Buell Motorcycles To Go Out of Business 10/15/2009 @ 2:24 pm, by Jenny Gun
quote:After releasing grim third-quarter financials today, Harley-Davidson has also announced that it is discontinuing Buell Motorcycles. In a somber video (posted after the jump), Erik Buell confirms the news, and praises the Buell team for taking on the industry giants with this little American sportbike company. Buell will continue to sell its motorcycle stock, and Harley-Davidson will continue to honor any warranties and part needs for Buell motorcycles.
With sales down 21.3% from last year, and net income down 84%, Harley-Davidson is feeling the full crunch of the economy now. Closing Buell may make sense in the short-term on the balance sheet, but also takes away any hope of the company moving beyond the dwindling baby-boomer cruiser market.
With this news, also comes the announcement that Harley-Davidson will be selling MV Agusta, making it clear which brand is the basket HD is putting all its eggs in. The fact is we must focus both our effort and our investment on the Harley-Davidson brand, as we believe this provides an optimal path to sustained, meaningful, long-term growth, as Keith Wandell, the Harley-Davidsons new CEO puts it.
Too bad HD didn't produce the Nova Project. The Honda Hawk GT is a V-4 and the Buell owned by HD is a V-Twin. Basically half the engine of the Honda.