Workhorse closing Union City plant??

[Tom N]

Anyone hear anything official about this quote??

"Navistar's Workhorse Custom Chassis subsidiary plans to close its Union City, Ind., chassis plant, impacting about 225 employees. These operations will be consolidated into other existing Navistar facilities for greater efficiency and productivity."

 -Tom

[Gary RV Roamer]

It was reported in the Bloomburg Business Week and supposedly came from Navistar itself, but I haven't come across an actual press release about it.

http://www.businessweek.com/ap/financialnews/D9OS89A80.htm

[Tom and Margi]

This was in our local Oregon newspaper.
 
http://www.registerguard.com/web/updates/26649620-46/monaco-coburg-plant-company-lane.html.csp

[FrontrangeRVer]

Yes Tom...we now own orphan motorhome chassis'. 

I wonder if the upper management at Workhorse kept their jobs?   

[Ken & Sheila]

Workhorse was done when they lost the big GM 8.1 gas engine.

I don't know where Navistar will build the Workhorse and Roadmaster chassis. They let the Monaco/Navistar joint venture plant in Elkhart go into bankruptcy (I think in 2009) so that plant is gone.  Roadmaster chassis (diesel) are currently built in Coburg.

Navistar killed the Monaco high end business (which was the primary business) when they refused to pick up any warranties on the "old" companies coaches. I know too many Monaco owners who would never buy from Monaco again because of the way they handled the issue - even many owners who were out of warranty. You've got people who have had 4 and 5 Monacos who won't buy again.

We are at the Monaco Pre-Rally. 190 coaches vs 500 plus in the past.

Navistar just does not understand the RV business. Its really too bad because they are actually improving the mechanical and functional design of some of their new motorhomes. They do understand function, but do not understand the importance of and the sale service and customer loyalty.  (and apparently have no loyalty to their employees)

Monaco/Navistar is holding an information meeting here - it should be interesting.

ken

[BernieD]

Roadmaster chassis (diesel) are currently built in Coburg.

Didn't I just hear that Monaco is stopping production in Oregon, moving everything to Indiana? The Coburg plant is probably on the list also.

[Gary RV Roamer]

we now own orphan motorhome chassis

Not really - Workhorse is still an active brand from Navistar, which has owned Workhorse since 2005.  They are just building the chassis in another Navistar plant rather than a Workhorse-only facility.

The biggest issue for Workhorse is the loss of the GM 8.1L gas engine. They now have access to the Navistar Maxxforce engine line, but those are all diesels. In the long run that could be a plus, but for now they lack a gas engine for their popular front engine RV chassis (Wxx series) and their rear (pusher) chassis has never competed effectively against Freightliner and Spartan.

[Ken & Sheila]

I'll ask Mike Snell (VP Monaco) or William Osborne (VP Navistar/Custom Products) for more details. Mike is giving a presentation today and Osborne is here Friday. Osborne should be able to talk about both Workhorse and Monaco.

I can't see how they will keep Coburg open for a few admin type people and building Trailers. I can see it all going to Indiana soon. Trailers were built in the same 2.5 million SF plant as the motorhomes. The old main plant which was used to make the high end coaches and is attached to the Office building has been dormant dince the bankruptcy. They were using less than half of the Roadmaster plant bldg and half of the Paint Plant bldg.

Since the Monaco Wakarusa plant does not have a Roadmaster Chassis facility I am surprised they didn't keep the WH Union plant to build both chassis. Maybe the old Roadmaster/Navistar Custom Products chassis plant is still available in Elkhart? The other possibility is the some other Navistar plant in the area will build both Workhorse and Roadmaster.

ken

[BernieD]

Maybe the old Roadmaster/Navistar Custom Products chassis plant is still available in Elkhart?

When we were in Elkhart last month it was still vacant.

[Ken & Sheila]

Bernie see my post above/below (depending on your view).

ken

[Tom and Margi]

Here's an optimistic future view from the local Oregon media:
 
http://www.registerguard.com/web/newslocalnews/26654478-46/industry-rvs-manufacturing-lee-motor.html.csp
 
Margi

[Gary RV Roamer]

And, Nill said, there are only three states building motor homes — Oregon, California and Indiana — while “the other states are still buying and using RVs.”

I got a chuckle over Shannon Nill's comment that only Indiana, California and Oregon are building motorhomes. The folks in Iowa (Winnebago/Itasca) would probably take exception to that.   And the folks in Red Bay, AL too (Tiffin).     Perhaps a bit of myopia there?

[Ned]

And Newell is still building in Miami, OK.

[Ken & Sheila]

And Foretravel is still in Texas.

ken