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    August 2002 Volume 28 - Number 1    

RV Industry News     


 
 

Virgil Miller

Virgil Miller, CEO of Newmar Corporation and a long time RVIA Board Member died following a three-year long battle with cancer. Virgil was a 2001 inductee into the RV/MH Hall of Fame and the 2001 recipient of the RVIA Distinguished Service to the RV Industry Award. At his Hall of Fame induction, he was recognized as "the conscience of the RV industry" for his constant insistence on high moral values and ethics as well as on productivity and quality. In 1990 and 91, Virgil served as Chairman of the Board of Governors of the Indiana RV Council. He served for eight years on the Board of Directors of the RV/MH Heritage Foundation including a term in 1994 as Chairman.

From his Amish Mennonite beginnings, Virgil became the first member of his family to graduate from High School, doing so as Class Valedictorian. After 15 years in the manufactured housing industry, Virgil joined Newmar in 1975 and rose to the position of President and then CEO. Since his becoming President in 1992, Newmar has recorded an annualized growth rate of 25% per year.

In addition to his RV related activities, Virgil had been a "world class" table tennis player, and played in tournaments until he became ill. He was sometimes jokingly identified as the world's highest rated Amish Ping-Pong player.

Virgil was preceded in death by his lovely wife Sarah who passed to her reward on March 3, 2002.

The industry will sorely miss them both.

 


Clean Fuel Generation Granted U.S. Patent for RV Fuel Cell Technology

Clean Fuel Generation LLC (CFG), a privately held company based
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in Los Angeles, California, was recently granted its first patent for fuel cell technology pertinent to recreational vehicle and other markets. CFG awaits the clearance of several pending patents and expects that they will be granted shortly. The fuel cell company continues to file patents in light of its rapid developments.

CFG has conducted research and development in fuel cell power generation systems for the RV market since its inception in 1997. Compared to combustion-driven power generation, fuel cells generate power more quietly, operate on less fuel, and provide cogeneration capability - heat, hot water, and fresh water. Moreover, fuel cells can render open flames within RV’s unnecessary by streamlining the replacement of hazardous gas appliances with safer electrical appliances.

CFG demonstrated a 3.5-kilowatt fuel cell system that powered several RV appliances including an air conditioning unit; the prototype operated on propane and methanol fuel. CFG’s developmental focus is to develop a second prototype that operates solely on propane. Both systems are being down sized and modified for commercialization requirements. CFG expects to have fuel cell systems available with varying power outputs that will range from 1 to 10 kilowatts and above.

The patent, entitled "Portable Cogeneration Fuel-Cell Power Generator for Recreational Vehicles", relates to utilizing hydrocarbon fuels (including propane) stored onboard RV’s. Claims in the patent also cover the following: utilizing the heat from the system for cogeneration purposes (space heat, hot water, and fresh water recovery), and the conversion of electricity produced by the fuel cell to one or more useful voltage levels.

The technical advancements in this patent are breakthroughs in fuel cell technology. In seeking to achieve success, other companies have utilized costly compressors to increase propane pressures to achieve higher kilowatt power ranges. CFG has believed that this compressor is undesirable since it increased system size and cost. CFG’s design promotes a safer alternative, lowers cost, and reduces system size. Additional CFG patents pending improve system components and safety, reduce size and cost, and provide for product maintenance. For further information visit www.cleanfuelgeneration.com, or call Nick Ballinger at (310)440-4243


Four Winds Dealer Deliveries Increase 67%

Dutchmen Manufacturing Inc. recently reported major increases in dealer
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deliveries and in retail sales of the popular Four Winds brand of travel trailers and fifth wheels.

Dealer deliveries of the Four Winds brand are up 67% since July of 2001. According to Stat Surveys March 2002 report, retail unit sales for Four Winds are up 53.2%, while the entire industry is up 20.3%.

Brent Stevens, director of sales for Dutchmen Manufacturing attributes these increases to changes made in the sales department and positioning of the Four Winds product line.

Stevens stated, "Last year we decided to make Four Winds a stand alone brand. We took a stand alone sales team and dedicated their efforts to the Four Winds brand. As a result, we have increased our dealership count by over 40%."

Stevens continued, "Changes in the product line have had major impact on sales. The Four Winds brand is focused towards the main segment of the RV consumer population. We offer a value priced line, called the Express, as well as the mid level Lite and Classic Line. Our trailers are available in floorplans from 19 to 38 feet and our fifth wheels are available in floor plans ranging from 24 to 36 feet.


Country Coach, Inc. Revs up Prevost Bus Conversion Production
 Signs distribution agreement with leading conversion dealer

Execution of a distribution agreement with a leading conversion
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dealer, market developments, and the recruitment of an industry veteran, prompted National RV Holdings, Inc. to announce that it is remaining in the highline bus conversion market.

Earlier this year, inconsistent demand and rising material and production costs caused the company’s Junction City-based subsidiary, Country Coach, Inc., to announce that it was discontinuing the Country Coach Prevost bus conversion line later in 2002. With other converters departing the market, the execution of a distribution agreement with one of the largest retail conversion dealers in the nation, and the recruitment of an industry veteran to head conversion production, the company determined that the Country Coach division will continue to manufacture the luxury conversion coaches it has been producing for the past 20 years.

"A long-time Country Coach dealer, Buddy Gregg Motorhomes is a specialist in conversion sales. Their strong desire to market our product led to an agreement whereby Buddy Gregg Motorhomes, with locations in Tennessee and Texas, has agreed to become the exclusive dealer of our bus conversions and to purchase all current inventory and future production through December 2003," said Terry Muir, VP of sales and marketing for Country Coach and National RV.

Effective July 1, 2002, production will be led by industry veteran Tom Nestell. "Tom has a long and well respected history in the conversion market, beginning with his involvement with Bob Lee, founder and Chairman Emeritus of Country Coach, in the genesis of the original Country Coach bus conversions 20 years ago," stated Mike Jacque, executive VP of operations for National RV Holdings.

National RV Holdings CEO Brad Albrechtsen noted: "We have given careful consideration to the product and identified characteristics that are marketable and that maximize return. In the past, we created sophisticated technology that wasn’t necessarily driven by consumer demand. With some simplification, we expect to yield greater margins and efficiencies in field service."


Alpin Haus Teams with Camping World in New York

Camping World’s first store in New York State will be inside
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the new Alpin Haus facility being built in Florida, NY and visible from the New York Throughway.

The Albany Business Review reported the story in their online edition on July 19th.

Reached by phone the same day, Andy Heck was kind enough to provide some insight into the decision to team with a company that many dealers have considered to be the enemy in recent years.

Heck said, "we evaluated this very thouroughly and gave it a lot of thought. I think they’ve learned that they are better at selling parts and accessories and dealers are better at selling product.

"We met with Mark Gilman and the new management team and feel that there is a new direction and strategy that has benefits for our dealership."

Under the new Camping World program, they will be teaming up with Alpin Haus and the store will be located inside the new building on a 28-acre site that is expected to open in the Spring.

Heck noted, "after we evaluated everything, we felt that the profit that we could make on the additional service and repair business that would come from the Camping World customers, would be more profitable than trying to run the parts and accessories store.

"Let’s face it, the Camping World store is a destination location for RVers. We felt that if they were going to be in our area, then it would be better to partner with them and have them here, and have their customers here.

"We will also be included in their marketing materials and catalogs and they plan to do special targeted marketing programs in our service area."

We discussed the previous practices of Camping World that undercut a dealer’s ability to make a profit, such as their $5 installation programs. We asked if they would be required to participate in such programs, given that the dealership will be responsible for service. Heck replied, "they will be changing those policies. They have a new strategy and realize that they were losing money in some of those areas and you’ll see that change.

"Our involvement with them is just the beginning of a major expansion over the next five years.

"We had good meetings with them and also talked to other dealers who have teamed with CampingWorld.

"The store will attract a lot of people to our new dealership location, which will be dedicated to RV’s. It will add value to our dealership and should be a good partnership for both companies."


Phase Four Industries

Phase Four Industries located in Hollister, CA, manufacturer of Drain Master (the automatic waste valve) and distributor of the versatile Sewer Master waste evacuation hose, recently acquired an additional 2500 sq. feet of manufacturing space. Company executives say the additional space is being used for manufacturing and warehousing due to increased production needs. Both of their products are integral parts of the Future of RV Waste Evacuation Systems.


Cole Davis, Ron and Bill Fenech Promoted at Keystone RV 
Two New Plants Start Construction

Thor Industries, Inc. has announced promotions at Keystone RV Company, Thor's largest company, which was acquired on November 9, 2001. Keystone is the fastest growing builder of travel trailers and fifth wheels.

H. Coleman Davis III, President and founder of Keystone, has been appointed Chairman and Chief Executive Officer; Ronald J. Fenech, currently Group President of the Goshen, IN division has been appointed President and Chief Operating Officer of the company, and William C. Fenech, currently Group President of the Elkhart, IN division, has been appointed Executive Vice President of the company.

Thor also announced that construction started last month in Goshen, IN on two 77,000 sq. ft state-of-the-art facilities for Keystone travel trailer and fifth wheel manufacturing.

"These well-earned promotions and expansion of manufacturing plants will help facilitate the rapidly increasing demand for Keystone products," said Wade F. B. Thompson, Thor chairman.


KOA Partners with GMAC Insurance

Kampgrounds of America, Inc. (KOA) announced an exclusive RV/auto/home insurance program called KOA Advantage, that is now available to KOA Value Kard holders through a unique partnership with GMAC Insurance.

KOA Advantage is the only RV/auto insurance program endorsed by KOA. Last year, campers who switched to GMAC insurance for their RV or auto insurance saved, on average, nearly $300 on their annual insurance premium costs.

"KOA has access to more campers than any other company in the world," says Ken Stellmacher, vice president of marketing for KOA. "KOA Advantage is a natural extension of our campground business and creates a substantial new benefit for our KOA Value Kard program. GMAC is a leader in the RV insurance market here in the U.S., and we're pleased to have the opportunity to work with them."

This new insurance benefit, offered only to KOA Value Kard holders, is currently being marketed on KOA.com and through KOA's Value Kard program. Campers can purchase a KOA Value Kard at any of the 500 KOA Kampgrounds in the U.S., Canada or Mexico, or online at KOA.com.

The KOA Value Kard is the ultimate discount card for campers, providing exclusive savings and benefits that are honored at all KOA Kampgrounds. Campers can receive 10% off daily registration fees, a free KOA Directory and Road Atlas, participation in exclusive rewards programs, etc. KOA Value Kard holders can get a free no-obligation quote (and, for a limited time, a free 15-piece tool kit, too!) for KOA Advantage on KOA.com.

This year, KOA is celebrating its 40th anniversary. Established in Billings, MT in 1962, Kampgrounds of America, Inc. is the franchised campground industry leader. Privately held, KOA Inc. offers RV, tent, Kamping Kabin and Kottage sites at campground locations in North America, Mexico and Japan. Currently, KOA has over 500 franchised campgrounds, and fourteen company operated properties that are open to the public. For more information, visit Kampgrounds of America on the Internet at www.koa.com.


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