| Author | Message | ||
     Rick_fears |
http://www.jsonline.com/business/erik-buell-racing -closes-files-for-receivership-b99481936z1-2998632 81.html | ||
| Froggy |
Yes it is real | ||
| Hughlysses |
See the thread on the Quickboard. Court confirms it's real. I'm more confused by this than I was by the 2009 closure announcement. | ||
| Wolfridgerider |
 | ||
| Two_seasons |
Guessing, but probably was a cash flow issue. | ||
| Dualbuells |
Dang, this sucks, not again! I have no words, I am astonished ever so hopeful I really thought this would fly otherwise i WOULDN'T HAVE PURCHASED THE SX. | ||
| Stevel |
Guessing, but probably was a cash flow issue. I'm guessing it was a takeover attempt by Hero. In an article two weeks ago Hero stated they wanted to buy out EBR. Erik probably declined and Hero pulled the finance plug. You can bet there is a story here yet to be told. You would think Erik would have learned his lesson the first time with HD. If an offer is too good to be true, it usually is. | ||
| Hughlysses |
You would think Erik would have learned his lesson the first time with HD. If an offer is too good to be true, it usually is. Erik may well have learned his lesson and what we are seeing is the result. ~2 years ago, it was Hero or nothing. Erik was careful to retain controlling interest in the company. Receivership apparently provides the opportunity for the highest bidder to buy the company as opposed to having to take whatever Hero was willing to offer. Hero may still wind up owning it (or not), but at least this provides a chance for someone else to step in. | ||
| Stevel |
Erik may well have learned his lesson and what we are seeing is the result. ~2 years ago, it was Hero or nothing. Erik was careful to retain controlling interest in the company. Of course this is all conjecture and at this point it is all water over the dam. I don't think that Erik over extended himself before Hero. I think it was the arrival of the Hero partnership that caused the RX endeavor and the debt. My best guess is that it was the debt that gave Hero the leverage to make the play for control. Hero can afford the loss much better than Erik can. It certainly is not good and the real losers are Court's Elves, but everyone of us also loses. I was banking on EBR to provide some 1125 parts beyond the HD era, which will be ending soon. Sadly, this too is at risk. | ||
| Figorvonbuellingham |
This might be the death of the company but I dont think its the death of the machine. There too much potential there. All the footwork Is done. Somebody is going to pick it up and run with it. | ||
| Court |
>>>the real losers are Court's Elves, Not entirely. . . . Buell and EBR have a reputation, far and wide, for the excellence of their workforce. On the EBR employees website . . . companies are racing to snatch up folks from EBR and one firm has even offered to send in HR folks to do interview and present information on openings. The Elves are highly trained and disciplined. . . . It may take a bit but I'm betting they'll quickly find opportunities. Your thoughts and concern . . . .I need to say . . are both noticed and appreciated. Through good and bad we in the Buell community have always stood as one with the folks who've built the machines we enjoy. | ||
| Sprintst |
I love all the conjecture making Hero the bad guy here. That **may** be the case, but we have zero evidence yet, unless I've missed something. | ||
| Ak_addict |
I love all the conjecture making Hero the bad guy here. That **may** be the case, but we have zero evidence yet, unless I've missed something. You may be 100% correct but I've had a bad feeling about Hero for almost two years after seeing this article http://www.dnaindia.com/money/report-hero-motocorp -may-hike-stake-in-erik-buell-1865341 Keep in mind the article stating Hero was looking to increase it's stake in EBR was just weeks after purchasing 49.2% of EBR. Sounds like they wanted a controlling share of EBR from day one. | ||
| Mnscrounger |
I'm definitely no financial wiz,It would be a shame if the same ultimate killer for EH (too much production, too little market share) was what brought down EBR. Is it possible with Hero delaying entry into the US market, this (bankruptcy protection) was the only way to keep the EBR brand from the real fire sale, while Hero gets its ducks in a row for US launch? EBR wasn't selling enough bikes to stay afloat on its own, It sounds like receivership means that as its biggest investor, Hero could buy up all of EBR, leave it dormant until it's ready to enter with a full line, and ramp back up with, if not a broadly marketable product, a known and respected name, and a flagship level bike. Erik was quoted as being willing to do all he can to maximize value for the creditors whoever they end up being.is it possible EBR may have fallen on their sword for the sake of the kingdom. Hero's silence is really loud. Business types, any thoughts to my hopeful rambling? | ||
| Ljm |
Court, I am just concerned that the talent pool will get away. I am sure that they will if it drags on a long time. People have to eat. | ||
| Mnscrounger |
Another new and interesting note: If you go to the Hero Motors website and search a few keywords you think would link to something in their archives, (Erik Buell, EBR, USA, and North America, for example), you come up empty every time. From my un-informed viewpoint, (which by the way, has never stopped me from having an opinion), it looks like they want to wash the whole partnership away, like the ninth season of "Dallas". If they were planning a takeover I would think they would at least be expressing thanks and well wishes to the displaced team of EBR, who did such fine work for them on so many of their new products. snubbing a business partner you intend to buy out doesn't sound like a good idea to my inner tycoon. This doesn't look amicable to this outsider. I now reverse my original hopeful thought, and add uninformed speculation, to the unsubstantiated rumors, that this was a falling out, and somehow it's all the greedy big shots at Hero Motor's fault. | ||
| Hughlysses |
^ A google search of heromotocorp.com finds all kinds of EBR-related hits. Maybe they're just censoring their own search engine. | ||
| Hughlysses |
Now here's an interesting article on the closure. A layman's level legal explanation of the receivership process and what it could mean for EBR: http://www.asphaltandrubber.com/oped/erik-buell-ra cing-receivership-explained/ | ||
| Rcf2 |
Very good article, thanks Hugh! | ||
| Figorvonbuellingham |
A glimmer of hope.. | ||
| Ducbsa |
FWIW, Vincent operated under a receiver for most of the post war period until they finally stopped bike production in 1955. Different country and times. | ||
| Hughlysses |
Major update to this story:
http://www.roadracingworld.com/news/hero-motocorp- ltd-trouble-in-india/ Join the discussion on the Quickboard: http://www.badweatherbikers.com/buell/messages/406 2/760473.html?1430353210 | ||
| Meoff_69 |
thats some shit right there..... if it is true all hero is doing is alienating EBR core customers | ||
| D_adams |
http://www.business-standard.com/article/companies /german-firm-hurls-espionage-charge-at-hero-cycles -114100900030_1.html Hmmm. | ||
| Bsanorton |
that article just makes me sick to my stomach | ||
| Hughlysses |
Another article on the same subject: http://www.rediff.com/money/report/german-firm-hur ls-espionage-charge-at-hero-cycles/20141009.htm | ||
| Buellerxt |
Hero sure sounds like a sleazy bunch to me. It will be interesting to see if these assertions are substantiated. Until then I'm going with the adage, 'where there is smoke there is fire', and in Hero's instance there is a LOT of ugly smoke. (Message edited by buellerxt on May 03, 2015) | ||
| D_adams |
Just lovely. |
