A little news from the bicycle side of the business. I talked to Joe and Scott the day before I went on vacation and they are working hard to get the bicycle division back to business, the auction in a few weeks is private but should give us some answers. They both said there is a lot of interest from a bunch of different potential buyers, but what the auction winner does wont be known until they announce their plans. Lots could happen, but I still think it will all work out.



Cannondale Resumes Bicycle Production

MARCH 04, 2003 -- BEDFORD, PA (BRAIN)--Cannondale's production workers began returning yesterday to work full time in the company's Bedford bike factory. Employees had worked sporadically over the past several weeks building frames for Cannondale's European subsidiary.

Other factory employees will return to work this week, according to company officials.

Employees were furloughed during the course of Cannondale's Chapter 11 filing. The motorcycle division remains closed.

Yesterday staff for Cannondale's fabrication departments, which include parts preparation, welding, weld sanding, heat-treating and frame machining, came back to work full-time. As the output of those departments moves through the production line, employees who work on later aspects of bike production will return later this week.

Staff for the finishing departments, including painting and finish-sanding, will return mid-week, with final bike assembly and packaging workers scheduled to punch in on Friday.

The complete crew of production workers is scheduled to return by Tuesday, March 11, company officials said.

Scott Montgomery, a company vice president, said the workers' quick return combined with the continued cold weather across much of the country will minimize the effects of the factory shutdown on the company's dealers.

"We're very, very excited to have full production coming back on-line," Montgomery said. "It's fortunate that we went into the factory shutdown with a good inventory of bikes. The fact that it's been such a cold winter has allowed that inventory to go quite a bit further than it otherwise might have. Now that production is up-and-running, we're looking forward to attacking the busy spring season with a single focus, renewed purpose and a steady stream of Cannondale product."

 

Talk and press releases from a wounded and shark bait company are CHEAP! Lots of bidders have smeeled blood in the water and are circling the factory(s). A producing bike factory at the time of the sale will only protect a few egos, not change the balance sheets.

They need more than press releases to stop the feeding frenzy thats coming. Get your feet out of the water on the 20th!!!!

 

mmmmmmmmmmmmm. Should be interesting.....

Now on to Iraq.


We will see what the future holds. 3-20-2003

 

Thanks for the update George.

Will you be at the auction on the 20th in Bethel Conn.?

How was you vacation?

I did hear that the whole company is going to be sold off, and if that's the case what input will the Montgomeries have?

Jim Murray