HD gives away MV

[Moto Morphin Power Ranger]

http://www.autoblog.com/2010/08/06/harley-davidson-announces-sale-of-mv-agusta-to-claudio-castiglio/

I just found this.
 I have no idea what HD is doing. 1st they wont sell Buell then they give MV back.  There goes all my hope of getting a HD that will carve up a road.

[chornbe]

MVs would never have been HDs anyway. That was never the intention, plan or consideration.

HDs will never be the bike you want. It's just not the image nor the plan.

[Moto Morphin Power Ranger]

I was hopping that using what MV had to offer they would expand there product line. i know that they would not just slap a different badge on them. but using the R&D  come out with a HD nobody saw coming and blow my socks off.
 
I am a Huge fan of image that's why i got the Guzzi

[UFO]

 I have no idea what HD is doing. 1st they wont sell Buell then they give MV back.  There goes all my hope of getting a HD that will carve up a road.

Yeah, the executives at HD are certainly riding the short bus.  They never should have bought MV in the first place.  Made about as much sense as trying to convince county to buy an FJR.  And letting Buell die was just...well...utter fail.

[Geoff]

Yeah, the executives at HD are certainly riding the short bus.  They never should have bought MV in the first place.  Made about as much sense as trying to convince county to buy an FJR.  And letting Buell die was just...well...utter fail.

I agree. Harley never should have bought MV in the first place. Also, they mismanaged the Buell brand. Dealers treated it like a illegitimate step child. Harley's business plan is a mess.  They're very fortunate to have a large, loyal customer base.

[JGreb]

I agree. Harley never should have bought MV in the first place. Also, they mismanaged the Buell brand. Dealers treated it like a illegitimate step child. Harley's business plan is a mess.  They're very fortunate to have a large, loyal customer base.

I can't go a mile without seeing Harley it seems. I'm not sure how long they can play out the American Icon bandwagon but it is sure working these days.  

[chornbe]

I can't go a mile without seeing Harley it seems. I'm not sure how long they can play out the American Icon bandwagon but it is sure working these days for the last 5 decades or so.  

[JGreb]

but now you actually see more people riding them than trailering them or holding down the bar parking lot

[Gar]

Anymore, when I see a sportbike, the rider does not have a helmet on, is usually wearing shorts or at least is in a tank-top type shirt. And they are rarely outside of town. Out on the road it's mostly Harleys, other cruisers and a smattering of BMW's passing through.

[bomber]

Wow -- an entire Euro for the factory, brand, spares, parts, lock stock and barrel?

The Iron Tower's denizens really screwed the pooch with this one -- while their products continue to sell better than most of the competition, this news makes me wonder how long this pony can keep repeating it's trick.

[Rincewind]

Wow -- an entire Euro for the factory, brand, spares, parts, lock stock and barrel?

Another article said it was 3 Euros.  I mean - really!  

Not only that - it is said that Harley paid Castiglio 20-million Euros as part of the "sale"

http://www.sport-touring.net/forums/index.php/topic,55798.0.html

[chornbe]

Another article said it was 3 Euros.  I mean - really!  

Not only that - it is said that Harley paid Castiglio 20-million Euros as part of the "sale"

http://www.sport-touring.net/forums/index.php/topic,55798.0.html

As I understand it, that was cash monies handed over as operating capital that was assumed by HD at the initial deal. They basically handed their cash and checkbook back to them. Separate and apart from the sale of the goods and IP.

As I understand it.

[chornbe]

Wow -- an entire Euro for the factory, brand, spares, parts, lock stock and barrel?

The Iron Tower's denizens really screwed the pooch with this one -- while their products continue to sell better than most of the competition, this news makes me wonder how long this pony can keep repeating it's trick.

Gosh, no one's been saying that for decades...

[ANZAC]

I agree with the Skipper in they should not have bought MV and kept Buell.  What are these guys thinking??

I have seen this sort of thinkng run companies into the gound  

Dear HD,

Open your eyes and take a look around.  Bring back Buell and expand you line of bikes to include other offerings similar to Triumph for example.  Don't be afraid to branch out and design something else without a V-twin engine  

[Geoff]

I agree with the Skipper in they should not have bought MV and kept Buell.  What are these guys thinking??

I have seen this sort of thinkng run companies into the gound  

Dear HD,

Open your eyes and take a look around.  Bring back Buell and expand you line of bikes to include other offerings similar to Triumph for example.  Don't be afraid to branch out and design something else without a V-twin engine  

...and instruct your dealers not to shove Buells into a dark corner of their showroom. Train dealers to effectively manage, promote and sell the brand. Also, find an ad agency that knows how to market to young buyers. The "lifestyle" branding campaign that works for cruisers is useless for the Buell brand.

[bomber]

Gosh, no one's been saying that for decades...

True enough, Chris -- including me (as I don't get their marketing at all).

On the other hand, they've not thrown good money after bad at a rate approaching what they've done lately, ever. It is no long a difference of degree, I think, but a difference of kind.

Companies, like people, can only afford so many bad guesses in a given period of time. Though I'd LOVE to see my grandchildren have the opportunity to by a brand new 2031 Harley Davidson, if someone other than a recent MBA grad doesn't take over the company, and soon, I fear my wish will be unfulfilled. I don't have more visibility into their finances than anyone else, but I seriously doubt if they have one more mistake's worth of cushion left.

Good job on the HDI apologist thing, though ;-}

[chornbe]

Apologist...? Try realist.

I look at it this way... 30 years ago 50 year old guys were riding Harleys.

Today, 50 year old guys are riding Harleys.

In 20 years, lots of previously 30 year old guys may be riding Harleys.

If none of you guys own, care to own, or ever plan on owning Harleys, why do you all put so much energy into discussing them, and coming up with all the brilliant ideas that No One Has Ever Thought Of - especially some of the folks that are completely clueless about Harley's place in the market...?

Their "aging buyers" have been aging for the last 100 years and Harley's still around.

It's not apologist; it's admiration for a company that knows their audience.

If, for instance, Honda had their finger on the pulse of the US market do you REALLY think they'd have bothered with the Deauville, the DN-01 and a $20,000 VFR?

No.

And let's be clear... I sold both my Harleys and have no plans to get any others. I don't have a dog in this fight; I'm just really happy to let Harley be Harley, and let Ducati be Ducati and let Triumph be Triumph. Every bike company has a niche; has that one special thing that's just theirs. Well, most of them. These days, it's almost impossible to tell the Big-4 japanese companies' offerings apart.  

For all the "Harley won't be around in 10 or 20 years" stories of doom, history speaks otherwise. Current sales speak otherwise.

It's right there to see.

By the way... I never thought HD buying MV was the right move, either. Was I hopeful it would cause both brands to make inroads into their respective down markets? Of course... But we're discussing the imminent demise of Harley here. Riiiiight.

They ain't going anywhere. Everyone can just calm down.

PS... "recent mba grad". Seriously, do you honestly believe the average joe could run a company that size? Do you think one of the "faithful" would make good BUSINESS decisions? I seriously doubt anyone on this forum could keep Harley afloat, and I'm sure LOTS of guys here would completely bankrupt Harley trying to hammer them into being a sport bike company when, clearly, the market won't allow it.

Show of hands... how many people here would run right out, on DAY ONE ('cause THAT is what it would take to recoup expenses) and buy a Harley-branded sport bike, rather than a bleeding-edge RR/SS bike from one of the big-four, or better, rather than a Ducati or Arpilia...? I'm not talking a rekindling of Buell, here. I'm talking a whole new, ground up, completely untested and untried line of business for Harley. I'm also not talking about "maybe a left over in three years" - 'cause that happens now to Honda and you can STILL buy new Buells. I'm talking right now, brand new at MSRP.

***the sound of crickets***

No one. Certainly not enough to make it even remotely worth it for Harley to abandon their current market and shift their full attention to making sport bikes (the idea of which is ludicrous to the point of flat out stupidity, anyway).

Just let Harley be Harley and move along.

[falconati]

Yeah, I mean..I have fun and like to make the occasional HD joke, but people love their motorcycles and the people who ride them are no worse an image for motorcycling than people who drive sport bikes like assholes.

[Rincewind]

As I understand it, that was cash monies handed over as operating capital that was assumed by HD at the initial deal. They basically handed their cash and checkbook back to them. Separate and apart from the sale of the goods and IP.

As I understand it.

I haven't read that anywhere else.  

From the outside, it all looks like an excuse for a huge tax loss write-off.

[chornbe]

I honestly couldn't tell you for sure.

I know this... I'd just LOVE to pocket the losses on this deal. And the money wasted in executing the deal.