTree is the name of a hotel
chain that was purchased by Hilton Hotels.
DRV, which uses an Edwardian Script font
to differentiate the “D” in the new company
name, emphasized that it has not undergone any ownership change and its lineup
of products remains the same. The northern Indiana manufacturer produces Mobile
Suites, Elite Suites and Select Suites fifthwheels.
Friend Partners With Cottonwood
Software. Friend Communications,
Orange, Calif., has partnered with
Cottonwood Software LLC to expand its
software portfolio and offer RV parks and
campgrounds “another solution for frontoffice operations.” Cottonwood's locallyinstalled Campground Master front-office
and property management system will
integrate with the Friend online booking
engine. Friend said that Campground
Master customers will not notice a change
in the software or support, but will receive
enhanced benefits from the Friend online
booking engine, as well as increased
exposure on Camping.com and the
Friend network.
Lemonis Recognized with Ernst &
Young Award. Camping World/
FreedomRoads announced that Chairman
and CEO Marcus Lemonis received the
Ernst & Young Entrepreneur Of The Year
2008 Award in the emerging entrepreneur
category of the Midwest regional program.
Lemonis was selected by an independent
panel of judges, and the award was presented at a June 26 event at the Hilton
Chicago. As a Midwest award winner,
Lemonis is now eligible for consideration
for the Ernst & Young Entrepreneur Of The
Year national program, which is marking
its 22nd anniversary this year.
Lippert Acquires Patent for RV
Jack Stabilizer. Lippert Components,
Inc., a subsidiary of White Plains, N.Y.based Drew Industries Inc., acquired the
patent for “JT's Strong Arm Jack
Stabilizer,” and other intellectual properties and assets, from JT's RV Accessories.
The purchase price of $3 million was
funded from available cash. Jim Thorpe,
the president and CEO of JT's RV
Accessories, entered into a three-year
employment contract with Goshen, Ind.based Lippert Components. 6
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Industry Poll
7/16/08
3:53 PM
Page 19
from page 7
this far.”
Other poll participants in McCain’s
camp offered:
■ “McCain is one of the most honest men in Washington,” observed a
dealer. “He is not a perfect man, but
his integrity is never in doubt. He honestly believes in the dream we call
America and what it stands for. He
believes that actions speak louder than
words. I think he would be a great
leader of America.”
■ “I think this country needs a
strong business leader,” responded a
dealer. “We need someone with a pride
in the roots of this country and with a
proven track record of being a proud
American citizen. I have not seen any
of these traits in Obama.”
■ “Obama has promised a tax-andspend environment that has proven
detrimental to business development
in the past,” said another retailer. “As
such, I would expect his policies to
negatively impact the recreational
vehicle business.”
Obama supporters were equally passionate:
■ “This country needs change in
many ways and I believe that Barack is
the best person to do that,” said a supplier. “Our industry is hurting and
something needs to change to help
people feel comfortable spending
money again.”
■ “I believe Obama has the intelligence, judgment and temperament to
deal with the hard issues and make
smart decisions that will benefit our
entire country and not just the
wealthy and big businesses,” said a
dealer. “We need someone who will
unite our country, find a way to provide universal health care for all,
protect and improve our environment,
motivate alternative energy research
and development, emphasize diplomacy instead of force in the world and
stabilize our economy. I strongly
believe Barack Obama can make these
things happen.”
Among those respondents still
undecided, a dealer noted: “I’m not
sure either will be best for our country
at this critical point. All have had
ample opportunity to prompt ‘change’
to the path our country is on and have
failed to do so. I see status quo or
worse for the next four years.” 6
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Contents
COACH NET, CIRCLE 107 ON READER SERVICE CARD
007-RVB_0808_LO_TOP
007-RVB_0808_LO_TOP
7/16/08
3:53 PM
Page 20
of the NEWS
Baird Survey from page 7
GUEST
COMMENTARY
BY BO B TI FFI N
President, Tiffin Motor Homes I n c .
Things Are Really Pretty Good
We’ve Worked Through High Fuel Prices and Tough Economies Before
The U.S. and world economies affect
each of us in different ways, depending
on our liquid assets, our liabilities and
how we are invested. Of course, that is
equally true of all businesses.
Looking at Tiffin Motor Homes’
(TMH) 35-year history, the economy
had a profound effect on sales during
the years 1973-’75 and 1979-’81 and
part of 1982. The primary factor in
those years was the price of oil.
How was TMH affected? In
January 1973, our first year of operation, we were building one
motorhome a day. We began to hear
rumors of the Arabian oil embargo in
the early summer and did not think
much of it. But by fall, we were seeing
long gas lines every night on television. Inflation and high interest rates
brought our business to a crawl. The
Federal Reserve raised interest rates to
curb inflation — and that brought the
economy down. In 1973 we built 232
units — but the last two months of that
year, we only built six motorhomes …
and during the first four months of
1974 we built just 12 units.
The Arab oil embargo was really
caused when Syria and Egypt attacked
Israel on October 5, 1973. After the
U.S. and other western countries
showed support for Israel, several Arab
exporting nations imposed the embargo on the countries supporting Israel.
Production was reduced by five million
barrels per day (MBPD). Only one
MBPD was made up by the increased
production of other countries. The
deficit of four MBPD was extended
through March 1974.
If there was any doubt that the
Organization of Petroleum Exporting
Countries (OPEC) could control
crude oil prices, it was removed during
20
the embargo. The extreme sensitivity
of fuel prices to supply shortages
became apparent when the price of
fuel increased 400% in six months.
Then the economy began to recover
very gradually. During the next eight
months of ’74, we built 166 units. In
1975, Tiffin built 430 units, then 900
units in 1976, followed by 1,200 in
1977 and 1,600 in 1978. We were
moving along quite well when the
Iranian Crisis struck in 1979. There
was tremendous inflation and gas lines
at the pumps were frustrating everyone
— again. The Iranian Revolution
resulted in a loss of two MBPD
between November 1978 and June
1980. Weakened by the revolution,
Iran was invaded by Iraq in September
1980; by November, the combined oil
production of both countries was only
one MBPD, reflecting a total loss of
more than six MBPD. The price of
crude more than doubled, to $35 a barrel, in 1981. Compared to 2008 dollars, that is approximately $83 a barrel.
As fuel prices increased rapidly,
Saudi Arabia’s oil minister, Ahmed
Yamani, warned other members of
OPEC that high prices would lead to
a reduction in demand. He was right!
Surging prices brought on better insulation in new homes, increased insulation in older homes, greater efficiency
in industrial production and automobiles that started to get more miles per
gallon of gas. These factors, along
with a global recession, caused a
reduction in demand — which led to
falling fuel prices.
Eventually, crude prices fell to $10
per barrel by mid-1986. During this
time, TMH built approximately 900
units in 1980, 700 in 1981 and 900 in
■ Motorhome sales fell 40-45% in Q2, according
to dealers, and deteriorated as the quarter progressed. Towable sales fell 12-15%, following a
similar trend. We attribute the weakness to dreadful
consumer confidence (falling home values, rising
gas prices, worsening economic conditions, and
looming election uncertainty).
■ Customer traffic in dealerships was bad in
April, worse in May, and even worse in June.
■ Motorhome inventory ballooned to 210 days
from 121 last year (135 in April). Towable inventory
increased to 137 days from 109 (122 in April).
Clearly, dealers need to cut back.
■ With inventory up and sales down, dealers
plan to slash orders in the next six months. Dealers
plan to order 40-45% fewer motorhomes and 3540% fewer towables, based on survey results.
■ Low-cost producer Thor Industries Inc. continues to discount aggressively, aiming to put competitors out of business. We like the strategy for Thor
(long-term), but expect margins to compress before
improving.
■ Dealers reported that several manufacturers
and dealers have exited the market or cut back on
capacity.
■ Lenders have raised standards as the credit
crisis spills over into RVs.
The investment firm concluded: “Fundamentals
are bad and continue to deteriorate. Although RV
stocks we cover trade below intrinsic value, in our
view, things are likely to get worse before they get
better.
“On a brighter note, manufacturers continue to
shutter capacity or exit the market altogether —
leaving a larger share of a smaller market to the
survivors. Fundamentally, we think consumer confidence must improve to spur a recovery.” 6
Thor’s Riegel
from page 7
sumer demand. The convention is slated for Sept.
23-26 at the Rio All-Suite Hotel & Casino in Las
Vegas, Nev.
This year’s event, featuring the RV Learning
Center, will include an all-new series of workshops
for dealers and general managers complemented by
sessions for sales, F&I, parts & accessories, service and rental employees.
The RV industry’s top manufacturers, suppliers,
finance firms and other service providers will have
exhibits in the Expo. In addition, the first-ever
RVBusiness Top 50 Dealer Awards reception and
dinner — an independent event — will be held Sept.
24, also at the Rio.
Kicking off the convention, the 13th Annual RVDA
Education Foundation Classic Golf Tournament is
slated for Sept. 22.
Sponsors for the 2008 RV Dealers International
Convention/Expo are: Emerald Bank of America:
Sapphire Bank of the West; Cummins Onan;
Dometic LLC; GE; Protective Ruby Assurant
Solutions; DealerTrack Inc.; Diversified Insurance
Management Inc.; Freightliner Custom Chassis
Corp.; Manheim; MBA Insurance Inc.; RV Industry
News; RV Trade Digest; Zurich Topaz; and Atwood
Mobile Products LLC.
For registration options, exhibitor information,
and schedule updates, visit www.rvda.org, send an
e-mail to [email protected], or call (703) 591-7130. 6
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Celebrate
success
021-RVB08 PG 21 TOP50 DINN
7/9/08
5:52 PM
Page 21
Join us…
A Knight to remember
EVENING EVENTS
…all are welcome
6:00 p.m. - 7:00 p.m.
OPEN BAR COCKTAIL RECEPTION
Hosted by RV Business magazine
and the Leadership Alliance
7:00 p.m. - 8:00 p.m.
DINNER & OPENING REMARKS
The Rio Suites Hotel & Casino,
Brasilia Ballroom
Las Vegas, Nevada
8:00 p.m. - 8:30 p.m.
KEYNOTE SPEAKER
8:30 p.m. - 9:30 p.m.
AWARDS PRESENTATION
During the RV Dealers International Convention & Expo
Cost is $89 per plate; $799 for a table of 10.
To register, call 574/295-7820 or fill out the form below
and fax back to 574/522-0918 or visit www.rvbusiness.com
and click on Top 50 registration.
BOBBY KNIGHT
RV Business and the
[ ALL
INDUSTRY EVENT
Number of tickets:
Attendees:
Your Name:
Your Title:
Your Company Name:
Address:
City:
State:
Phone:
E-mail:
Go To:
|
SEPTEMBER 24, 2008
]
Type of Credit Card:
Expiration Date:
Card Number:
Card Holder Name:
I authorize Affinity Group, Inc. to charge my credit card for the
RV Business Top 50 Awards Reception and Dinner.
Zip:
Fax to: 574/522-0918
SIGNATURE:
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022-RVB08 PG 22 SPADER
7/15/08
2:09 PM
Page 22
The difference between seeing the possibilities
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Imagine knowing exactly where to focus your efforts to improve your business.
Spader Business Management shows you how. With innovative workshops like
Total Management 1 and 2, 20 Groups, and consulting programs that can give
you the confidence and understanding you need to make the right decisions.
Change the right things. Take the right actions for the current situation. And take
your company to new levels of profitability and production even in tough markets.
For more information on what Spader can do for you, visit spader.com or call
800.772.3377. And learn how to work on your business.
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023-RVB_0808_LO_NIF-HOF
7/15/08
12:17 PM
Page 23
NEWS inFOCUS
RV/MH Hall of
Fame Popularity
Growing Among
Tourists, Industry
Event Planners
RV/MH Hall of Fame
Visitation Gets a Boost
from Recently Opened
Boots & Betty Ingram
Hall, Highlighting David
Woodworth Collection of
Pre-WWII Antique RVs
■
BY S T E V E B I B L E R
■
PHOTOS BY SHAWN SPENCE
RIGHT: Marion Schrock, President of Horizon Transport Inc.,
personally greeted the more than 700 drivers and their families
at his company’s June 7 event. The Great Hall is behind Schrock.
Al Hesselbart, historian for the RV/MH Hall of Fame,
leads one of a series of informative sessions about
the history of the industry in the hall’s theatre.
udging by its swelling events calendar, the RV/MH Hall of
Fame in Elkhart, Ind., is growing in popularity among
both tourists and people associated with the RV industry.
Opened to the public in the summer of 2007, visitations to
this facility along Interstate 80/90 on Elkhart’s far east side
are up compared to last year, and the hall’s Conference
Center is becoming a popular meeting place for RVers and
other groups, according to Al Hesselbart, the hall’s historian.
Visitors have come from across the U.S. and Canada,
Europe and Japan, he noted, adding that a number of firsttime visitors came following the National RV Show held last
November in Louisville, Ky.
The hall also hosted the Elkhart Color and Design Seminar
on May 6. More than 150 “decision-makers” from northern
J
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23
7/15/08
12:18 PM
Page 24
Horizon Transport employees take a look at several
vintage RVs from the newly opened Woodworth collection, including a 1928 Pierce Arrow Fleet Housecar
(left) and 1936 RoadHome Coach (right).
Indiana industries attended the
one-day event sponsored by local
members of the Color Marketing
Group, an international not-forprofit association of color designers. On June 7, approximately 500
drivers and employees affiliated
with Horizon Transport Inc. gathered at the Hall for a picnic.
The facility also has hosted
thank-you parties for two financial
institutions, the board meeting
and annual stockholders’ meeting
for a local publicly held company,
technician training seminars for
two area RV manufacturers,
meetings for three different trade
associations, meetings for local
chambers of commerce and a
fund-raiser sponsored by the
local Red Cross to help refill its
disaster coffers, according to
Hesselbart.
The Hall of Fame also is a popular stop for participants of the 10
RV owners’ rallies held each summer at the Elkhart County 4-H
Fairgrounds in nearby Goshen,
Ind.
“Everybody who’s been there so
far absolutely loves it and says ‘we
will be back’,” said Darryl Searer, a
board member and treasurer of
the RV/MH Heritage Foundation
Inc. “It’s a beautiful setting inside
and outside.”
The facility is not only serving
the RV and manufactured housing
Restored 1937 Hunt Housecar on Ford chassis, on display in the Boots and Betty Ingram Hall.
24
industries, which are based in
Elkhart County, but it’s also serving the county as a whole.
Searer said research revealed
that an average of 200 events a
year were being held in the
Century Center in nearby South
Bend, Ind., by Elkhart-based businesses and agencies. The new
Hall of Fame conference center is
bringing some of those events
back to Elkhart, he said, as the
foundation has stepped up its
marketing to the community.
The foundation is presently looking for a sponsor for a planned
pavilion to be built on a 20-acre
site east of the hall to hold outdoor events, such as RV, boat and
car shows, Searer noted.
In mid-May, the Hall of Fame got
a big boost when the Boots and
Betty Ingram Hall, featuring the
world-famous David Woodworth
collection of pre-World War II
antique RVs, was opened to the
public.
More than half of the entire collection has been restored and is
now on display at the museum,
including many units never seen
set up and lighted. Among the RVs
in the display are early tent
campers — including a model
made in Indianapolis in 1916-’18
— a telescoping truck camper on a
1915 Ford Model T pickup and a
unique 1937 Hunt Housecar on a
’37 Ford chassis.
Woodworth, a Southern California
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7/15/08
2:17 PM
RV collector, amassed a
collection of more than
30 very early camping
trailers and “housecars” during 25 years of
searching the country.
“Boots” Ingram, an
Elkhart native and the
founder of Teton Homes
of Casper, Wyo., provided in excess of $2
million for the Hall
of Fame’s acquisition
of the collection and
the construction of a
25,000-square-foot
addition to the Hall of Fame museum for the display.
As other units from the collection are restored, they will be
Page 25
Interspersed among early tent
camping exhibits, Woodworth’s
collection of pre-WWII RVs
includes this 1933 Ford Kamp Kar.
added to the permanent exhibit.
The RV/MH Hall of Fame has
honored more than 300 pioneers
and leaders of the RV and manu-
factured housing industry in the
36 years of its existence and has
displayed historic models in its
museum since 1995. 6
MEMORIES
OF
BYGONE ERAS
The units from the David Woodworth collection that are on display in the Ingram Hall include:
■ 1915 Model T with 1916 Telescoping Apartment
“Masonite” body.
camper body.
■ 1928 Pierce Arrow Privateer housecar.
■ 1916-1918 Cozy Camp tent trailer by Habig
■ 1933 Runkle Housecar on 1938 Ford V-8 chassis.
Manufacturing, Indianapolis, Ind.
■ 1931 Chevrolet Housecar made for movie star
■ 1922 Zaglemeyer tent trailer made in Bay City, Mich.
Mae West.
■ 1924 Auto Kamp tent trailer made in
Saginaw, Mich.
■ 1935 Bowlus Road Chief travel trailer
(This is the design that preceded the much
better known 1936 Airstream Clipper.)
■ 1937 Hayes “motorhome” travel trailer
■ 1932 Zaglemeyer tent trailer — Woodworth's first unit.
■ 1935 Kozy Kamp tent trailer
■ 1929 Covered Wagon tent trailer with
unique “wagon” look.
■ 1929 Wiedman Camp Body on 1928
Stewart truck chassis.
■ 1935 York Rambler travel trailer by Split
Coach Co., York, Penn.
■ 1937 Hunt Housecar built by Hollywood
1915 Model T with 1916
cinematographer Roy Hunt and used
Telescoping Apartment
from 1935-1943.
■ 1935 Roadhome travel trailer with total
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Contents
026-RVB_0808_LO_OEM_Jayco
O E M
7/15/08
12:15 PM
Page 26
S H O W C A S E
Jayco Corp.
A Cornerstone of the
Indiana RV Industry, Jayco
was Founded 40 Years Ago
by Lloyd Bontrager, Who
Built the Company’s First
Trailers in Two Chicken
Houses and a Barn. In
Fiscal 2007, This Still
Family-Owned-and-Operated
Business Shipped About
36,000 RVs — and Rang
Up More Than $800
Million in Sales
ayco Corp. is not immune to the current
downturn facing the RV industry. But
according to Jayco Chairman and CEO
Wilbur Bontrager, “We have been treated kindly by the market.”
That “kindness” propelled the Middlebury,
Ind.-based manufacturer into the No. 3 position
in 2007 in terms of overall unit sales — and
kept it in that position as the spring selling
season unfolded. The company’s sales totaled
about 36,000 units in 2007, divided between
about 34,000 towables and 2,000 Class C
motorhomes. Eight thousand units went to
Canada, where Jayco is recognized by Statistical
Surveys Inc., Grand Rapids, Mich., as the
industry leader.
The corporation, parent company of Jayco
Inc., Starcraft RV, L & W Engineering (an aluminum- and steel-parts fabricator) and minority owner of Jayco of Australia, notched record
sales of “a little over $800 million” and record
profits for the fiscal year ending last August.
The company hopes to match that sales performance in the current year, according to
Bontrager.
Through the end of the first quarter, Jayco
stood No. 3 in travel trailer retail sales, No. 4 in
fifth-wheel sales and No. 3 in folding-camper
sales, with market shares of 12.2%, 6.5% and
11.0%, respectively. When adding Starcraft’s
folding-camper share, it puts the combined
J
V I T A L
S T A T I S T I C S
COMPANY: Jayco Corp.
(www.jayco.com)
LOCATION: Middlebury, Ind.
FOUNDED: 1968
KEY PERSONNEL: Wilbur Bontrager, chairman and
CEO; Derald Bontrager, president and COO; Dave Eash,
vice president of customer service; Paul Geczy, vice
president of administration; Phil Geise, vice president of
operations; Jim Jacobs, vice president of sales; and
Kent Yoder, senior vice president and CFO
PRIMARY PRODUCTS: Class A and C motorhomes,
travel trailers, toy haulers, fifth-wheel trailers, camping
trailers and recreational park trailers
PHYSICAL FACILITIES: Locations in Middlebury,
Topeka, and Wakarusa, Ind., and Twin Falls, Idaho
Bertha Bontrager-Rhodes, Jayco Chairperson Emeritus, is recognized for her 40 years of service to the
company by sons Wilbur Bontrager (left), chairman and CEO, and Derald Bontrager, president and COO.
EMPLOYEES: 1,700
26
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B Y
7/15/08
S T E V E
12:16 PM
B I B L E R
Page 27
■
P H O T O S
B Y
S H A W N
S P E N C E
The quad-slideout Embark represents a new high for Jayco’s Class C offerings. Built on a 33,000-pound GVWR
Freightliner chassis, the 40-foot coach is priced at an upscale niche unlike any C-body Jayco has produced to date.
value to the table, primarily with relationships, with business
corporation’s share at more than 20%.
partners and employees. We don’t attempt to exploit it, but
“We have adjusted our numbers down a little bit due to the
we attempt to establish shareholder value in our mission
market, but if we could achieve that sales number, we would
statement that establishes what we believe and how we want
be tickled,” Bontrager said.
to operate. It’s a statement or expression that you believe in
Bontrager’s performance review and preview are about as
and attempt to live by in your daily life and business practices.
aggressive as he or his brother Derald, Jayco president, or any
I think the dealers and customers and employees appreciate
family member will become in this conservative, familythat. There also are times when you get challenged by it.”
owned operation founded by their father 40 years ago this
On the eve of Jayco’s annual Dealer Council in Austin,
summer.
Texas, in late April, Wilbur Bontrager said the sales of Jayco
“They are very personable, both very forthcoming, both
products at the retail level were “doing good,” although, he
genuinely nice people,” said a longtime associate, “but they are
acknowledged, “We are seeing some backing off and we are
not the type of people that are real interested in patting themselves or Jayco on the back.”
Indeed, Wilbur, 55, and Derald,
51, prefer to run Jayco in the manner
set down by their father, Lloyd, who
left Starcraft 41 years ago to found
his own RV company. Lloyd
Bontrager grew up in an Amish family and was the youngest of 10 children. He later joined a conservative
Mennonite church.
The family’s religious roots make
Jayco an example in business.
“I think a lot of times the culture
of a company is driven by either the
founder or its owners,” Wilbur told
RVBusiness. “I think it has had a
bearing on probably some of our success but also our relationships with
dealers and customers. It penetrates
The Jay Feather line, which includes the 16- to 21-foot Sport
from top to bottom. I think it brings
model, is the country’s best-selling lightweight travel trailer series.
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Contents
7/15/08
12:16 PM
Page 28
Bertha Bontrager-Rhodes, Jayco’s first interior decorator and bookkeeper, at the family farm
where she and her late husband, Lloyd, built the company’s first camping trailers in 1968.
P R O D U C T
P R O F I L E
Jayco Corp. specializes in the manufacture and
marketing of low- to mid-priced RVs under the JAY
SERIES , SELECT , BAJA , JAY FEATHER , JAY
FLIGHT, EAGLE, DESIGNER, OCTANE ZX, RECON
ZX , GREYHAWK , MELBOURNE and SENECA
brand names.
The wood-framed, aluminum-skinned JAY
FLIGHT travel trailer, with MSRPs ranging from
$15,500 to $28,257, continues to be the No. 1 selling travel trailer line in North America.
The JAY FEATHER line, the country’s top-selling
lightweight trailer, has undergone some major
changes for 2009. The laminated product has been
moved into the Eagle line and is now branded at
$24,000 as the EAGLE SUPER LITE. Larger Eagle
travel trailers retail for up to $33,900. The laminated Jay Flight fifth-wheel has been renamed the
Eagle Super Lite for 2009 with MSRPs starting at
$32,200. The larger Eagle fifth-wheel retails for up
to $46,400.
Meanwhile, Jayco’s high-walled SELECT folding
camping trailer is a relative newcomer to this market
but has quickly become its premier camping trailer
and fortified its position as No. 3 in the foldout market. The 2009 model sports an MSRP of $16,984.
adjusting our production down. We have
been fortunate. The momentum we had
went a long way in carrying us. Several areas
are indicating a good slowdown, but we’re
feeling the effects that everyone is feeling,
but maybe not to the same extent.”
The “momentum” Bontrager mentioned
was a company-record 19 consecutive
months of record sales in 2006-2007, a performance the company will not likely match
again for some time.
Indeed, quite the contrary was afoot in
the spring. Jayco was in the midst of some
layoffs, which reduced the company’s work
force in Indiana and Idaho to 1,450 workers, Wilbur indicated.
“We’re doing some adjusting — none has
hit the media — across the board. Some
lines need adjusting downward in total output. Between adjusting the day’s work and
staffing to get everyone adjusted, four days is
the target. That gives us the latitude to
adjust upwards 20% if need to. Some lines
are still working five days a week,” he said.
Despite the cutbacks, Bontrager quickly
added, “We think we’re positioned to gain
market share because of our anticipated
sales this year we are seeing and forecasting.
We think we will better the industry by
some percentage points in the present
calendar year.
“At the end of the day, we think we will
see some increase in market share which
could sustain that No. 3 position,” he added.
“It’s not our goal to be a certain place in the
rankings but to grow our market presence
and continue to provide a good product that
sells well and fills the market’s needs.”
The big news this spring was Jayco’s
acquisition of some of the assets of Travel
Supreme, a Wakarusa, Ind.-based maker of
Class A motorhomes and fifth-wheels.
Jayco is marketing these high-end products
through its new division, Entegra Coach
Inc. The first Class A will be the Insignia
diesel-pusher motorhome carrying the
Jayco brand name.
The mid-priced Insignia with four
Jayco’s OCTANE ZX toy hauler was introduced
21⁄2 years ago and, while its market share remains
fractional, Jayco spokesmen say its the fastestgrowing toy hauler in the market. MSRP starts
at $29,500.
While Jayco has added new graphics and interiors to its GREYHAWK and SENECA Class C
motorhomes, the northern Indiana manufacturer
plans to introduce its INSIGNIA Class A
motorhome this summer in its well-publicized
return to offering a full line of recreational vehicles.
The Insignia by Jayco will be available in four floorplans, two each in 40-foot and 42-foot lengths,
with MSRPs in the $240,000 to $250,000 range. 6
28
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Workers build Jay Flight G2 units at the company’s Middlebury, Ind., plant. The Jay flight line is the top-selling
travel trailer series in North America.
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7/15/08
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Page 29
Family Affair
When Jayco purchased portions of Travel Supreme, it also rehired many of that
company’s former staff. Ted Cook, an 18-year employee of Travel Supreme, is
Director of Operations for the new Entegra line, including the Insignia (shown).
40- and 42-foot quad-slideout floorplans, is built on the
32,400-pound GVWR Freightliner XCR raised-rail chassis
equipped with a 36-hp Cummins ISC diesel engine. Retail
prices start at $230,000
Entegra-branded fifth-wheels — the entry-level Emblem
and high-end Alante — were to begin production in June,
with the Class A diesel pusher Aspire, Anthem and
Cornerstone nameplates to follow by August.
The venture into Class A motorhomes was a big step by
the cautious company — and a surprising one, especially in
light of its disappointing experience with Class A’s earlier in
this decade.
“The other time we attempted to enter this market, it was
down,” Wilbur Bontrager explained. “We thought we would
hit the ground running.”
The result was a “slightly red year” in 2000-2001, he
acknowledged, and the company soon exited the market.
The Bontragers do not expect to make the same mistake
twice. “The Entegra venture is a much smaller start-up. It will
allow us to walk before we run,” Wilbur said.
Elaborating on his brother’s comments, Derald added, “The
first time we introduced a Jayco Class A motorhome, we started it from the ground up and Jayco quickly discovered the
Class A market is different than the towable market in terms
of expectations. We learned a lot through that time period
when we weren’t producing Class A’s. We have acquired a
product that is well engineered and we’ve rehired many of the
same staff that was running Travel Supreme.”
Besides the Entegra line, Jayco also is introducing a new,
top-end Class C motorhome, the Embark, for 2009. Built on
a 33,000-pound GVWR Freightliner M2 mid-sized chassis
equipped with a 330-hp Cummins ISC diesel engine and a
20,000-pound hitch, the 40-foot quad-slide Embark is priced
at an upscale niche unlike any C-body Jayco has produced to
date. It retails from $215,286.
The company also has repositioned its Designer fifth-wheel
at a lower price point. “We feel that the market for the lighter
weight product will only continue to grow,” Derald said.
Jayco also has held onto market share in its original ”bread
One of the first things apparent within the Jayco hierarchy is that
there is no sibling rivalry. Indeed, brothers Wilbur and Derald have for
years been known to work well with each other.
“We have a good understanding of what our strengths and weaknesses are,” said Derald, who joined the company in 1979 and became
president in 2002. “Do we always agree? No. But do we end up working
it out and moving ahead? Absolutely. I can’t imagine not working with
my brother. I like having someone to sit down and bounce things off. It
has been a good working relationship I thoroughly enjoy.”
Other family shareholders include their mother, Bertha BontragerRhodes; two sisters, Cindy Hawkins and Julie Bontrager-Deiner; and a
brother, Don Bontrager. None have an active role in management.
However, their mother maintains a corner office at the corporate headquarters and is a frequent visitor in her supportive role as the other
Jayco “CEO” — chief emotional officer. She periodically walks through
the factory chatting with employees and lending them encouragement,
just as she encouraged her husband in the early years as she worked
alongside him. She was Jayco’s first interior decorator and handled
bookkeeping until about 1979.
When Lloyd Bontrager was killed in a plane crash in 1985, she was
named to head the board of directors and Al Yoder, then executive vice
president, was chosen to run the company; Wilbur took on Yoder’s role
as executive vice president. In 1993, Wilbur was named chairman of the
board and in 2001 was named CEO.
Wilbur Bontrager’s two oldest children, Jason and Amber, are currently employed by the corporation with an eye to rising in the ranks.
Jason heads Starcraft’s engineering and product planning — bringing
over to Starcraft the experience he gained performing the same tasks
with Jayco Inc. camping trailers and toy haulers — while Amber works
in marketing at Jayco. Both are graduates of Butler University with
degrees in business.
“Amber has told me she plans to sit in my chair some day. I like that
drive,” Wilbur said.
Derald has three children. The oldest, Ashley, is a junior in college and
excels in writing. She wrote the first draft of a history of Jayco, which
was published in book form and was to be distributed at the Dealer
Homecoming in July. She is interning with RVIA this summer. 6
(L-R): Bertha Bontrager-Rhodes, with son Derald Bontrager, granddaughter Amber
Gorsuch, grandson Jason Bontrager, and son Wilbur Bontrager.
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Page 30
peaking to dealers during the company’s annual Dealer Congress in Las
Vegas, Nev., Monaco Coach Corp.
Chairman Kay Toolson told the more than
450 attendees that the Coburg, Ore.-based
RV manufacturer will focus in the future
on building lighter, more fuel-efficient
motorhomes to deal with rising fuel costs.
Toolson also called for the federal government to make the country more energy-independent in general by drilling for
oil off the U.S. coasts and in Alaska, and to
reauthorize the construction of nuclear
power plants — tough talk from the chief
executive of a publicly held manufacturing
firm that’s being heavily tested by the latest headwinds in the American economy.
Those attending the June 16-18 event
— which also marked Monaco’s 40th
anniversary — were entertained at a welcoming reception at the Mirage Hotel &
Caino’s dolphin habitat and Siegfried and
Roy’s “Secret Garden,” after which they
got a look at several new 2009 products,
including a Class C motorhome on an
imported Sprinter chassis, a lightweight
S
Monaco President John Nepute
addresses the company’s dealer
body in Las Vegas. “We believe the
future is bright,” he said, “but
there’s still work to be done.”
Monac
Oregon OEM Debuts Fuel-Efficient
Sprinter, Lightweight Ion Towables
at Dealer Congress; More Than 450
Retailers on Hand as Manufacturer
Celebrates its 40th Anniversary
■ BY BOB ASHLEY
Go To:
■ PHOTOS: THOMAS MYERS
.com
travel trailer brand and a new Safari
Cascade line.
“It was one of our best Dealer
Congresses as far as product acceptance was concerned,” said Mike Snell,
vice president of sales. “That being said,
they weren’t doing a lot of buying. Sales
were less than last year, but we still sold
about 500 units. Gas is the big push right
now, and (dealers) were looking for
smaller units. Obviously, diesel pushers
are a little soft.”
Snell said that dealers’ predictions on
when industry sales will pick up ranged
from “‘hopefully soon’ to ‘not until next
year.’”
Toolson, for his part, was blunt in suggesting that the U.S. needs to deal more
directly with energy. “We need to build
refineries, we need to build nuclear power
plants, we need to make our country selfreliant, and we need to focus on alterna-
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7/15/08
12:19 PM
tive fuel sources,” Toolson, a long-time
conservative, told dealers. “Our government and politicians need to lead these
efforts just like they did when our country
had a common goal to put a man on the
moon. We all need to exhort our (legislative representatives) to provide some
leadership, get us out of these tough
times, and focus on making us energy
independent again.”
Toolson also suggested that more RV
manufacturers will go out of business due
to the national economic slowdown that
has impacted the RV industry. “We have
watched at least four RV companies shut
their doors recently and I suspect there
may be others to follow,” he said.
However, he said, the RV industry will
survive and become stronger. “The reduction in the number of OEMs, while painful
for some, will only make our industry
stronger in the long run, as only the strong
will survive.”
And Monaco will be one of the survivors, he predicted. “I want you to know
that Monaco Coach Corporation is here
Page 31
The Sprinter-based Covena is available in two 24-foot, single-slideout floorplans. Monaco built the new Class C using
lightweight CTEC fiberglass sidewalls from Owens Corning
Favwel. Interior refinements include Corian countertops,
and full-body paint is standard.
aco}
for the long haul,” Toolson told dealers.
“We are here today, and we will be here
tomorrow.”
The key to the industry’s recovery, he
maintained, is that consumers eventually
will feel more comfortable making bigticket purchases like RVs. “Consumer
confidence will return,” Toolson maintained. “It always does.”
To spark consumer interest, he added,
Monaco will debut a new ‘C-plus’
motorhome on a Chevy Kodiak chassis in
September and a new, more fuel-efficient
Class A next year on a proprietary
Monaco Roadmaster chassis. “We are
also expanding our position as an innovator in chassis development with a completely new, fuel-efficient, lighter-weight,
lower-cost Class A diesel and gas chassis,” Toolson told dealers. “While we are
not yet releasing much information about
this new product, this unit will be the most
Chairman Kay Toolson Intimates New
Class A Gas/Diesel Chassis In the Works
Will ‘Revolutionize’ RV Industry; Calls on
Fed to Take Necessary Steps to Ensure
America is ‘Energy Independent’
Robert Maise Jr. of United RV Sales, Las Cruces, New
Mexico (center) is flanked by Monaco personnel welcoming their dealers at a reception, including (leftright): Mike Snell, vice president of sales and marketing,
Heather Cooper, Theresa Payne, Monaco CEO Kay Toolson
and April Klein, vice president of customer service.
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Page 32
Six floorplans will be offered on the rebranded Safari
Cascade in ’09 — five of them new — and the diesel
pusher also benefits from wider entranceway doors
and extended living rooms. The layout in the 38PKQ
also boasts a unique island countertop/snack bar.
fuel-efficient Class
A motorhome in the
marketplace. It will
help revolutionize
the industry.
“We are going to
do it by being more
innovative,”
Toolson added. “You will continue to see
us developing new price-competitive,
lighter-weight products in both towables
and motorized. We will build products
that meet the changing demands of our
customers.”
During his presentation to dealers,
Monaco President John Nepute said that
when the national economy begins to
improve, the RV industry will improve also.
“We believe the future is bright — but
there’s still work to be done,” Nepute said.
“Despite today’s difficult market, you can
rest assured that we remain confident and
focused on our goal to continue to build
the most innovative and best-selling
products in our industry.”
Nepute noted that following the last two
economic recessions, in 1990 and 2001,
the RV industry “rebounded strongly to
previous levels and higher.”
“And here’s even more reason for optimism,” he continued. “Even given all (the
current) challenges, 2008 shipments are
still expected to be the eighth-highest in
the past 25 years. We should all be convinced that the RV consumer is here to
stay — and our industry will soon be entering a new era of growth and prosperity.”
Snell echoed the same message when
he spoke from the podium. “Things will get
better,” he said onstage in the Mirage’s
Grand Ballroom. “We don’t know how
long it will take, but you can count on one
thing: Monaco Coach Corp. is here for you
during these tough times, and more importantly, we will be here in the future when
good times are here again. “
The Stratus gooseneck horse trailer, available through Monaco division
Bison Manufacturing LLC, can haul up to four equines
while providing between 12 and 17 linear feet of living space.
32
Snell noted that Monaco’s market share
is increasing, and that in April, the company ranked No. 1 in Class A motorhome
sales, according to Statistical Surveys
Inc., Grand Rapids, Mich. “The pie has
gotten a little smaller during the past few
years, but together, we are getting a big
piece of it.”
Snell said Monaco intends to adjust its
Franchise of the Future agreements to put
stronger emphasis on adding money to
co-op advertising budgets, and offered a
six-month interest reimbursement on 2009
diesel units and 90 days on any 2009 gas
units purchased during the congress. “We
just can’t wait around for a recovery,”
Snell said. “Instead, we need to work hard
to close the sales that are out there,
improve our customer service, keep our
morale up, and position ourselves for even
greater success when the market starts to
expand again.”
During the meeting, Monaco announced
the formation of a new subsidiary,
Signature Resorts, to develop and manage
its growing luxury RV resorts segment.
The new company, based in Nashville,
Tenn., will be headed by President E.
Randall Henderson, who has been president of Monaco Resort Development
division since 2004.
In making the announcement, Monaco
also reported that two new Signature
Resorts developments are under construction in Bay Harbor, Mich., and
Naples, Fla., with lot sales commencing
before fall. “Because we are in the recreation business, we made a decision to
expand because (resorts) provide some of
what we want to offer to our customers,”
Toolson told RVBusiness.
The Naples development will provide
direct water access to the Gulf of Mexico
in Southeastern Florida. Bay Harbor, located in Northern, Mich., along five miles of
Lake Michigan shoreline, will offer more
than 1,200 acres with 36 holes of championship golf, a marina, full equestrian
center, along with upscale shopping and
dining venues.
The company expects to develop
resorts on an ongoing basis. “As we complete one, we want to have another one
going because it takes so long for the permitting processes and all the regulatory
approvals,” Toolson said.
Among products shown to Monaco
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Page 33
Mike Sneel, vice president
of sales, outlined adjustments the company plans
to make to its Franchise of
the Future agreements.
To further differentiate between
Monaco’s McKenzie and Holiday
Rambler brands, the aluminumand-fiberglass Ion will only be
sold under the McKenzie name.
dealers:
■ The 2009 Sprinter-based Monaco
Covena and Holiday Rambler Traveler is
available in two 24-foot, single-slideout
floorplans with lightweight CTEC fiberglass sidewalls from Owens Corning
Fabwel. Featuring 6-foot, 8-inch ceilings,
both coaches, distinguished by their
amenities, are built on the 11,030-pound
GVWR Dodge Sprinter chassis equipped
with a Mercedes-Benz, CDI 6-cylinder,
154-hp turbo-diesel engine, and offer 56
cubic feet of storage. The Monaco Covena
is available with full-body paint and Corian
countertops for an MSRP of $107,000. The
more economically equipped Holiday
Rambler Traveler’s MSRP is $97,000.
■
The
aluminum-and-fiberglass
McKenzie Ion lightweight travel trailer will
be sold only under the McKenzie nameplate as Monaco continues to differentiate between the McKenzie and Holiday
Rambler brands. “It is designed to be
towed by some of the more fuel-efficient
vehicle out there — vans, SUVs and
crossovers,” said Vice President Ed
Kinney.
The Ion, retailing for about $18,000, is
offered in seven 7- and 8-foot-wide floorplans in 19- to 29-foot lengths. A fifthwheel extension of the Ion line is expected to be unveiled early December at the
National RV Trade Show in Louisville, Ky.
■ Five of six floorplans are new in the
2009 Safari Cascade diesel pusher
(rebranded from the Simba RD) built on
Monaco’s own 29,000-pound GVWR
Roadmaster RR4R raised-rail chassis
equipped with a 330-hp Caterpillar C7
engine. Cascade’s entranceway doors
have been widened and the living room
extended to allow longer sofas. “We’ve
put more focus on the living area,” said
product manager Gary Stanton. The
38PKQ layout, also available in the
Monaco Knight, features a kitchen slideout and an island countertop/snack bar.
MSRPs range from $171,119 to 188,650,
and four-color full-body paint is standard.
■ Monaco division Bison Manufacturing LLC, Milford, Ind., displayed a 12foot-long “shortwall” Stratus gooseneck
horse trailer that will carry up to four horses with luxury living quarters up front. The
all-aluminum Stratus is available in 10
floorplans with 12 to 17 linear feet of living
space equipped with solid oak cabinet
doors, double kitchen
sinks, entertainment
bars, queen beds with
innerspring mattresses, pass-through door
to the horse area.
MSRP's from $64,000.
■ The cockpit in
the
top-of-the-line
Monaco
Signature
diesel pusher has been
redesigned for more of
an automotive feel,
and a 43-foot-long
four-slideout floorplan
has been added featuring a mid-coach, 42inch flatsceen TV.
Signature is built on
the
company’s
proprietary 50,300pound Roadmaster
S-Series
semimonocoque chassis outfitted with a
525-hp Cummins
ISX diesel engine.
MSRP is $711,000. 6
Upgrades to Monaco’s Signature
diesel pusher include a redesigned
cockpit with more of an automotive “feel.” A 43-foot-long, fourslideout floorplan also was added
to the company’s top-of-the-line
motorhome, and features a midcoach 43-inch flatscreen TV.
MONACO RECOGNIZES TOP DEALERS
Lazydays RV Center Inc., Seffner, Fla., was named the No. 1 Monaco, Safari and
Holiday Rambler dealer, and Monaco Coach’s top dealer overall.
Monaco Coach top dealers by brand were:
■ Monaco: Lazydays; Beaudry RV, Tucson, Ariz.; DeMartini RV Sales, Grass Valley, Calif.;
Guaranty RV Centers, Junction City, Ore.; and Giant Inland Empire RV, Montclair, Calif.
■ Holiday Rambler: Lazydays; DeMartini; Carefree Coach, Edmonton, Alberta; Sicard
Holiday Campers, Smithville, Ontario; and Holiday Motorhomes, Everett, Wash.
■ Beaver: Motorcoach Sales of Oregon, Bend, Ore.; Lazydays; McMahons RV, Irvine,
Calif.; Holiday Motorhomes; and Guarantee RV, Calgary, Alberta.
■ Safari: Lazydays; Motorhome Specialists, Alvarado, Texas; McMahon's RV; Guaranty
RV; and Holiday Motorhomes. 6
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Manufacturer
Debuts More
Fuel-Efficient
Technology
for Coaches,
Travel Trailers
Page 34
Built on a Sterling 19,500-pound GVWR chassis
powered by a Cummins ISL diesel engine, the
new SuperMax Class C is claimed to get 14 mpg.
“In this market you have to give dealers
and consumers a reason to buy,” said Joe
Luther, national sales manager for Gulf
Stream’s Class C Conquest Division. “The
dealers that have managed inventory
properly are buying. Some with aged
inventory are buying a little of this and a
little of that. It's a market-by-market, dealer-by-dealer circumstance.”
New Gulf Stream products for 2009
Dean Crane, Gulf Stream director of public
relations and training. “This replaces the
traditional ‘Super C’ that we had before.”
Standard with maple cabinet doors, electric awnings, a booth dinette and 7,500pound hitch, the Sterling-based SuperMax
carries a base MSRP of $95,000.
■ The Caribbean diesel-pusher Class A
has reemerged as an entry-level coach
with two 35- and 38-foot triple-slideout
GulfStre a
■ BY BOB ASHLEY
■ PHOTOS: MARK SHEPHARD
uel efficiency was the unofficial
theme at Gulf Stream Coach Inc.’s
annual dealer meeting June 2-7 as the
Nappanee, Ind., manufacturer debuted a
“Super C” on a Daimler Sterling truck
chassis that was said to achieve 14 mpg.
The privately-held northern Indiana
company also added a lightweight towable line and an “Econo-Mizer” option
that makes available a front-engine diesel
power plant on its gas-powered Class A
motorhome lineup.
About 110 dealers also were on hand for
the debut of Gulf Stream’s new Caribbean
diesel pusher motorhome that previously
was marketed by bankrupt National RV
Inc., Perris, Calif.
F
34
include:
floorplans. “This is our own design,” said
■ The SuperMax Class C motorhome Crane. “This isn’t anything like (National
reconfigured on a new 19,500-pound RV's) at all. The name is it.” The new
GVWR Sterling cutaway truck chassis Caribbean, built on a 32,000-pound GVWR
from Daimler Trucks North America LLC, Freightliner XCR chassis, with either 330Redford Township, Mich.
Gulf Stream executives at its dealer meeting included (l-r), Claude Donati, vice president
The new SuperMax,
of sales and marketing; Philip Sarvari, executive vice president; Brian Shea, president of
equipped with a 305-hp
the motorized division; and Dan Shea, president of the towables division.
Cummins ISL diesel
engine that the company
says will get 14 mpg, is
available in three doubleslideout floorplans in 31to 34-foot lengths. The
coach is designed with
an oversized cabover loft
that Gulf Stream intends
to make standard in all of
its minimotorhomes. “It’s
a true loft rather than just
an overhead bunk,” said
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Page 35
LEFT: New Firefly is designed to be
towed by lighter weight cossover
vehicles.
or 340-hp Cummins engines, is designed
for use in warm weather locations.
“Basically we are looking for the
‘suncoast’ crowds,” Crane said. “There
are a lot of amenities, but it’s not a fully
residential coach. The whole design has a
feel that is a lot lighter, airier.” Outfitted
with Corian countertops, tile floors and
solid wood cabinets, the Gulf Stream
Caribbean's base MSRP is $180,000.
■ A $5,995 “Econo-Mizer” option package replaces the standard front-engine
gas Ford chassis on its Independence,
Yellowstone, Sun Voyager and Crescendo
Class A motorhome lines with a specially
equipped Freightliner FRED front-engine
diesel chassis.
Key to what the company says is a 54%
fiberglass-and-aluminum Firefly travel
trailer with five 20- to 26-foot floorplans
with dry weights ranging from 3,300 to
4,400 pounds. “This will be our customer’s
first laminated travel trailer,” said Greg
Blosser, Gulf Stream director of towable
division marketing. “The Firefly was
designed to be towed by crossover vehicles. The main thing we wanted to do,
besides keep the weight down, was to
have big bathrooms.”
The new line is designed with an electric hard-sided slideout that extends from
the back of the unit and contains a queen
bed. The 26-foot floorplan is equipped with
four rear bunk beds and, with convertible
dinettes and sofas, can sleep up to 10 people. MSRP: $20,706. 6
e am}
ABOVE: Gulf Stream “Gas Mizer” package includes a frontengine diesel, new gearing and “Super Single” Michelin rear
tires, and is said to deliver significantly better mleage.
BELOW: SuperMax interior features oversized cabover loft.
Dealer Meeting is Highlighted by Introduction of
Sterling-based ‘Super C’, New Laminated Firefly
Towable for Lighter-Weight Crossover Vehicles
fuel-mileage increase compared to gas
— and 38% better mileage vs. a standard
26,000-pound GVWR FRED chassis
equipped with a 300-hp Cummins ISB
engine — is the use of wide Michelin X1
“Super Single” tires. They replace rear
dual tires on both sides of the gas versions, which also creates better control
on turns, according to the company.
In addition, the gear ratio has been
reduced so that at 55 mph the engine runs
200 rpm slower than the traditional setup.
Also, a new exhaust system has been
designed with a “fuel catalyzer” that Gulf
Stream said adds a “green” component to
the package by reducing tailpipe emissions. “You use less fuel and the emissions are cleaner because of the fuel
catylyzer,” Crane noted.
■ On the towable side, Gulf Stream
introduced the lightweight laminated
Gulf Stream purchased the Caribbean
name from defunct National RV, but
according to company officials, that’s
where the similarity ends. The new
entry-level diesel pusher is available
in two 35- and 38-foot triple-slideout
floorplans.
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Four Winds,
Mandalay
Host Dealer
Open House
■ BY DAVE BARBULESCO
Page 36
Available in Four Winds, Dutchmen
and Chateau lines, the 36A and 36B
Class C’s utilize Kodiak chassis.
Elkhart, Ind.-based builder showcased its
2009 lineup to representatives from
around 60 dealerships during its annual
Dealer Open House.
The event, held June 23-24 at the Four
Winds Casino in New Buffalo, Mich., also
featured the rollout of ’09 Class A product
from the Mandalay Luxury Division,
including a 43-foot Mandalay diesel pusher along with two new floorplans in its
Presidio line. Four Winds and Mandalay
floorplans and our use of cutting-edge
electronic products.”
He added, “Our goal is to be proactive
to market trends. We want to be hitting
those hot buttons whenever the market
changes.”
An industrywide shift in the Class C sector has been to employ the shorter-profile,
more fuel-efficient imported Dodge
Sprinter chassis built by Mercedes Benz.
Four Winds introduced its first entry
Four Wind
our Winds International Corp. targeted
two key segments in the evolving
Class C market with a new Sprinterbased coach and redesigned models built
on the heavy-duty Chevy Kodiak chassis
as the
F
Outside entertainment center is included in
Four Winds’ Sprinter-based 24SB Siesta.
36
are subsidiaries of Jackson Center, Ohiobased Thor Industries Inc.
Acknowledging the effects of a “challenging” motorhome marketplace —
weighed down by higher fuel prices and
lower consumer confidence — company
officials said both firms are striving to
package “innovative design at strong
price points” for their dealer bodies.
“Even in a tough environment, we’re
still emphasizing innovation across
all of our lines,” said Dana Simon,
vice president of sales and
marketing. “Because we
have backing from Thor,
we’re able to remain
progressive on R&D
instead of standing
still until the market
comes back. That’s
reflected in our new
during last November’s Louisville Show
and added the 24SB floorplan in its
Chateau Citation, Dutchmen Dorado and
Four Winds Siesta series for 2009.
“One of the great things about that
chassis is its maneuverability,” said
Simon, while also noting the Sprinter’s
15-20 mpg fuel efficiency. “It drives like
a van.”
Simon said that availability, which has
been an issue with the popular platform,
hasn’t been an obstacle. “We started
talking to suppliers early on, and haven’t
had problems getting chassis,” Simon
maintained.
The 25-foot 24SB floorplan, featuring a
sofa/dinette “super” slideout with a large
rear bathroom, is built on 11,030-pound
GVWR Sprinter chassis powered by a 154hp V-6 Mercedes diesel engine. With a
base MSRP of $96,530, the coach is
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036-RVB_0808_LO_DM_FourWin
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12:12 PM
equipped with an air mattress hide-a-bed
sofa, outside entertainment center and
European inspired interior.
Longtime retailer Tim Wegge,
owner of Burlington RV Superstore,
Sturtevant, Wis., said the Sprinter
models were selling well, while
adding that the overall motorized
market was struggling.
“The problem is we’re not even getting
people through the door for motorhomes,”
he said. “We’ve got a lot of inventory sitting on our lot right now, so we’re being
pretty conservative on buying new product. But Four Winds does a nice job, and I
did like the new Sprinter piece with the
super slide.”
Simon said that another pocket that was
healthy for Four Winds was its Class C
rental offerings. “That market has done
surprisingly well,” he said. “We’ve been
building rentals for a long time so dealers
know we’re going to supply quality,
dependable products.”
Other 2009 introductions included:
■ The redesigned 36A and 36B Class C’s
built on Kodiak 26,000-pound GVWR chassis with a 10,000-pound towing capacity.
Available in the company’s Four Winds,
Dutchmen and Chateau lines, the 37-foot
coaches offer new for 2009 an E-Z ride
nds}
suspension system for improved driving
stability. The 36A is a triple-slideout bunk
model with a king bed while the 36B offers
two slides, also with a king bed. Other
shared features include a “mid-ship” 32inch LCD TV, 26-inch LCD TV in the bedroom, European-style cabinetry, molded
fiberglass front and rear caps and sidehinged exterior luggage doors. Base
MSRP’s run $146,930 for the 36A and
$145,530 for the 36B.
■ The Mandalay Class A 43D floorplan
offering a “big window concept” with windows lining both sides of the coach
through the dining and kitchen areas. Built
on 44,320-pound GVWR Freightliner XC
tag-axle chassis mated with a 425-hp
Cummins ISL diesel engine, the 43D
Mandalay features a 52-inch LCD TV
with a state-of-the-art “surround sound
bar.” Other standards include a hydronic
Page 37
LEFT: A new doubleslideout floorplan is
available on the 35foot Windsport Class A.
BELOW: Mandalay has
added two new 40-foot
models to its Presidio
class A diesel lineup.
BOTTOM: Mandalay’s
Class A 43D floorplan
encompasses the company’s airy “big window
concept” with windows
lining both sides of the
coach.
heating system,
17-cubic-foot
refrigerator, ultraleather furniture and roller window
shades throughout the
coach. Base MSRP: $325,850.
■ The Presidio Class A
diesel line adds the 40J and
40K models and now includes
four single-axle and two tagaxle floorplans. Both of the
new 40-foot models are
equipped with 32,000-pound
GVWR Freightliner singleaxle XC chassis powered by a
360-hp Cummins ISC engine.
The 40J front-kitchen layout
features a 42-inch LCD TV
with home theater surround-
‘Big Window Concept’ Diesel Pusher, Enhanced Presidio
Models Mark ’09 Mandalay Product Line; Four Winds
Ups the Ante at Both Ends of Growing Class C Market,
Adding New Models Based on Sprinter, Kodiak Chassis
sound system along with a
side-aisle hallway and all-inone bathroom that allow for
privacy in the bath and easy
access from the living area
to the bedroom. Base MSRP
is $230,930.
The 40K is a quad-slide
floorplan with large picture
windows overlooking the
camp side under the patio
awning. A 32-inch LCD TV is
mounted in the middle of the
coach, allowing viewing from the front
captain’s chairs. The kitchen is laid
out with “multiple cooking zones” and
plenty of storage space. Base MSRP is
$231,840.
■ A new 34U double-slide Class A floorplan was introduced in the Four Winds
gas-powered Magellan, Windsport and
Hurricane lines. The 35-foot floorplan,
equipped with a 22,000-pound GVWR Ford
F-series Super Duty chassis mated with a
362-hp Triton V-10 engine, boasts a large
U-shaped dinette and king bed. Base
MSRP’s run $120,330 for the 34U Magellan,
$113,330 for the Windsport and $107,450
for the Hurricane. 6
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Page 38
High-end Palais Royale is
expected to carry a base
MSRP in the $125,000
range. Upscale amenities
are used throughout the
interior, while exterior features include two “passthrough” storage bays.
■ BY DAVE BARBULESCO
KZ}
Manufacturer Revamps Escalade FifthWheel Series, Adds ‘Price-Conscious’
Inferno SST SURV Travel Trailers
KZ RV Rolls Out ’09 Product Line for Dealer Body,
Unveils Fifth-Wheel ‘Palais Royale’ Prototype
RV LP placed an emphasis on
innovation and “building in
value” with its towable introductions for 2009, unveiled during a June 1920 open house at the company’s
Shipshewana, Ind., complex.
Representatives from around 100 dealerships were on hand for the event,
which showcased several amenitypacked floorplans and interiors along
with the reintroduction of a sport utility
RV (SURV) line and a prototype for a highend, triple-axle Palais Royale fifth-wheel.
“Our strategy is simple — offer high-
KZ
38
end features at an affordable price,”
noted Marlene Snyder, one of four general managers that oversee different segments of the company's towable offerings.
That formula is proving successful for
Snyder’s division, which produces the
company’s “core” Spree, Sportsmen and
Durango brands. She reported sales for
the lines were up 28% through the end of
April and that the work force for the lightweight Spree line had doubled.
New for 2009 is a champagne exterior
color available on KZ’s Sportsmen travel
trailer and fifth-wheel series. The wood-
framed and aluminum towables — fiberglass is optional — are sporting a “more
modern look,” according to Snyder, along
with several cosmetic upgrades on the
interior. Standard features include 13,500
BTU ducted air conditioning, stereo with
DVD and surround sound, and raisedpanel overhead cabinet doors. Lengths
for the Sportsmen line, now available in
12 travel trailer and 12 fifth-wheel floorplans, range from 23 to 32 feet with
MSRPs running $17,755 to $29,995.
Snyder added that the 2009 Durango LX
fifth-wheel — the top of the line in the
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Durango series — is equipped with
hydraulic slideouts and deep exterior
storage. The Durango LX is available in
five models from 32 to 35 feet with
MSRP's of $40,945 to $54,400.
Andy Baer, general manager for KZ’s
high-end Montego Bay and Escalade
fifth-wheel brands, noted that although
pockets of the towable sector remained
depressed — particularly in the highercost products — the company had
observed some upticks in the overall
marketplace.
“We are seeing some glimpses of a
comeback on the West Coast, which was
the first area to turn soft on sales,” he
said. “And the Canadian market is really
strong. Our dealers are remaining positive, especially the ones that are primarily
in towables. The bright side is that I think
they are getting their inventories in line.”
Baer said that the Palais Royale line
will push KZ into a new market segment
with a base MSRP estimated in the
$125,000 range.
KZ is packaging the coach with “a lot of
very top-line components,” according to
Baer, including a hydronic hot water
heating system, supersized storage with
two rear pass-through areas and hinged,
bus-style doors. Upscale amenities
include composite tile flooring, a convection microwave and a flat roofline providing “consistent headroom” throughout
the coach.
Other 2009 product highlights include:
■ KZ added three floorplans (for a total
of five) in its Inferno fifth-wheel toyhauler brand — introduced at last
November’s Louisville Show — while
debuting a “stripped down” Inferno SST
travel trailer series. “It’s a very priceconscious line,” noted General Manager
Brian Donat. “It’s designed to compete in
the West Coast market.” Offering limited
amenities on the interior, the Inferno SST
features a high-gloss exterior finish and
is available in five floorplans from 19 to 29
feet, two with a single slideout. MSRPs
run $25,500 to $30,000.
■ The company also reintroduced its
higher-end laminated New Vision line of
Page 39
fifth-wheel SURVs with four available
floorplans, all triple-slide models, and
lengths of 38 to 42 feet. Targeting the 35to 55-year-old user looking for an upgraded toy hauler, base MSRPs range from
$62,000 to $68,000. Standards include
a universal docking center
and a residential bathroom with a
recessed tub. A
mud room and
full-body paint
are optional.
■ KZ performed a “complete revamp”
on its Escalade
fifth-wheel series
with new front and
rear caps, a wide-body
platform and a nearly flat
roof line that adds headroom in the bedroom. Standard features include a stainless steel recessed sink, “designer
inspired” bedding, one-touch shades and
Corian countertops. A stackable washer/dryer and 40-inch LCD TV are among
the available options. KZ offers four
Escalade floorplans, all with triple slides,
in 32- to 37-foot lengths with MSRPs
ranging from $96,470 to $98,450.
Baer said KZ’s Montego Bay lineup
TOP LEFT & ABOVE: Available in five floorplans from 19 to
29 feet, the “stripped down” Inferno SST travel trailer
series is designed to compete in the competitive West
Coast market. BELOW: KZ RV’s Sportsman travel trailer
and fifth-wheel lines were on the receiving end of cosmetic upgrades, including new champagne-toned exterior.
also featured wide-body design,
new front and rear caps along with
the flatter roofline. New for 2009 is a
standard “arts and crafts” interior
décor that offers a contemporary, Frank
Lloyd Wright-style design with clean
lines and all solid hardwood cabinetry.
“We also eliminated the crown molding,” noted Baer. “It gives the coach a
very tailored look. 6
KZ has reintroduced its New Vision fifth-wheel
SURV line. Four triple-slideout floorplans are
available, in lengths of 38 to 42 feet.
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040-RVB_0808_LO_DM_Damon
7/15/08
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Page 40
New Del Ray
Class C, Avanti
Class A Highlight
Extended Dealer D
Show at Damon
Motor Coach
According to Damon officials, the Del Ray is a Class C with
Class A amenities; it’s expected to become the company flagship.
amon Motor Coach unveiled a host
of new gas- and diesel-powered
motorhomes during an extended
annual dealer show June 16 -24 at its corporate headquarters in Elkhart, Ind.
Dealers got their first look at the Del
Ray Class C motorhome, Damon’s first
minimotorhome since becoming a Thor
Industries Inc. subsidiary.
“We want to become more of a full-line
manufacturer for our dealers,” said Kevin
Finn, vice president of gas motorhomes.
The aluminum-and-fiberglass Del Ray,
offered in three 22- to 31-foot floorplans,
is built on a 14,500-pound Ford E-450 cutaway chassis and will retail starting from
$81,500. The Del Ray features 7-foot
headroom, solid-surface countertops,
vinyl ceilings, deluxe lighting, neo-angle
showers, molded front end caps and a
Damon
28-inch sofa-dinette slideout. The idea
was to build a Class C with Class A
amenities and to help its dealers reach a
broader market, company officials said.
Damon projects the Del Ray will become
the company’s flagship.
But Damon said the prototype of the
new Avanti — still under wraps in the
factory and shown privately to dealers
— may hold the biggest promise for the
company.
Dealers got a sneak peak of the prototype of the new 31-foot, Europeaninspired front-engine diesel Avanti Class
A motorhome that won’t be formally introduced until the Pennsylvania RV &
Camping Show Sept. 10-14 in Hershey,
Pa. The Avanti will be mounted on a new
16,000-pound GVWR W-16D Workhorse
New 32-foot Daybreak Sport is offered in
single- or double-slidout configuration.
40
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chassis and is projected to average
between 13.5 and 15 miles per gallon. The
MSRP will be in the range of $125,000 to
$140,000, according to Damon President
Bill Fenech.
Likening the Avanti’s drivability and
styling to a BMW or a Lexus, Fenech said
its features will be unique and “set it apart
from any other Class A on the market.”
While acknowledging that the RV market is soft, Fenech noted that Damon held
6.4% of the Class A market share through
the first quarter which increased to
7.1% for April, according to Statistical
Surveys Inc., Grand Rapids, Mich.
Fenech said that suggests the company
on}
Page 41
32-foot
floorplans with either
one or two slideouts,
the
Daybreak Sport
features front
and rear molded
fiberglass caps,
one-piece windshields,
fullbasement passthrough storage
and heated and
enclosed tanks.
“It looks like a
mid-priced coach but has an entrylevel price,” said Finn. Base
MSRP: $82,250.
■ Damon’s first full-wall
slideout featured in the
Daybreak gas-powered
Class A series, which
also
features
a
U-shaped dinette and
a king-size bed. The
Daybreak 3576 also
is equipped with a
children’s “activity
center,” which the
company believes is
a first in a Class A
LEFT: Available on the Daybreak 3576, the children’s
“Activity Center” features fold-up bunk beds. BELOW:
Full-wall slideout in Daybreak Class A gas motorhome
boasts a U-shaped dinette up front, king-sized sleeping arrangements in rear bedroom.
Company Also Debuts Daybreak Sport, Children’s
‘Activity Center’ Option With Retractable Bunks
was “tracking well” as the spring selling
season got underway.
“There still is business out there,” he
said, while acknowledging that Damon
was offering dealer incentives to help
move product.
Due to continued weakness in the
market, Damon planned to extend its
normal one-week plant shutdown in
early July to two weeks or longer,
Fenech revealed. He also noted that the
company signed up several new dealers
during the show.
Other new products included:
■ The Daybreak Sport, a gas-powered,
entry-level Class A motorhome built on an
18,000-pound GVWR Workhorse W-18
chassis equipped with a 340-hp GM
Vortec gas engine. Available in two
BY STEVE BIBLER
■
PHOTOS: MARK SHEPHARD
coach, with bunk
beds that retract
into the wall.
MSRP: $109,000.
■ Damon’s dieselpowered Tuscany
4051 Class A with
an “almost” fullwall slideout, kingsize bed, wallto-wall ceramic
tile and a 32-inch
LCD TV as part
of the exterior
living area. The
unit’s MSRP ranges
from $225,000 to
$230,000. 6
Tuscany lineup gets an “almost” fullwall slideout floorplan for ’09, augmenting
its popular five- and six-slideout units.
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042-RVB0808 PG 42 RVBdotCO
7/11/08
12:43 PM
Page 42
Things Happen Quickly
in the RV Industry.
Stay Informed – and Save Time –
by Making RVBUSINESS.com Your Home Page.*
Information is power — and no Website delivers that
knowledge to you faster than RVBUSINESS.com.
Updated continually throughout the day, RVBUSINESS.com keeps
executives, managers and sales personnel informed about events that
affect their business — and the way they do business.
Stay Connected with
* Go to RVBUSINESS.COM and click on "Make RVBUSINESS.com my Home Page"
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043-RVB_0808_LO_DM_Pilgrim
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Page 43
Towables OEM Introduces New
Composite Fifth-Wheel Lines
Units Built Using
‘Green’ CosmoLite
Substrata Reduce
Weight, Formaldehyde
Emissions. ‘For Every
Thousand Pounds That
We Can Take Out of
a Unit, It will Save
9% On Fuel,’ Noted
Company Chairman
Dave Hoefer
Pilgrim’s Ultima Composilite fifth-wheel is scheduled to begin production in August. According to Jerry Sell,
vice president of product development and marketing, “All of our branded nameplates will be composite.”
■ BY BOB ASHLEY
Pilgrim
ilgrim International Inc., of
Middlebury, Ind., introduced to
its dealers June 26 the Ultima
Composilite and Supra Composilite
fifth-wheel series that are manufactured with a composite substrata
that replaces luan and shaves hundreds of pounds off the weight of
the unit.
The roof and floor of the coaches
also are made with the CosmoLite
composite from TekModo LLC,
Elkhart, Ind.
“It is a ‘green’ product,” said
Pilgrim Chairman Dave Hoefer during
the Ultima and Supra introduction to
P
about 120 dealers and
suppliers at the Spring
Meadow Farms Golf
Course in Middlebury.
“Our ultimate goal is not
just to do the shell —
the roof and the sidewalls — but to have
75% of the unit made of
composites, including
the cabinetry, partition
walls and furniture.”
Hoefer told RVBusiness
that the primary benefits of using CosmoLite are twofold, as
Pilgrim International Chairman Dave Hoefer addresses the company’s
dealer body during presentation of new manufacturing technology.
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B W TRAILER HITCHES, CIRCLE 111 ON READER SERVICE CARD
Though it’s not visually evident, composite is also found throughout the interior
of the Ultima. It’s used behind the wall vinyl, beneath the flooring and ceiling.
formaldehyde
emissions
are
reduced while tow-vehicle fuel
mileage is increased because the
unit is lighter. “For every thousand
pounds that we can take out of the
unit itself, it will save 9% on fuel,”
he said.
Because the fiber-reinforced
thermoplastic CosmoLite is manufactured in 8-foot-wide seamless
rolls instead of panels, Pilgrim
enlisted Patrick Industries Inc.,
Elkhart, and Amerimax Building
Products Inc., Plano, Texas, to
devise a special bonding technique
for the interior and exterior walls of
its Ultima and Supra.
Pilgrim has been using CosmoLite
in flooring for the last 11⁄2 years, and
intends to work with TekModo to
develop a sidewall composite using
Spectralite enhanced by DuPont
that will provide a colorable Surlyn
finish.
Production on the Ultima/Supra
was scheduled to begin in August,
and company executives said it
intends to use Spectralite substrata
in its Pilgrim, Cirrus, Legends and
Open Road towables by the first of
December.
“All of our branded nameplates
will be composite,” said Jerry Sell,
vice president of product development and marketing.
Ultima Composilite, with a beige
finish, and Supra Composilite, with
a gun-metal-gray exterior, will be
available in four two- or threeslideout floorplans in 32- to 35-foot
lengths with a base weight of 7,410
pounds. MSRPs begin at $45,000. 6
Marc LaCounte of TekModo points out the benefits
of CosmoLite composite to Pilgrim dealer reps.
44
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007-RVB_0808_LO_TOP
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Page 45
of the NEWS
Patrick Industries
from page 14
manufactured housing industries as
well as the struggles in the housing
market impact its bottom line. But,
according to Hassler, “we’re financially very strong.”
Although Patrick expects the
downturn in the market to continue
through the remainder of 2008 and
possibly into next year, Cleveland
said the company has plans for
growth, namely by increasing market
share, making acquisitions and offering new products.
The industries it currently serves
are “without a doubt the foundation”
of the business, Cleveland said, but
growing the company could mean
becoming a supplier to different
industries.
“If you could develop a business
model that was really recession-proof,
you’d be a hero,” Cleveland said.
“The key is softening the downturn.”
Hassler declined to name specific
industries that are of interest. 6
CAREFREE OF COLORADO, CIRCLE 108 ON READER SERVICE CARD
The 40-year-old Cleveland came to
Patrick as part of the acquisition of
Adorn, also based in Elkhart, and is
now taking over the management of
the day-to-day operations from Paul
Hassler. Completing the succession
plan, Hassler will remain chief executive officer and become chairman of
the board of directors.
Patrick is a primary supplier to the
recreational vehicle and manufactured housing industries, in addition
to the kitchen cabinet, furniture and
marine markets. Within the RV
industry, as an example, Patrick has
to provide and sometimes develop
new products that can be used in the
new units and models being built.
Cleveland described the development process as “fast changing, fast
paced” and one that requires the supplier to think innovatively. The manufacturers talk to their dealers then
come to Patrick with either a vision
of what the interior should look like
or a price point to hit, at which time
Patrick must provide the appropriate
materials.
The Truth reported that since the
$78.8 million acquisition of Adorn,
Patrick had closed and consolidated
several manufacturing facilities and
offices and reduced the number of
employees. The purchase allowed the
Elkhart company to “virtually double” its manufacturing revenues and
“significantly increase” its market
share in both its core markets,
according to Patrick’s 2007 annual
report filed with the U.S. Securities
and Exchange Commission (SEC).
The Adorn acquisition helped
boost Patrick’s net sales to $435.2
million in 2007 from $347.6 million
in 2006, but the restructuring charges
and acquisition-related expenses created a net income loss of $5.8 million. At mid-year in 2008, Patrick
was seeing the declines in the RV and
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Page 46
of the NEWS
Hearings
from page 7
CAMCO, INC., CIRCLE 113 ON READER SERVICE CARD
Although HUD has established a 300-partsper-billion formaldehyde standard for manufactured homes, no federal standards exist
today for travel trailers. And none existed in
2005 prior to hurricanes Katrina and Rita, a
sweeping natural disaster that left tens of thousands homeless and in need of temporary
housing, especially towable RVs and special
stripped-down units built by an array of RV
manufacturers on behalf of FEMA.
In his consistent defense of northern
Indiana’s RV industry, Souder contended that
a Tulane University study of site-built homes
in southern Louisiana that found formaldehyde levels four times higher than the levels
found in the trailers tested by the CDC “suggests that the RV industry has been singled
out unfairly.”
At least 14 RV manufacturers supplied trailers to FEMA either directly or through dealerships that carried their products. The Gulf
Stream order was by far the largest. Of the
companies whose executives testified, Forest
River Inc., Elkhart, sold FEMA 12,000 units;
Keystone RV Co., Goshen, Ind., 6,000; and
Pilgrim International Inc., Middlebury, Ind.,
5,000. Keystone President Ron Fenech, on the
other hand, estimated his company’s total to
be closer to 2,700 units in prepared testimony.
Only Gulf Stream had a contract for direct
sales to FEMA.
Gulf Stream’s Shea, Forest River CEO and
President Peter J. Liegl, Keystone President
Ronald J. Fenech and Pilgrim President Steve
Bennett appeared voluntarily before the committee in Washington, D.C.
At one particularly acrid point in the testimony, Waxman asked each executive whether his
company would refund the money the government paid them to build the trailers. “Why
should the federal government have to pay you
for these trailers — $2 billion for trailers that
cannot be used?” he asked.
Shea started to answer, but Waxman interrupted before he could finish, and the question
was not again posed.
Today, about 94,000 new and used trailers
are in storage at a cost of about $120 million a
year. And FEMA, much maligned for its general handling of the hurricane aftermath, has
announced that it won’t use them in the future,
unless there is no other option. “What happened is a disgrace for the government particularly, but not an exoneration of the manufacturers,” Waxman said later. “Now the government must be stuck with the bill.”
The prevailing view of the committee’s
Republicans, who filed their own version of
events, was to blame the federal government
vs. the manufacturers themselves. “In the
absence of government standards, blaming
46
trailer manufacturers for doing what was
expected of them would be misplaced and
ineffective,” their minority report said.
Dr. Michael McGeehin, director of
Environmental Hazards and Health Effects,
National Center for Environmental Health,
Centers for Disease Control and Prevention
(CDC), acknowledged the formaldehyde levels in trailers depend on how and where they
are used — and for what period of time.
“These units were not designed for people to
live in for 21⁄2 years,” said McGeehin, who
attempted to reconcile for the committee different federal formaldehyde standards and
recommendations from HUD, OSHA, the EPA
and, belatedly, FEMA.
Although some health complaints were
received from trailer occupants, committee
Republicans maintained that 98.8% of those
trailers tested by the CDC fell beneath HUD
standards for manufactured homes. “These
(manufacturers) are not the wrong-doers,”
said Rep. Darrell Issa, R-Calif., who called for
broad federal formaldehyde regulations and
standards for testing. “The government may
well have failed the people of Louisiana and
Mississippi and they may be continuing to
fail them.”
Rep. Dan Burton, a Republican from central
Indiana, almost apologized to the executives
as the session concluded. “I’m disappointed
that we have you four here beating up on you
because you’ve not done anything wrong,”
said Burton.
An apparent consensus among the congressional panel and the RV executives was that
broad federal regulations and testing procedures need to be established, not just for the
RV industry, but for the general construction
industry as well. Both use wood products containing formaldehyde that later vents into the
atmosphere.
Gulf Stream’s Shea spoke up strongly for regulations that the RV industry can clearly follow.
“We are not only in favor of a standard, but a
protocol for testing,” Shea told the committee.
“What we don’t want is for formaldehyde —
or, for that matter, any other substance that’s
part of the world we live in — to reach levels
where it’s a serious health threat,” added
Forest River’s Liegl. “I think people of good will
are on the same page about that, even as
we’re working to find answers.”
Keystone’s Fenech said the RV industry
alone cannot resolve these issues. “The recreational vehicle industry cannot address the
formaldehyde issue alone,” Fenech said. “It is
much broader. In fact, the materials that
Keystone uses to assemble its trailers are generally the same types of materials used in
home construction and can be found at your
local home improvement store.
“We are looking to the government to evaluate the science and provide industry with a uniform standard,” he added. “Once that standard
has been developed, we hope the home construction industry will join us in adopting that
standard. Together, these actions can lead to a
workable national approach to this issue.” 6
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■
P U B L I C
B Y
B O B
A S H L E Y
D O M A I N
nyone who thought that four RV
industry executives would get a fair
hearing before the House
Oversight and Government Reform
Committee in July during an inquiry into
high formaldehyde levels in FEMA trailers couldn’t have been more wrong.
With Committee Chairman Henry
Waxman’s opening statement that he
expected the testimony of the executives to “generate a (national) sense of
outrage,” it was clear that the hearings
were the “Henry Waxman Show” — and
had little to do with exploring the truth,
whatever it might be.
No, the California Democrat was there
to continue to criticize FEMA for the
lousy job it did handling the hurricane
aftermath in the general sense. But more
particularly, since FEMA has been beaten up so much that nobody cares anymore, most of Waxman’s invectives were
reserved for Jim Shea Jr., chairman of
Gulf Stream Coach Inc. The Nappanee,
Ind., company sold some 50,000 trailers
to FEMA — by far the largest number —
to provide housing in 2005 for the
victims of the Gulf hurricanes.
Peter J. Liegl, CEO of Forest River
Inc., Elkhart, Ind., Ron Fenech, president
of Keystone RV Co., Goshen, Ind., and
Steve Bennett, president of Pilgrim
International Inc., Middlebury, Ind., were
there, apparently, only as props for the
Waxman Show. Collectively they barely
got any attention from Waxman — or any
other Democratic members of the committee — during the two hours the four
were being questioned.
Waxman accused Gulf Stream of find-
A
ing “pervasive formaldehyde contamination” in its trailers and not telling FEMA
or the occupants, an accusation that on
its face doesn’t hold much merit, according to my understanding of the situation.
First, the “tests” in 11 occupied trailers
were not scientific. They were conducted by a Gulf Stream employee who was
unfamiliar with the equipment he was
using. Second, higher readings in 39
unoccupied trailers occurred in trailers
that were closed up after being stored
for an extended period in the Louisiana
heat. Heat is a mitigating factor in
formaldehyde off-gassing, even if the
readings were accurate, which they
probably weren’t.
And in the lead-in to one question that
Waxman asked Shea, the congressman
described Gulf Stream’s actions as
“shameful.”
For his part, Shea remained pretty
cool under fire, impressively so. I know
I’d have probably blown up at Waxman
more than once, which is probably what
he was trying to get Shea to do.
I've written about politics and government for more than 20 years and I’ve sat
through more rump-numbing legislative
hearings than I care to think about.
But I’ve never witnessed anything
quite like the “Henry Waxman Show.” My
suggestion would be to cancel it.
✺
✺
✺
Governments continue to crack down
on the use of cell phones while driving,
which is about the best traffic-safety
measure that I can imagine. If you ever
pull up behind a vehicle in the passing
RV Business Senior Editor Bob Ashley is an Indianapolis-based freelance writer/ editor and
a 25-year newspaper veteran. He focuses on the RV industry and national recreation issues.
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Formaldehyde and
Politics Don’t Mix –
and Neither do Cell
Phones and Motor Vehicles
047-RVB_0808_LO_Pub_Domain
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Page 48
RETAIL TRENDS
May ’08: Sales Volume is Down Across the
Board, but Larger Dealers Report Net Profit
This is the financial report for the 5 months ending May 31, 2008. While the slow market continues to
impact net profits, dealerships are narrowing the losses through reduced expenses and increasing revenue from their service departments. Even so, total dealership sales are down in double figures for larger stores. Overall, new RV sales continue to lag, down by 3.9%, 13.2% and 16.8%, respectively, compared to ’07 levels; the drop-off in used RV sales is greater still. However, mid- and large-sized retail
stores report net profits, albeit substantially reduced from last year’s levels at this time.
$1 Million to $5 Million Dealers
MAY YTD
New RV Sales
Used RV Sales
Total Dealership Sales
2008 AVERAGE DEALER
$968,233
$250,873
$1,550,267
14.0%
18.5%
2007 AVERAGE DEALER
$1,007,317
$296,207
$1,667,458
14.5%
27.0%
CHANGE
-3.9%
-15.3%
-7.0%
GROSS MARGINS
Total Company GM
$395,879
GM %
25.5%
$422,104
GM %
25.3%
0.2 pts.
Expenses
Personnel Expense
Advertising Expense
Total Expenses
$214,156
$35,376
$403,763
% GM
54.1%
8.9%
102.0%
$222,043
$37,788
$419,684
% GM
52.6%
9.0%
99.4%
1.5 pts.
-0.1 pts.
2.6 pts.
Net Profit/Loss
Net Profit % of Sales
($7,884)
(0.5%)
0.6%
-425.9%
(2.0%)
$2,419
0.1%
$5 Million to $10 Million Dealers
MAY YTD
New RV Sales
Used RV Sales
2008 AVERAGE DEALER
$1,883,384
$450,805
$3,054,882
14.6%
19.8%
2007 AVERAGE DEALER
$2,168,818
$576,779
$3,470,390
14.7%
20.8%
CHANGE
-13.2%
-21.8%
-12.0%
GROSS MARGINS
Total Company GM
$807,487
GM %
26.4%
$875,387
GM %
25.2%
1.2 pts.
Expenses
Personnel Expense
Advertising Expense
Total Expenses
$380,828
$57,023
$706,358
% GM
47.2%
7.1%
87.5%
$387,623
$57,295
$718,531
% GM
44.3%
6.5%
82.1%
2.9 pts.
0.6 pts.
5.4 pts.
Net Profit/Loss
$101,129
3.3%
17.9%
-35.5%
12.5%
$156,857
4.5%
$10 Million and Higher Dealers
MAY YTD
2008 AVERAGE DEALER
$4,496,100
$1,353,717
$7,361,882
GROSS MARGINS
Total Company GM
$1,733,688
GM %
23.5%
$1,977,893
GM %
22.7%
0.8 pts
Expenses
Personnel Expense
Advertising Expense
Total Expenses
$823,955
$116,235
$1,500,790
% GM
47.5%
6.7%
86.6%
$867,823
$120.195
$1,568,905
% GM
43.9%
6.1%
79.3%
3.6 pts.
0.6 pts.
7.3 pts.
Net Profit/Loss
$232,898
3.2%
20.7%
-43.1%
13.4%
$5,406,597
$1,668,612
$8,700,616
$408,988
4.7%
13.5%
18.8%
CHANGE
New RV Sales
Used RV Sales
48
13.3%
17.7%
2007 AVERAGE DEALER
-16.8%
-18.9%
-15.4%
lane going 15 miles an hour less than
the speed limit, that driver invariably is
talking on a cell phone.
The latest state to outlaw cell-phone
use while driving was California, where
the practice was outlawed effective July
for all drivers — whether the motorist is
from California or another state.
The Family Motor Coach Association
recently included a warning for RVers in
its Family Motor Coaching magazine.
Connecticut, New Jersey, New York and
Washington, D.C., have similar bans.
And so do countries in Europe. I
recently spoke on the phone to an RV
distributor in Germany who seemed
nervous and quickly cut our conversation short. “I’m on a cell phone and if the
police see me, I’m in real trouble,” he
said. I called him back at his home the
next day.
✺
✺
✺
The Recreation Vehicle Industry
Association is adjusting its popular
Trouble Shooter Clinics to reach more
already-certified techs while concentrating on one subject. Previously, sessions
dealt with multiple subjects and were
open to any tech — certified or otherwise.
“Often there’s a guy sitting there
who’s been a tech for six weeks next to
a guy who’s been in the business for 25
years,” said Bruce Hopkins, RVIA vice
president of standards and education.
“We wanted to offer more thorough
training.”
The February 2010 Trouble Shooter
Clinic scheduled for Oklahoma City,
Okla., will be the first offered only to certified techs and only will focus on RV
appliances rather than the regular curriculum that includes propane, brakes
and other subjects.
✺
✺
✺
Damage to diesel engine-maker
Cummins Inc. headquarters in
Columbus, Ind., from spring flooding
exceeded $1 million, mostly to the
Cummins tech center where computers
and fiber optic equipment were ruined ...
The auto industry is pushing back
against the fuel-mileage standards set
by Congress late last year. A planned
mandate to increase fuel efficiency by
4.5% a year from 2011 to 2015 would
go “beyond what is technologically feasible and economically practical,”
according to the Alliance of Automobile
Manufacturers, an organization comprised of Toyota Motor Co., General
Motors Inc., Ford Motor Co. and Chrysler
LLC, among others. 6
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Why Aren't You
Renting RV’s?
6 Reasons To Be In The Rental Business
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•
•
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and butter” product — folding camping
trailers — but the Bontragers concede tent
campers have lost their appeal to consumers in general.
“It is hard to give the same attention to
folding campers that we once did because
of all the other products we have,”
Wilbur said. “That market has changed
with expandables. Years ago buyers didn’t
have the vehicles capable of towing
expandable and smaller travel trailers and
today they do.”
Additionally, Jayco is in competition
with itself in that market — in January
1991, Jayco Corp. purchased Starcraft RV
and quickly hired industry veteran Don
Walter to head the operation. He’s been
the Starcraft president ever since. Today,
Starcraft RV is best known for its folding
camping trailers but it also builds softsided truck campers, both lightweight
and full-size travel trailers and fifthwheels. The two firms, Jayco Inc. and
Starcraft, wage a head-to-head battle in
the folding camping market and stood in
the No. 3 and No. 4 spots, respectively,
entering 2008.
Two years ago, Starcraft came out with
a high-walled camping trailer it calls the
Centennial and that has done well, Walter
said. The company also introduced the
RT series, “a big knobby-wheeled, SUVtype approach to a camping trailer with a
rugged physical appearance. That’s been a
nice shot in the arm for us,” he added. The
series is designed for rougher roads with
high, open wheel wells, larger tires, mud
flaps, and super lube axles for easier, more
controlled off-road towing.
Walter said Starcraft has tweaked some
floorplans and graphics for the ’09 models,
but has made no major changes.
Key Jayco management met in May with
the company’s Dealer Council to review
2009 product offerings. Between then and
when the company ramps up production
this summer, the products will be tweaked
in large part based upon the input from
their dealers, the Bontragers indicated.
“I give them (Dealer Council) tremendous credit over the years for steering us in
the right direction,” added Derald. “We
often come back and even though the
product is ready to go, we will make
adjustments, especially if we find we are
off in left field. We take their input very,
very seriously.”
Jayco also is developing an extensive
eBusiness initiative that will allow dealers
to perform a variety of time-saving actions
online on a virtual 24-hour per day, sevenday per week basis, including RV and
parts ordering, warranty registration,
claims submissions and checking order
status. 6
COACH GLASS INC., CIRCLE 119 ON READER SERVICE CARD
Jayco from page 29
050-RVB_0808_LO_Ad Index
7/16/08
2:48 PM
A D V E R T I S E R S ’
Page 50
I N D E X
FOR ADDITIONAL INFORMATION on products and services advertised in this issue, circle the number on the
attached Reader Service card corresponding to the number of the company that interests you, and mail.
RS# Advertiser
Pg.#
111 B W Trailer Hitches . . . . . . . . . . . . . . . . . . . . . . . . . . . . .44
113 Camco, Inc. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .46
108 Carefree of Colorado . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 45
Classifieds . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .56
119 Coach Glass Inc. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .49
107 Coach Net . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 19
Freightliner . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 11
106 GE . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .60
115 KeyCorp . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .13
110 MBA Insurance, Inc. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 49
148 MOR/Ryde . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .17
104 Maxx Air Vent . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .47
103 Monaco Coach Corporation . . . . . . . . . . . . . . . . . . . . . . . .2
137 Pennsylvania RV and Camping Association . . . . . . . . . . .50
102 Recreation Vehicle Industry Association . . . . . . . . . . . . . .15
101 TrailManor . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .5
112 Zurich . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .9
PENNSYLVANIA RV & CAMPING, CIRCLE 137 ON READER SERVICE CARD
While every effort is made to maintain accuracy and completeness,
last-minute changes may occasionally result in omissions or errrors.
50
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Page 51
of the NEWS
MVP RV from page 14
Thor had lost its patience with Thor
California that we wanted a chance as a
trio to come in and buy the company,”
Humeston said. “We were able to make
the numbers work.”
MVP RV is hitting the ground running with the introduction of the new
Coast ultra-lightweight towable series.
Marketed in a dozen 13- to 33-foot
floorplans with up to two slideouts,
Carmona said Coast will achieve major
weight savings, in part, from a patented crown roof system. Dry weight of
the 13-foot prototype is 4,500 pounds.
No MSRP has been established.
“We’ve remade everything,” said
Williams. “Everything is very efficient,
and we are building to order.”
MVP RV will continue to operate out
Gamel from page 12
tion, even at campgrounds.
Though overall profits have been
down compared with the first quarter
of 2007, March and April both
showed sharp increases in sales. But
Gamel said revenue fell in May when
gas prices continued to climb and “the
media continued to paint a bleak picture for summer travel and the future
of gas automobiles.”
Despite investing millions in the
operation, Gamel said the cost of
“flooring inventory that is moving too
slowly” and the inability to secure
loans led to the decision to close his
dealerships while the corporation is
still solvent. Once all inventory is liquidated, the company will evaluate
whether it's feasible to keep one or
two stores open. Gamel also plans to
sell off his commercial real-estate
NHTSA Recalls from page 18
■ Travel Units: 2 (2000) Travel Units
Models 3300FB-5 and 3600FB-5
motorhomes
■ Winnebago Industries Inc.: Certain
motorhomes.
■ 4,231 (1999-2002) Coachmen
Georgie Boy Cruise Master, Landau and
Pursuit, (1999-2000) Cruise Air, (19992001) Maverick and (2000-2002) Georgie
Boy Suite motorhomes
■ 1 Forest River (2001) Tsunami Class
A diesel pusher motorhome.
of Thor California’s former 150,000square-foot, three-building campus,
manufacturing existing Vortex and
Tahoe towable sport utility RVs and the
conventional Jazz, Wave and Summit
fiberglass-and-aluminum travel trailers
and fifth-wheels.
With 250 employees, the company is
beginning production on a four-day-aweek schedule, although MVP is
preparing for the coming economic
recovery.
“California typically pulls out of a
downturn first in the nation,” said
Humeston. “I have a feeling that it’s
going to bottom out soon, and we are
optimistic that the southern California
region will take off quicker than the
rest of the country — probably sometime next year. We are going to be
ready for that.” 6
holdings in Fresno, Modesto, Rocklin
and Redding.
Gamel has been a pioneer in the RV
industry. At the age of 27, he was the
youngest person to serve as president
of the California RV Dealers
Association and was a delegate to the
national association from 1977 to
1981.
“I’ve been in this business 32 years.
It's been quite a ride and I’ll always be
passionate about RVing and helping
others to experience that freedom,”
Gamel said. “There are few activities
that you can enjoy with your family
that bring you together to spend real
one-on-one time — parents with children, sisters with brothers, grandparents and cousins. It’s the stuff that
strengthens family ties and grounds
our kids and helps us to nurture strong
leaders. That’s what RVing will always
be about to me.” 6
Additionally, the following have been
issued in connection with an ongoing
Dometic recall:
■ Extreme RV: 12,951 (2003-2004)
Extreme RV Sportsmaster, Monterey,
Extreme and (1997-2003) Kit RV Calay,
Companion, Espre, Extreme, Millinium,
Monterey, Patio Hauler, Road Ranger,
Sportsmaster and Sunchaser travel and
fifth-wheel trailers.
■ 37,293 Coachmen motorhomes and
fifth-wheels.
■ Certain New Horizon fifth-wheel
and travel trailers. 6
Sobel on Sales from page 16
salespeople trained through Sobel and
Associates, Inc. we are able to see very
quickly which dealers understand this. In
fact, one dealer we know will not hire
anyone who has not made more than
$100,000 in their previous job. This dealer, during the last 10 years, has sent us
high-quality students who produce
instant results. Such dealers realize that
if these salespersons were the top in
their previous profession, they will be
the top no matter where they go,
because winners know how to win.
Another dealer follows something I
taught him years ago, as well: “You are
better off not having your clients helped
at all than be helped by someone who
will damage your reputation.” With
Internet blogs about your business being
written and read daily by your shoppers
and buyers, contaminating your client
base takes years to correct!
As for the “fertile soil” needed to
grow your business — this refers to the
culture and principles that guide your
entire company when no one is looking.
Even good seeds can’t grow in contaminated soil! Commit statements like the
following to heart as examples of principles and culture that must guide your
business: Because of our clients, we
exist; We do not open our mouth unless
what we are saying is in direct benefit to
our clients; Be respectful of our client’s
time, wants, needs and budget; Deliver
an A+ presentation every time; Study
continuously and be the most knowledgeable about your product; Provide
continued service after the sale; Know
your inventory inside and out; Be empathetic towards your clients; Respect the
investment your dealer has made to
give you the opportunity for unlimited
wealth; Protect your dealership reputation at the store and in the public.
Remember, great salespeople will not
work in a business without professional
ethics and values.
I hope this farming analogy worked for
you. I know that as time goes on, the
only thing we can count on is change.
We must be ready with an open mind —
and be willing to adapt quickly to whatever the economy throws at our business. Developing our employees is the
most critical part of a successful future.
The times are challenging, and things
will not get better unless, and until, we
make aggressive changes. Just keep in
mind that it is never too late to give your
employees the training they need. We as
an industry cannot afford to lose potential clients because of a poor experience
at any dealership. Know, too, that positive thinking by itself will not fix all problems — action is what is needed during
demanding times. 6
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of the NEWS
Carriage Looks Into Cameo Tank-Capacity Discrepancy
Millersburg, Ind.-based Carriage Inc. announced
June 23 that after being contacted by concerned
customers, it has completed a review of a discrepancy between the stated and actual holding capacity of grey water and black water tanks on 2001current Cameo model fifth-wheel trailers.
In a statement, Carriage said it recently learned
that the 55-gallon tanks utilized to hold the grey
water and black water on the Cameo models in
reality have a holding capacity of 45 gallons each.
In the course of its investigation, Carriage said it
found that the discrepancy can be traced back to a
planned tank expansion for the 2001 model year.
The dimensions of the then newly-enlarged tank
were based on an older volume calculation which
“appears to have been erroneously applied to the
2001 model year specifications.”
While Carriage has been contacted by some
customers regarding this issue, the company has
not received any capacity complaints related to the
use in the field. Carriage is in the process of revising the tank design to reflect an accurate capacity
figure upon which its customers can rely.
Carriage said it is “working diligently on a solution for this issue with regards to units that are currently in the field.”
The company is in the process of testing a new
55-gallon tank for a retro-fit installation into 2001-
Michigan Camping Resort Offers
RV Owners $1/Day Storage Fees
A family-operated northern Michigan campground is making a bid to save
threatened summer vacations for RV owners whose wallets have been hit hard by
soaring gas prices.
Mackinaw Mill Creek Camping located in Mackinaw City, Mich., is offering $1 per
day RV storage. According to a news release, this allows RV owners to leave their
RVs parked in one of the nation’s most popular vacation hotspots and then travel
to-and-from the waterfront campground resort whenever they want without having
to drive and/or tow anything with them.
Frank Rogala, one of the brothers operating Mackinaw Mill Creek Camping, is
calling for other businesses, communities and state agencies to make similar
arrangements for RV owners. “This needs to be done now, so that family vacations
can be salvaged, before summer is over. I see this as urgent. Vacations are as
American as apple pie,” Rogala said.
“Americans work hard and in these parts of the country there are only a few
months of nice weather when families gather and take vacations. We’ve seen a
sharp downturn in the number of people traveling and camping and it’s a sad thing.
This is something that with a little bit of planning and coordination — doesn’t have
to happen,” explained Rogala. Michigan state parks have recently begun offering a
limited number of spaces for RV storage for 15 days at a time. “I am glad to see
them starting to act on this, but it is only a start,” Rogala said.
“We offer RV storage 365 days a year so that our campers don’t have to watch
the calendar and worry about what day a RV has to be moved. We have over 30
years’ experience in RV and trailer storage,” said Rogala, “so this isn't an experiment. The only thing new about our RV storage is how much more money it can
save RV owners.” 6
TriMas Announces Upper-Management
Moves to Streamline Decision-Making
TriMas Corp.’s board has restructured
the top of the company as it redistributed
management authority and eliminated a
handful of executive positions, according
to a report in the Oakland Press, Pontiac,
Mich.
Grant Beard, president and chief executive officer of Bloomfield Hills-based
TriMas, said June 25 the changes will
allow the company to streamline its decision-making process and reduce costs,
saving as much as $3 million. The initial
savings, however, will be offset by onetime charges of $2.2 million.
The company serves the RV industry
through Plymouth, Mich.-based Cequent
Towing Products Group, which supplies
products under brand names that include
Draw-Tite, Reese, Fulton, Wesbar, Bull
Dog, Hidden Hitch and Tekonsha.
Sherry Lauderback, TriMas vice presi-
52
dent of investor relations and communications, said the company wasn’t disclosing
how many jobs were being eliminated.
“We haven’t disclosed the number of cuts.
It’s very small, relative to the number of
employees in the company,” she said.
However, executive Jeffrey Paulsen,
who was group vice president for industrial specialties and energy products, has left
the company, according to reports the
company made with the Securities
Exchange Commission (SEC).
As part of the change, Edward Schwartz
was promoted to executive vice president
responsible for the operational oversight of
four of TriMas’ business segments, including energy products, industrial specialties,
RV and trailer products and recreational
accessories. Schwartz has been a member
of the TriMas management team since
February 2003.
current Cameo models. Once the new tank is tested and field-ready, Carriage will notify customers
to schedule when they can bring their units to the
factory for installation of the new grey and black
water tanks at the factory in Millersburg, at no
charge to the customer.
The company is also offering, as an alternative
to the tank replacement, a rebate certificate for
$500 toward the purchase of a new Carriage unit
good for the lifetime of the current Cameo unit
owner. These certificates can be obtained by
contacting Carriage customer service and providing the requisite information to obtain such
a certificate. 6
Cavco Helps Solve KOA
Park Model Dilemma
Company Steps in When Another
Leaves Orders Unfulfilled, Allowing
Parks to Retain Summer Bookings
Financial problems apparently left Cairo, Ga.-based Park
Models Manufacturing Inc. unable to complete 20 park models ordered by Kampgrounds of America Inc. (KOA) corporate- and franchise-owned parks, even though substantial
deposits had already been made for the units, according to
Mike Gast, KOA’s vice president of communications.
When Phoenix, Ariz.-based Cavco Industries Inc. heard
that three KOA franchisee parks were not going to get their
park models, the company stepped in to help.
In an “extraordinary move,” according to Gast, Cavco told
KOA it would complete six pending park model orders for the
three KOA franchises in exchange for the remaining amounts
previously due to Park Models Manufacturing. That way, the
KOA park owners wouldn’t lose any money on their orders.
Park Models Manufacturing was to have built the remaining 14 park models for KOA corporate owned parks. Officials
with the company could not be reached for comment.
Gast said six of the outstanding park model orders were
for KOA franchises in Gettysburg, Pa.; Ruffs Dale, Pa., near
Pittsburgh; and Gretna, Neb., near Omaha.
“We wanted to be a part of this and help out,” said Tim
Gage, vice president of Cavco’s Specialty Division, adding
that the company worked overtime in June in an effort to
deliver the units by early July so that the campgrounds could
capture as much summer business as possible.
Eric Murray, owner of KOA Omaha West in Gretna, said he
had two park models on order from Park Model
Manufacturing and had already booked 55 nights’ worth of
reservations for the new units. Once Murray receives the two
units from Cavco, he will have a total of five park models at
his campground.
At the corporate level, KOA remains upbeat on the idea of
using park models as rental units, even though the Billings,
Mont.-based company has had problems with two park
model manufacturers that have recently gone out of business, leaving campground owners on the lurch. The other
company was Thomasville, Ga.-based Stewart Lodges,
which exited the park model business a few years ago.
“We’re sold on the park model concept,” said Mike
Atkinson, KOA's facilities development manager. “Cavco has
been the steady rock the whole time. They’ve always been
there and have always been a stable, reliable company for
us.” Atkinson added, “In my book, loyalty is rewarded with
loyalty.” 6
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Page 53
■
S U P P L I E R
BY STEVE BIBLER
S H O W C A S E
Thetford Corp. Takes RV Sanitation
and Refrigeration Systems Global
Started 45 years Ago in
Tiny Thetford Township,
Michigan, the Firm Now
Boasts Manufacturing
Facilities in 4 Countries—
and Services Customers
Around the World
Thetford Corp. takes a global view
when it’s designing and introducing
new products or marketing its existing
products, so the current downturn in
the U.S. RV industry is not stifling the
Ann Arbor, Mich.-based supplier of
sanitation and refrigeration products.
In fact, just the opposite may be true:
Thetford, the world’s leading supplier
of sanitation and refrigeration products
for the recreational vehicle, marine and
heavy-duty truck industries, saw a
“modest” uptick in worldwide sales in
2007.
The company has also invested
significantly to bring several new prod-
Jack Tierney
ucts to market for 2008, its 45th year in
business. These include the newly
acquired RV Sani-Con holding-tank
evacuation system; Spinflo cooking
appliances developed in England;
additions to its industry-leading lineup
of RV care products; and an improved
line of SmartTote portable waste-water
holding tanks. All were introduced at
the National RV Show in Louisville
last November.
Meanwhile, at the International
BoatBuilders’ Exhibition and Conference (IBEX) last October, Thetford
launched three new Norcold refrigerator lines, a “revolutionary” new manual-pumping toilet and an all-new
“green” lineup of marine-care products
under a new Thetford Marine brand
name as part of an extensive $2 million
marine product introduction program.
“Strong suppliers will continue to
invest in new product development
despite periodic market fluctuations,”
said Kevin Phillips, Thetford’s vice
president of sales and marketing. “We
are facing the same material-, transportation- and employment-related
cost pressures as our customers and
other RV and marine suppliers but
know that our customers continue to
value innovative new products.”
Thetford makes hundreds of products and divides these internally into
about a dozen categories. Within each
category may be dozens of products
and options, Phillips explained.
“We are constantly looking for new
products we can design in-house. It has
been very successful for us,” added Jack
Tierney, Thetford president and CEO,
noting that the company invests more
than 6% of its annual revenues in
Europe and North America in product
development.
It may sound simplistic, Phillips said,
but “We focus on what customers will
want to use and we design products to
meet those usage patterns. To customize that for local implementation,
we think, is one of our real strengths.”
Kevin Phillips (right), Thetford Corp.’s vice president
of sales and marketing, with a worker on the company’s toilet production line.
V I T A L
S T A T I S T I C S
COMPANY: Thetford Corp.
(www.thetfordcorp.com)
LOCATION: Headquarters in Ann Arbor, Mich.,
with manufacturing facilities in Michigan, Ohio,
England, The Netherlands and Italy, and sales
offices throughout the world
PRIMARY PRODUCTS: Thetford subsidiaries include Norcold, America’s leading
manufacturer of gas-absorption refrigerators
and freezers for marine-, RV- and heavy-duty
truck markets; Wilcox Crittenden, a manufacturer of specialized marine and industrial
hardware; Tecma, a producer of fine-china
toilets and powerful waste-transfer systems
based in Italy; and Spinflo, a unit in England
that manufactures high-quality cooking and
heating appliances as well as accessories
KEY PERSONNEL: Jack Tierney, president
and CEO, Kevin Phillips, vice president of sales
and marketing
EMPLOYEES: 1,500-plus worldwide
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Thetford’s Long History
Peppered With Design
Innovations, Products
This product display showcases a cross-section of Thetford’s RV and marine satitation products. The company has pioneered a number of innovations in the industry, from holding-tank chemicals to the first hand-carried portable toilet.
A good example of this occurred after
Thetford formed a Dealer Council last
year. Thetford set it up to get feedback
on its products and fielded a suggestion
that it needed to create a product
to deodorize holding tanks over long
periods of disuse. The result is a new
product to meet this need.
“When we look at our sales, more
than 80% of our sales in 2007 were
either newly designed products,
redesigned products or a product we got
through acquisition,” said Tierney, who
joined the company in 2000 and was
named CEO in 2007.
Thetford has engaged in an aggressive acquisition mode in this decade,
acquiring four key firms since 2002 (see
timeline). The company’s 1,500
employees worldwide are evenly split
between the U.S. and Europe. While
Tierney declined to break down sales
between the two major markets, he did
explain how the company’s global footprint gives it a big advantage over many
other suppliers.
Thetford’s penetration into some 60
countries worldwide provides it a protective hedge and insulates it somewhat
when some markets are down. For
example, Tierney notes that the
European market is stronger currently
than the U.S. market and yet within
that continent, “not every country in
Europe moves together economically.”
Not only do the markets behave differently, but certain products need to be
engineered differently, creating some
special design challenges in Europe
where RVs are smaller than North
54
American models. “On the sanitation
side, caravans, which are equal to our
travel trailers, typically don’t come
equipped with holding tanks, so it
requires us to provide a self-contained
holding tank for our products. On the
refrigeration side, our products are
much smaller because the units are
much smaller,” Tierney said.
Always an innovator, Thetford strives
to cut costs by adopting “best practices.”
“We have a very strong lean manufacturing ability within our plants,” said
Phillips. “A lot of people say that (about
themselves) but the key is what we have
learned with our affiliation with the
University of Michigan,” whose main
campus is also located in Ann Arbor.
“What does ‘lean’ mean?,” interjected
Tierney, picking up on Phillips’ point.
“It is about removing costs all the way
through the supply system, not just
pushing it around but removing it. You
don’t want to remove a cost from a supplier and add it to a customer. Over
time, that could have a bad result for
everybody. Lean is removing a cost
throughout the supply chain so everybody benefits.”
Thetford has been aggressive in its
lean manufacturing approach and doesn’t keep it a secret. It has hosted some
200 factory tours to OEMs and other
suppliers from around the world
through the years. In fact, the
University of Michigan M.B.A. program incorporates a tour of the
Thetford facilities as part of its “before
and after” studies. “We’re in the ‘after’
part,” Tierney noted. 6
Thetford Corp. was founded in Thetford
Township, Mich., in 1963. Three years later the
company designed and developed the first lowwater-use toilet for the RV industry. The next
year it introduced the first toilet issue especially
for RV use and the first in a long line of holdingtank deodorants. The company also invented the
Porta-Potti, the first hand-carried toilet. Thetford
also entered the marine, camping, hunting and
fishing markets and became a leader and innovator in sanitation products for these markets.
While Thetford was developing its line of RV
toilets, another product innovator, Norcold, was
making its mark in the RV industry. Founded in
1959 in California to manufacture and sell specialty refrigerators for the then-small RV and
marine industries, Norcold prospered as the RV
industry grew, growing from a family-run company to an industry leader. Norcold moved its
refrigerator production to Sidney, Ohio, in 1964.
The two would become sister companies in
1997 when Dyson-Kissner-Moran Corp. (DKM), a
private equity form which had acquired Thetford
in 1990, purchased Norcold.
A list of key Thetford milestones during the
company’s 45-history:
1963 - Thetford founded.
1966 - Developed RV industry’s first low-wateruse toilet.
1967 - Introduced Aqua-soft, first toilet tissue
designed for RV use, and Aqua-Kem, first concentrated holding-tank deodorant.
1968 - Introduction of the Porta-Potti, first
hand-carried portable toilet.
1971 - Developed first polyethylene RV holding
tanks; begins international sales.
1986 - Introduction of Cassette Porta-Potti, first
permanent toilet with a removable holding tank.
1990 - Acquired by Dyson-Kissner-Moran Corp.
1997 - Purchased Ohio-based Norcold, a leading
manufacturer of RV refrigerators.
2002 - Acquired Tecma, an Italian supplier of toilets and waste-maceration and transfer systems.
2003 - Purchased Wilcox Crittenden, major
manufacturer of marine sanitation products.
2004 - Introduced first in-the-door water
dispenser in an RV refrigerator.
2005 - Acquired Spinflo, a UK-based manufacturer of high-quality RV cooking and heating
appliances.
2007 - Purchased RV Sani-Con Systems, a
producer of holding-tank management systems.
2008 - Unveiled a new line of boat-care products under the Thetford Marine brand name. 6
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E D G E
SHELL ROTELL A T SYNTHE TIC 5W-40 MOTOR OIL
A lot of RV enthusiasts rely on diesel engines to deliver the needed power, torque and reliability. With the introduction of Shell Rotella T
Synthetic 5W-40 motor oil, they can enjoy the benefits of synthetic motor oil with the protection offered by API CJ-4 motor oil. According
to Shell, the new synthetic oil offers significant improvements in wear protection, soot control, deposit control, heat resistance and protection in extreme climates — and can also provide enhanced fuel economy versus conventional 15W-40 motor oil. Shell Rotella T
Synthetic 5W-40 meets or exceeds API CJ-4 specifications. The new formulation also is said to offer better flow through a cold engine
compared to regular motor oil, and provides for faster oil flow to the upper deck of the engine for added protection. The new synthetic
is compatible with the exhaust after-treatment devices such as diesel particulate filters (DPF), and is also suitable for heavy-duty diesel
engines built prior to 2007. Available in bulk, drums, gallons and quarts. Contact: Shell Rotella T, (800) 291-8656, www.rotella.com.
TRANSFER FLOW FUEL TANK
Frequent fuel stops are no way to enjoy an extended RV vacation. Transfer Flow
has introduced a 50-gallon mid-ship diesel fuel-tank system for 1999-2008
Ford F350, F450 and F550 chassis cabs with 84-, 108- and 120-inch cab-axle
lengths, as well as some 60-inch cab-axle models. This fuel tank can replace
the smaller stock mid-ship tank, or be used as an auxiliary fuel system on chassis with an aft fuel tank. Manufactured from 12- and 14-gauge aluminized steel
and powder-coated black, the tank features baffles to increase strength and
reduce fuel slosh. This tank system comes with new straps and all necessary
mounting hardware, and auxiliary applications also include Transfer Flow’s
patented TRAX-II operating system which displays fuel volume and automatically transfers fuel between the two tanks. Contact: Transfer Flow Inc., 1444
Fortress St., Chico, CA 95973, (800) 442 0056; www.transferflow.com.
COLE HERSEE 200-AMP ELECTRONIC REL AY
When it comes to comfortable camping, you really can take it with you — but all those upgraded components can stress out electrical systems. The new 200-Amp Electronic Relay from Cole Hersee Co. is
designed for ultra-high-power electronic applications and, according to the company, will protect motors
and other loads from damage due to overcurrent and overheating. The 12-volt DC relay is fully-sealed
and protects expensive system components from damage, making it ideal for severe environments —
such as those conducive to corrosion and vibration — as well as temperature and humidity extremes.
Additionally, this relay can be used in hard-to-access locations. According to the company, the 200amp relay can also reduce downtime caused by repeated replacement of conventional solenoids, while
its solid-state design eliminates contact wear and extends service life to 1,000,000 cycles. Contact:
Cole Hersee Co., 20 Old Colony Ave., Boston, MA, 02127-2467; (617) 268-2100, www.colehersee.com.
PACE EDWARDS POWERGATE
You can't duplicate the pulling power of a pickup with a minivan —
but most pickups would be hard-pressed of offer the security of a
fully enclosed van. The Pace Edwards PowerGate tailgate lock is a
convenient and effective way to provide added security for your
truck’s bed — and now it’s available for ’07-’08 Chevy/GMC pickups.
Installed inside the tailgate using Pace Edwards’ plug-and-go wiring harness, the PowerGate
locks your tailgate electronically every time you lock the vehicle’s doors — using the original remote
key fob. Made in the USA, the PowerGate includes a stainless-steel backing plate and slide bolt with a
nylon guide block for smooth operation. For vehicles without power door locks, Pace Edwards also offers an
optional switch kit. The PowerGate also complements any Pace Edwards retractable truck bed cover. Contact: Pace
Edwards Co., 2400 Commercial Blvd., Centralia WA 98531, (888) 640-5902, www.pace-edwards.com.
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C L A S S I F I E D
Page 56
A D V E R T I S I N G
BUSINESSES
FOR SALE
MOTORHOMES
WANTED
RV
PARTS
BECOME AN RV RENTAL DEALER
El Monte RV is expanding its Dealer Rental
Network. The company is currently looking for
new dealers in key areas throughout the USA.
El Monte RV supplies the motorhomes, reservations, and necessary training and software. For
additional information, please call “Dealer
Program” at (800) 367-4707 or visit our website
at www.elmonter v.com and click on the
“Contact Us” link and select “New Dealer
Inquiries”.
WE BUY MOTORHOMES
’98 & Newer - Clean - Low Miles - No Smoke/Pet
CASH Payment & NATIONWIDE Pick Up
Contact Bill Fishfader @ 1-509-993-0321
RVs NORTHWEST • SPOKANE, WA
www.WinnebagoParts.com or 800-933-7742
Parts for all Winnebago/Itasca products
plus LeSharo/Phasar, Rialta & Eurovan.
Personal service at fair prices for our
customers worldwide. If outside US, call
641-896-2222. Hours: 8-5 Central M-F
HELP
WANTED
RV TECHNICIAN
Immediate openings for experienced RVIA
certified technicians. Year round work.
RV/General Motors dealership on I-10 just
west of Houston is looking for two to three
RV techs. We are covered up!! Potential is huge
for earnings and advancement. Excellent pay
plan. Stable work environment. Family-owned,
same location for 26 years. Fax resumé to
(979) 885-1072 or call (979) 885-3554.
CLIFF JONES RV/AUTOWORLD, Sealy TX
INSTANT CASH FOR 2002 - Current model
motorhomes. All models Top$$ + Quick pickup.
Call or email Craig Woods, 1-800-511-8502,
[email protected]. North Bay Ford RV.
Helping the RV Industry grow for over 40 years!
ATTENTION DEALERS!
Packrat RV, a licensed Dealer, buys the
motorhomes you don’t want on your lot.
Nationwide!
Call Clint 1-877-520-MINI (6464)
Coachmen Wholesale Parts Depot
An Authorized Coachmen Parts Distributor.
Call us for all your Coachmen Sportscoach
Shasta needs. Courteous, experienced staff.
Wholesale Pricing. Same Day Service. 8-5 EST
(866) 412-7936 www.coachmenparts.com
VISIT RVBUSINESS.COM
FOR UP-TO-THE-MINUTE INDUSTRY NEWS!
©
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Use this form or your own stationery to submit your ad copy!
Classified Ads — Priced at $18 per line, 40 characters and spaces per line, five-line minimum.
Ad closing for the October issue is August 6. This issue reaches subscribers September 26.
GENERAL INFO: Blind Box service is available at an additional cost of $15. Allow one line of billable space for Blind Box address.
For ad with photo, limited to RVs and real estate, please add $30. • For your ad to appear in red type add $25.
All classifieds are prepaid by check, credit card or money order. No agency commissions or cash discounts.
Please refer questions to Angela Pezzullo at (805) 667-4391, email [email protected]
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of the NEWS
Layoffs from page 10
half week shut down this year instead of
a normal one-week shutdown.
That news came on the heels of a cutback at Nappanee, Ind.-based Newmar
Corp., which could affect around 40%
of the work force.
According to a report in the Goshen
News, Newmar currently employs 780
people. Keith Weirich, director of
human resources, said that most of the
lost jobs will come from the production lines.
The cuts are “related to the slowdown
in the economy, and the lack of demand
for RV products,” Weirich said.
Newmar builds Class A motorhomes
and fifth-wheel trailers at its factility in
Nappanee.
It was the second round of layoffs this
year for the Class A motorhome and
fifth-wheel builder.
“We’re laying off some people trying
to right size our work force according to
the available business,” Dick Parks,
CEO and chairman of the familyowned firm, told RVBusiness. “Right
now we’re in the process of making
plans for the future based on what the
market dictates.”
In February, Newmar laid off around
13% of its 905 workers. Parks did not
specify a number but confirmed that the
latest cut would impact around 40% of
the company’s current employees.
The largest employee cutback was registered at Fleetwood Enterprises, which
reported June 13 that layoffs would
impact more than 600 employees at all
of the company’s U.S. recreational vehicle plants, including three motorized
facilities and four towable operations.
Fleetwood from page 10
industry is very viable, from a product
standpoint, it will look significantly
different than it has over the last several decades.”
Fleetwood is already seeing a dramatic shift in buyer wants away from
Class A motorhomes and toward
Class C’s, the latter ending the quarter
up 21%. This shift triggered a swing
for the motorhome division from a
substantial operating profit last year to
an operating loss this year.
In its earnings report released June
26, Fleetwood said its fourth-quarter
net income totaled $18.9 million
“These cutbacks were strictly a matter of keeping our production in line
with demand,” said Kathy Munson,
director of investor relations. “We’re
currently trying to gauge where the
industry is going and right now the
outlook is not good. In our fiscal fourth
quarter that ended in April our motorized sales were down 31% from last
year and towables were down 29%.
That matches pretty well with industrywide numbers.”
The bulk of the work force reductions
targeted Fleetwood’s Decatur, Ind.,
plant where 301 workers were laid off.
“It’s our largest facility and produces all
of our diesel-pusher motorhomes,”
Munson noted.
Overall, the loss of 624 jobs represented 20% of the builder’s motorhome
work force and 15% of its trailer
employees.
The cutbacks haven’t been limited to
RV manufacturing. Lazydays RV
Center Inc., the nation’s largest singlelocation RV dealership, announced July
9 the layoff of 75 employees who made
up approximately 15% of the company’s
work force.
“This reduction in force was a necessary adjustment in light of the current
uncertain economic conditions combined with a significant downturn in
RV demand,” Lazydays Marketing
Director Tina Richey reported. The
firm now employs 561 workers, according to Richey.
In May, Lazydays posted a 9% drop in
revenue for its first quarter with both
new and used unit sales down from a
year ago. Sales of new RVs were down
10%, as Class A motorhomes were off
18%. Used RV sales dropped 3% during
the period. 6
compared with a year-ago loss of
$39.2 million. Fleetwood noted that
results reflected $24.1 million of gains
on real estate sales while the prioryear quarter included $9.6 million of
expenses primarily related to restructuring of the travel trailer division.
Recent property sales include its corporate headquarters in Riverside along
with its folding camping trailer division in Somerset, Pa.
Fourth-quarter sales declined to
$363.5 million from $488.3 million,
as RV revenue dropped more than
$110 million to $257.3 million, and
housing sales dipped about $10 million to $106.3 million. 6
IN BRIEF
May Motorized Sales Drop 33.8%.
Economic headwinds continued to impact
motorized sales in May as the sector saw a
33.8% decline from year-ago levels.
According to data from Statistical Surveys
Inc., Grand Rapids, Mich., overall motorized registrations totaled 3,321 units compared with 5,018 in 2007. For the five
months, sales fell 27.5% to 15,276 units
compared with 21,083. May retail sales of
Class A motorhomes plummeted 43.2%
from the previous year with 1,713 unit sold
versus 3,017. Year-to-date the sector
retreated 31.3% to 9,050 units from 13,176
in 2007. Class C sales dropped 19.6% in
May with 1,608 units sold compared with
2,001 last year while registrations declined
21.3% to 6,226 unit from 7,907 for the five
months.
Workhorse Realigns Sales and
Marketing Staff. Union City, Ind.based Workhorse Custom Chassis LLC
has restructured its sales and marketing
operations
while
appointing
Jim
Gavaghan to the newly created position of
vice president of sales for both commercial and RV chassis. Gavaghan is responsible for sales of both RV and commercial
chassis, while Tony Monda, current vice
president of RV sales and marketing, will
be responsible for marketing and product
planning for both RV and commercial
products.
Elkhart Firm to Handle Generac
RV Distribution. Generac Power
Systems Inc. is closing its generator products distribution center in Elkhart, Ind.,
and handing over warehousing, delivery
and value-added services for the RV
industry to Fleming Sales. Fleming, also
based in Elkhart, will represent Generac
Guardian-branded RV generators and,
over the next two months, assume responsibility and operations of Generac’s local
distribution center. Generac serviced its
RV customers from a 10,000-square-foot
facility in Elkhart. The center will be in transition this summer as operations are
phased in at Fleming Sales.
Go RVing Site Launches ‘Hit the
Road’ Game. The Go RVing website
recently launched an interactive game,
“Hit the Road,” designed to give consumers a “virtual preview” of what they
can experience when they travel by RV.
The object is to earn points by traveling
state by state in a virtual world. Players try
all RV types as they journey along their
desired route. As the player chooses destinations, information about sites and
attractions in the area appear on-screen.
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of the NEWS
GUEST
COMMENTARY
Pied Piper
from page 20 going to create a key factor that will
1982. In 1983, we started building
eight units a day — and have never
slowed down since.
As we moved into the 1990s, the
price of crude was spiked first by the
Gulf War and then by strong demand
from the Pacific Rim countries. Later
in the decade, declining Russian production and an economic crisis in
1998 in the Pacific Rim combined to
reduce fuel prices.
Why the history lesson?
Many of the factors affecting the
price of oil today parallel the events of
the ’70s, ’80s and ’90s. However,
demand is the one overriding factor
that was present in each of the previous situations; the problem was the
availability of fuel.
I have always said that if fuel is
available at some price, people will
buy motorhomes. That has held true
in our present-day situation, and at
TMH we are building 11 motorhomes per day. In 2007, we built more
than 3,000 motorhomes.
During all the earlier crises, we have
never changed our service philosophy
— and that is what has sustained
TMH. Of course, in 1973 we did not
have a service history to fall back on
because we simply had not built
enough units. But by the 1979-’81
crisis, we had a good track record in
service and parts, and that is what
helped us weather the storms during
those years. And no doubt, service —
along with our well-thought-out,
functional designs and floorplans — is
the key reason why we are doing as
well as we are today.
So what is the big question in
August 2008? Where will the price of
fuel go now? By looking at the past,
we can attempt to predict the future.
In both previous fuel crises in recent
history, energy prices stayed high for
an extended period — and then leveled off as the financial economic ship
righted itself. Income and prices in
other sectors of the economy
increased to compensate for the
increased price of fuel and ultimately
brought everything back into balance.
The key to the leveling process is
when and where the price of fuel will
settle for the long haul.
I believe that our technology is
58
affect the price of fuel. I am talking
about electric automobiles. In the
next 10 years, at least half of the cars
on our roads will be propelled by
some type of electric motors. That
change will greatly reduce our current
dependency on oil, not only in the
U.S. but also worldwide. Lowered
demand will increase availability
(supply) and force the cost downward. However, the reduction in
demand must be significant. OPEC
has had some limited successes
through the past 35 years by reducing
production (supply) to keep prices up.
With respect to our national economy, if the dollar remains low as it is
now in comparison to other currencies, our balance of trade will improve.
Even now, our products are a real bargain overseas. Eventually that will
cause the value of the dollar to rise,
which correspondingly will cause the
price of commodities to fall — and
that decline should include the price
of oil. This is the second factor that
should bring down the price of fuel.
Historically, the high price of fuel
has been an irresistible incentive for
U.S. companies to increase drilling
and exploration. When OPEC members see this happening, they will
reduce the price of crude both to compete with and to discourage the stateside companies in continuing with
drilling and exploration. By lowering
their price, the return on investment
for finding and sinking new wells
would not be as attractive. This may
be the third factor that will reduce the
price of fuels.
Incidentally, another striking contrast between now and the crises of
1973 and 1980 can be found in
interest rates. In 1980, for example,
the rate soared to 22%. In addition
to the lack of availability of fuel,
interest rates contributed to
depressed sales. As you know, interest rates are currently very reasonable
for qualified buyers. That's good for
business, period.
No matter what happens to the
price of crude, there will always be a
certain number of people who love the
motorhoming lifestyle and who will
want to continue to enjoy this great
country in which we live by “roughing
it” smoothly. 6
from page 12
According to the study, Itasca salespeople led
the salespeople from all other brands for mentioning the availability of different financing
options, overall product knowledge and handling
any required wait professionally. Damon salespeople led all brands for giving compelling reasons to buy now, for carrying out walk-around
product presentations and tying product features to benefits relevant to the prospects.
The Monaco brand was ranked first last year,
and despite falling to third in this year’s rankings, Monaco-brand salespeople still led all
other salespeople for offering a test drive,
offering a business card and for overcoming
any objections.
The study measured 50-plus aspects of the
RV sales process, and reported industrywide
change pertaining to some of the factors. This
year, RV salespeople were more likely to set a
future appointment or encourage shoppers to
return to the dealership, were more likely to ask
for contact information and also more likely to
ask what attracted the shopper to their desired
brand.
However, RV salespeople were less likely to
mention the availability of different financing
options, point out product features unique from
competitive brands or offer a test drive.
Pied Piper said that unique among U.S. motor
vehicle industries is the fact that most RV dealerships carry multiple RV brands, often with
more focus on product offerings than on the
brands themselves. As a result, shoppers asking
for a specific, well-known brand of RV are often
encouraged instead to follow more of a commodity approach and consider a product favored
by the dealership. The 2008 study showed that
RV salespeople try to ‘flip’ one shopper out of
five from the brand they requested to an alternative product suggested by the dealership.
“The most successful RV manufacturers have
figured out ways of building the value of their
brands for their dealers and customers instead
of allowing their products to be sold strictly as a
commodity,” said O'Hagan.
Some RV brands fare better than others:
Winnebago is loyally promoted by their dealers
92% of the time compared to American Coach or
Georgie Boy, for which dealers promote competitor products more than half the time.
The 2008 study marked the first time that
Pied Piper measured not only a shopper’s experience at the dealership, but also a shopper’s
experience contacting the dealership separately
by telephone and by Internet or email. Despite
the knowledge that a majority of RV shoppers
now claim to research their purchase on-line,
dealerships were often slow to respond to online shopper inquiries.
When dealerships were contacted by Internet
or email, 70% of dealers from across all brands
failed to respond in any way within 24 hours. Of
those who did respond by email, only 37%
offered reasons to buy from their dealership, but
86% did encourage the on-line shopper to visit
their dealership. 6
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Page 59
Each gift comes in an
attractive box with:
Membership Card
Lapel Pin
(Not shown to scale)
Decal
EMPLOYERS:
Honor your Valued Employees With a One Time Lifetime Gift
Employment Anniversary • Birthday • Special Occasion
This gift will honor your employee and recognize your company in the RV/MH Hall of Honor Worldwide. Not only will your
gift be appreciated by the recipient, you will also be providing in perpetuity, operating funds for the RV/MH Hall of Fame,
Museum and Library
Imagine their pride . . .when your employees pass their personalized membership card through the electronic
reader at the Hall of Honor Kiosk when visiting the RV/MH Hall of Fame. Larger than life, for all to see is your employee’s
name as well as your name as part of a permanent presentation honoring both of you. Membership card also gains the
holder free admission to all areas of the RV/MH Hall of Fame
All gifts are tax deductible and go to the
RV/MH Hall of Fame Endowment Fund for
the preservation and promotion of our
industry’s noble heritage.
To Find out how you can take advantage
of this unique Honor Program call:
574/293-2344 or 1-800-378-8694
The RV/MH Hall of Fame
21565 Executive Pkwy., Elkhart, IN 46514 • rvmhhalloffame.org
Go To:
.com
User Guide
Contents
060- RVB0808 PG 60 GE
7/9/08
5:53 PM
Page 60
GE
Capital Solutions
Imagine the possibilities...
Are you tired of the opportunities that got away?
At GE Capital Solutions, we can show you how inventory floorplanning can
help your business improve working capital, increase sales and keep your
customers coming back. With the ability to stock more units than ever before,
GE Capital Solutions can help you get your customers off the showroom floor
and out onto the open road – doing what they love most.
For nearly 30 years, GE Capital Solutions has earned
the reputation as a name the RV industry has
come to know and trust. Our unique product
and service solutions are designed to help
position your business for growth –
both today and in the future.
Don’t let another big opportunity slip away.
Call GE Capital Solutions today at 800-289-4488
You’ll be glad you did!
08RV290
GE, CIRCLE 106 ON READER SERVICE CARD
Go To:
.com
User Guide
Contents
Welcome to our digital edition of RV Business Magazine. This format makes it easy for you to navigate the magazine and
provides direct links to Internet sites of our advertisers, our
RVBusiness.com Web site, and many Web sites to supplement our
editorial features.
Here are some tips on how to use Digital RV Business:
Go To:
.com
User Guide
Contents
• Click on the RVBusiness.com button to go directly to
our Web site.
• Click on the User Guide button on any page to bring
you back to this page.
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of Contents page from anywhere in the magazine.
• When the hand icon changes to a pointing
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we encourage your comments and suggestions to our editor atb
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© User Guide Contents Go To: .com

Transcription

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