Mastercraft and Malibu in trouble?

[j2nh]

This was posted on skifly.com,
"Mastercraft has halted production until hopefully between April and June. They need to move some of their inventory before starting up production again."

Sincerely hope this is not true. I am a CC guy but MC builds a solid boat and has been a huge supporter of water skiing/boarding. If you can't sell cars in this economy it is not rocket science to figure out no one is buying boats.

[Hollywood]

It's their own fault for pumping the market full of all those X boats. As already shown, way before the recession many dealers had 2+ year old brand new boats sitting on the lots.

[jward]

thats fine if you flood the market, but if you produce more and more of a product the price has got to be reduced. It's like our Gov. printing off $100 bills. Keep doing it and the value of those things are going to go down quickly.

[gride300]

it's weird because if they produced so many boats and weren't selling any that they would have realized and cut back production. is this all hearsay or are they really in trouble? they have not cut any riders-parks, shane, rusty, andrew, nicola, zane, and whatever skiers, etc.

[WakeSlayer]

Hearsay? A brief glance at a newspaper in the last 6 months would eliminate that question.

[gride300]

a i dont read the news paper. b, they dont talk about inboard boat companies in my neck of the woods

[east tx skier]

Hearsay? A brief glance at a newspaper in the last 6 months would eliminate that question.

Last thing I read in the Knoxville paper on the subject was that Brunswick had closed one Sea Ray plant and that MC had layoffs in December and was adjusting for the downturn in the economy. I think this was an article in January.

[WakeSlayer]

A) newspaper was more of an expression than actually meaning newsprint.
B) I am referring to the general state of the economy, and businesses, not specifically inboard boat mfgs. I mean everyone. Market is down 45%, corporate and mfg layoffs en masse, GDP lowest in 26 years. None of this is surprising.
At all.

[SNMike]

A) newspaper was more of an expression than actually meaning newsprint.
B) I am referring to the general state of the economy, and businesses, not specifically inboard boat mfgs. I mean everyone. Market is down 45%, corporate and mfg layoffs en masse, GDP lowest in 26 years. None of this is surprising.
At all.

And C) "We're" still falling towards the bottom................it's going to get worse before it get's better. A lot worse.

And by better, I mean years before we actually see the pendulum start to swing back towards recovery. I'll keep my personal political opinions to myself, but the USA is in for BIG changes...................and NOT for the better. :x

God help us all. :|

God bless one and all!! Yellow_Flash_Colorz:

Mike

[kinger]

GDP not the lowest in 26 years...it is the fastest decline in 26 years, big difference.

[gride300]

if we wanted to get our of this depression quickly we would have let all the banks go bankrupt. thats how we got out of it in 1921, and then the feds got involved in the "great depression" and made it last a long time.

[WakeSlayer]

Forgive me, I am not an economist. Just stating the obvious that we have big issues and none of these boat companies being in huge trouble should be a surpsise.

[SNMike]

Forgive me, I am not an economist. Just stating the obvious that we have big issues and none of these boat companies being in huge trouble should be a surpsise.

Nothing to forgive budro, it's headed towards the lowest in 26 years, it will get there, and your statement will be valid.

Mike

[kinger]

No chance...Asian countries can't afford to let us reach a GDP that low. The bail out money will begin to come from China.

[WakeSlayer]

Thank you. I just did a little research to see the actual difference in what I said, and what I meant, and that is indeed true.