| Author | Message | ||
     Duggram |
Holy crap! This can't be true. The partnership between Bajaj and KTM is producing growth. Hero is on a losing path. This doesn't sound good. I wonder if Erick knows about this. | ||
| Elvis |
Do they want a larger stake? Sure, why wouldn't they? Will Erik sell? I can't imagine that. Why would he? They can't just take his property. Would he accept a $100 million offer? Probably not. Would they make such a large offer? Even less likely. The real story here is that a HUGE company like Hero sees a TINY company like EBR as a key to their future. That's an amazing testament to the talent of the people at EBR and should give them and us a clear indication that Hero will stick with them until this thing has gotten off the ground. | ||
| Reepicheep |
I am not an accountant, but I'm sure there are ways that Hero can get more money into EBR without taking a controlling interest. The question is, would they want too? People that are outraged should take their own 25 million in cash, and go give it to Erik. Maybe in the form of a pre-order for 25,000 adventure bikes that they can then resell. That way they can be sure EBR stays free. Believe me I understand the concerns about another big corporation to "help EBR". And I hope they pull it off... if anyone can it is EBR. But I also understand the problems of getting large amounts of capital for starting up a major manufacturing effort. For EBR to get to where it is today is already already nothing short of a miracle. I hope they can come out the other end with controlling interest, a miracle of miracles. But it's getting annoying to hear the "Erik is stupid" for the previous Harley relationship and the current Hero relationship. What would *you* have to give up in order for somebody to hand you a $25M check? No doubt it would be something *really* important. | ||
| Figorvonbuellingham |
If the bikes become too Indian I won't be buying one. | ||
| Duggram |
Who said "Erik is stupid"? I think you are jumping to conclusions. I would be surprised to see him give up control, but stupid, I don't think so. | ||
| Reepicheep |
I agree, I am over reacting... this debate went on around the time Buell was shut down, and I'm extrapolating some positions from that argument. My apologies to those in this thread that were making no such allegation. | ||
| Elvis |
It can be frustrating to see that so many people whose only definable skill is working a keyboard (not the people on this thread but generally) think they can do a better job than E. Buell (even though countless people have tried and failed throughout the history of motorcycling). And then people say things like "I'm not going to buy an EBR because it has an Austrian engine". And they're so offended by their mistaken impression that it has a foreign engine that they buy a BMW. Or someone else will say: "I'm not going to buy an EBR because I can't stand that Indian crap." Or "They can't even beat the 600's on the racetrack." That kind of widespread ignorance becomes frustrating after a while. | ||
| Duggram |
Reepi, thanks for the reply. Wouldn't you agree that Erik's experience would make him a shrewd customer in his EBR dealings? It would be great to see Hero meet all of Erik's needs but at the same time I would really like to see Hero use EBR engineering to build bikes that would compete with what Bajaj is producing for KTM. I'm getting older and more fragile. For me it would be good to see EBR/Hero come out with smaller bikes for Hero's needs that could also be used as track bikes over here. Consider that KTM has a 390 track bike that is produced in India that looks good and they're basing a European race series on. I'm sure that based on Erik's experience he will do what is right for EBR, I just hope it bleeds over to Hero. (Message edited by duggram on July 27, 2013) | ||
| Duggram |
Elvis, I won't get the RX. But I will be in line to get the adventure version. I had a chance to get a Ulysses in about '05 and bought a Dyna instead for commuting to work in Alaska. The Dyna is long gone but if I had bought a Ulysses I would still have it. So I'm not missing out this time. | ||
| Ratbuell |
If the bikes become too Indian I won't be buying one. Well...since EBR was hired to do design work for Hero (and not the other way around)...I think its safe to say we don't have to worry about that. (ya think the Indians are saying "if my Hero bikes become too EBR, I won't buy one"...?) | ||
| Reepicheep |
Yes, I would LOVE to see EBR come out of this with a thriving factory, manageable debt, and a controlling interest in the company. If anyone can, it will be EBR. And they will understand better than anyone why it is so important to do so. I just recognize that it is an insanely high mountain to climb. | ||
| Ljm |
I hope it all works out for the long run and that EBR bikes will be out here for a long time. There are always risks being a fish in a tank of very large sharks (although Hero has been nothing but supportive of at least the racing effort so far). They also seem to have greater media savvy and resources and that can't hurt. But I am hopeful that my EBR will be supported for a long time and the next one I get for the Mrs. will be as much fun as well. Fingers crossed. | ||
| Figorvonbuellingham |
I've seen Indian quality first hand. Thats why I wont buy anything loaded with parts made in India. If you want to, have at. | ||
| Cleveland11b |
It appears that EBR is the main tech development arm for HERO. Erik, it seams, will do what it takes to pursue his passion which according to reports has always been racing. Good for him. Let someone else pay you for your expertise so you can do what you always wanted to do. The problem is if HERO gets controlling interest it will be more akin to harley being bought by AMF, as opposed to HD buying controlling interest in Buell. I also have a suspicion that that was the only way harley would be involved in the old buell was if they could control it. Lets hope Erik can keep 50.00000000001% of EBR. | ||
| Sprintst |
The value in EBR is Erik Buell himself. Buying the company that has produced less than 100 motorcycles isn't a great deal for Hero They need him, his team, his leadership After Harley, I'd be surprised if Erik would give up controlling interest | ||
| Brumbear |
its a wrap me thinks | ||
| Rogue_biker |
Well if I'm reading that Press Release from HERO correctly, their first quarter Net Profit declined 11% (compared to last year) due to the end of a 5-year Tax write off. However, the margins (the money they make as profit in their product line) increased 0.9%. However, their Net Revenue went down 1.4% compared to last year, again due to higher tax rate and declining volume. Increasing one's margins is always very good for a company. You don't have to rely on volume to make a profit. If what they say is true, that they intend to make their operations leaner (lower cost), then it will only increase their margins, which equals greater Net Revenue. Overall, what I believe HERO wants to do is move more upmarket (higher margins, investment in EBR). They want more performance and modernized product lines via EBR R&D in order to achieve these goals. If EBR is part of HERO's path to the future, then it should be a mutually beneficial relationship. Since no American company wanted to invest in EBR, because there is no desire to get into that business, so be it. When it comes to motorcycles, the only game in the town that is USA is H-D, and that company's ONLY desire is to build cruisers and legacy products for an aging market. I say more power to HERO and EBR. I don't care if it's Indian, African, or Chinese. Money talks and bullshit walks. | ||
| 09cr |
This has no real merit, but I just got back from Laguna Seca and the EBR tent hooked me up with a few stickers..... These stickers say: EBR Fiercely independent I highly doubt Erik would give up controlling interest again. | ||
| Kenm123t |
We love the bikes I ll have a 1190rs of something else in the future if works out like it usually does it will be two bikes tubers fuel framers and EBRs Right now Erik has to do what is best For Erik and family So put them on your prayer list along with some of our fellow badwebbers that need it right now. Carry On |
