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INDUSTRY NEWS
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Robert Lee, Country Coach's chief executive, has joined National's board of directors. Lee and the rest of Country Coach management are remaining in their current positions. Country Coach generated net sales of approximately $70 million and pre-tax profits of $2.8 million in 1995. Net sales and pre-tax profits are well ahead of comparable period results for the first nine months of 1996. The acquisition makes National the fifth largest manufacturer of Class A motorhomes in the nation with a 6.5 percent market share. La Mesa RV president Jim Kimbrell said, "We have been watching Rexhall for some time. We wanted to carry their entire motorhome line, and are particularly excited about the Aerbus model. Also, the timing of the agreement seems favorable, as the Arizona market is quite active during the fall and winter months." La Mesa, one of the industry's largest dealers has operations in California and Arizona. Bill Rex, president and CEO of Rexhall said, "The popularity and success that our motorhomes are enjoying should fit well with the proven retailing ability of La Mesa RV. Exposure to the customer base and sales force of a major dealer is important for Rexhall as we expand our presence outside of the California market." D. Morgan Firestone, Firan's chairman and CEO, said, "Under our agreement, Firan Motor Coach will honor warranties for all Firan produced product through the Firan Motor Coach service center." Pete Liegl, president, Forest River, Inc., said, "The skilled workforce and excellent production facilities at Elkhart will enable us to increase our fifth-wheel business. Motorhome and fifth-wheel products have much in common in the manufacturing process." Production activity at the facility is expected to be increased and will require additional employee recruitment. The Council encourages support of the travel and tourism industry by providing elected officials and government entities with pertinent industry information and demonstrating the positive results to be achieved from passage of pro-travel and tourism-related legislation. In addition, the Council is working to support the private, not-for-profit U.S. National Tourism Organization, the mission of which is to work to increase the United States' share of the global tourism market. The tourism industry supplies America with its largest services export (generating $21.6 billion in trade surplus for the U.S. in 1994); it is the nation's second-largest employer (second only to health services); and is also America's third-largest retail sales industry. (The largest retail sales industry is the automotive industry, followed by food stores.) Mike McKay, vice president sales and marketing, said, "Our mission is to bring profitable business solutions to the RV industry through quality products, customer service, and innovative marketing programs. We feel strongly about what we can bring to this marketing area. We look forward to working closely with our retail partners in building their business through new and creative approaches." Developed at the request of RVIAs board of directors in response to members who have expressed their desire to make additional contributions, this program allows companies to demonstrate their support of the Go RVing effort beyond the mandatory assessments and surcharges already being collected from manufacturers and suppliers. Five funding categories have been created to identify contributors' levels of support in the industry's race for new market share. To date, 24 RVIA member companies have made supplemental contributions totaling $275,000 over the three-year campaign period. Go RVing Pacesetters ($25,000 - $49,999 contributed) include: Chevrolet Motor Division; Damon Corporation, Filon Products by Kemlite Company; Ford Motor Company; Ganis Credit Corporation; Jayco Corporation; Norcold, Div. Stolle Corporation; and Thetford Corporation. Go RVing Challengers ($5,000 - $24,999) include: ASA Electronics Corporation; Carefree of Color-ado; CIT Group; Deutsche Financial Services; Draw-Tite; Fabwel, Inc.; Foremost Insurance Company; Kinro, Inc.; and Sunline Coach Company. Go RVing Qualifiers ($1,000 - $4,999) include Amerimax Building Products; Bank of the West; Heywood Williams, USA, Inc., LaSalle Bristol; L.E. Inc., Leland Engineering; McLaughlin Associates Corporation, New Jersey RV Shows; MBA Insurance, Inc.; and Print Media Services, Wheelers Guide. Participating companies will receive various levels of recognition benefits based on the amount of their voluntary contributions. Funds raised by this program will be used to help offset startup costs for the ad campaign in 1997 in order to maximize dollars available for media buys. For the nine months ended September 30, 1996, revenues were a record $147.8 million, up 38% over 1995 revenues from the same period of $106.8 million. 1996 year-to-date income was also a record, at $4.7 million, up 54% over 1995's pro forma income of $3.1 million for the same period. Year-to-date earnings per share were $.71 in 1996, compared to pro forma earnings of $.46 per share for the same period in 1995, a 54% increase. "The third quarter of 1996 marks the fifth consecutive period of record revenues for SMC Corporation," said Mathew M. Perlot, chief executive officer of SMC Corporation. "This is the fifth consecutive quarter of increasing profitability as well," continued Perlot. "SMC has increased its market share in the high-line Class A motor coach market, and strong demand for both our Beaver and Safari lines have increased production in our manufacturing plants by nearly 40% compared to a year ago. Based an the increasing demand that we continue to see for SMC products, our analysis indicates that we now control approximately 30% of the high line market. High line coaches are RV's with retail sales prices over $100,000," explained Perlot. Sales for the third quarter ended September 30, were $154,244,238, an 18% increase over the $130,973,395 reported for the third quarter of 1995. Sales for the nine months ended September 30,1996 were $469,599,312, a 20% increase over 1995's nine months sales of $390,936,444. Net income in the third quarter was $8,332,563, a 78% increase compared to the $4,683,426 earned in 1995's third quarter. Earnings per share for the quarter were 55 cents compared with last year's 31 cents. Net income for the nine months was $23,269,242, a 92% increase over the $12,098,976 earned in the nine months of I 995. Earnings per share for the nine months were $1.55 compared to 81 cents earned in the first nine months of 1995. Coachmen Industries chairman and CEO Thomas H. Corson said, "The recreational vehicle group had a 16% sales gain in the quarter and the modular housing group had a 24% gain. while the parts and supply group had a 27% gain." The chairman added that Coachmen has filed with the Securities and Exchange Commission a registration statement in connection with a public offering by the company of 1,500,000 shares of Common Stock (plus an additional 225,000 shares for the purpose of covering over-allotments, if any). He said the offering will be managed by Oppenheimer & Co., Inc. Coachmen which has 15,103,780 shares outstanding, will use the proceeds from the Common Stock sale for general corporate purposes, including working capital requirements, expenditures for plant and equipment, and the potential acquisition of compatible businesses. According to Harley Holt, RVIA's director of automotive standards, manufacturer members of RVIA must disclose the following minimum information on a permanent interior label affixed to the vehicle in a conspicuous location. He said, "In an effort to maintain the maximum degree of flexibility for the members, no specific format is established regarding the design of the label. However, the definitions may not be altered or modified in any way. Any supplementary text included on any weight label may not alter or modify the required information." In addition, the minimum required educational information in the owners manual shall include:
According to Jay Hesse, WDA president, the association also plans to explore other fund raising methods to compliment this initial contribution. In a letter to RVIA vice president Gary LaBella, it was pointed out that 80 of the WDA members have displayed at the RVIA show annually, and those members' contributions will supplement what the WDA membership is doing to help fund the program. The Telene Products Division includes this facility in Calvert City; a parts manufacturing operation in Elyria, OH; and an applications development facility in Brecksville, OH. The combined investments demonstrate BFGoodrich's commitment to DCPD based reaction injection molding polymer systems. Monaco CEO Kay L. Toolson said, "Our performance is on target with our expectations, both in terms of the existing Monaco lines and the Holiday Rambler Division products which we acquired from Harley-Davidson. We experienced record profits as a corporation, with a solid performance across both of our major product categories -- motorized and towable." According to John Nepute, Monaco CFO, Monaco reduced borrowings by $25.3 million in the quarter, including satisfying the remainder of a $12 million debt owed to Harley-Davidson as part of the Holiday Rambler acquisition. Monaco also completed sale of all but three of the ten Holiday World retail dealerships they obtained as part of the acquisition. For the three months ended Sept. 28, 1996, net sales for Monaco Coach, including its Holiday Rambler Division, totaled $102.1 million. Gross profit and operating income were $14.9 million and $4.1 million. Net income and earnings per share were $1.9 million and 42 cents per share, respectively. Gross margin for the combined business was 14.6% for the quarter. For the nine months ended Sept. 28, 1996, net sales for Monaco Coach, including its Holiday Rambler Division (from March 4, 1996), totaled $270.8 million. Proforma gross profit and operating income for this period were $35.8 million and $10.7 million. Proforma net income and earnings per share were $4.4 million and 98 cents. For the nine months ended Sept. 28, 1996, actual gross profit and operating income were $34.1 million and $9.0 million, after the expensing of $1.75 million, reflecting an inventory write-up to fair value as a result of the Holiday Rambler acquisition. Net income and earnings per share were $3.3 million and 75 cents. The 1997 Florida RV Supershow is already near breaking records for both RV manufacturer's space and supplier's booth space. Executive director Lance Wilson, said, "We will become the largest consumer RV show ever held in the United States. Every major RV manufacturer will have a display at the Florida RV Supershow and over 250 supplier booths will fill the Supplier Complex. We are also looking to top last year's record of over 45,000 people during public days."
The Bates sites includes information about renting RVs, a reservation form, as well as pages relating to licensee and consignment programs. The Bates web site Internet address is: http://www.rvamerica.com/batesintl/. Bates e-mail address is batesintl@rvamerica.com.  The invitation came from Congressman Richard Gephardt who also spoke, as well as Vice President Al Gore. The ceremony lasted over an hour with over 3000 people in attendance. When asked how Butch felt about being on stage with such an impressive group he said, "with all the people cheering, secret service agents all around and being with the Vice President and Congressman Dick Gephardt, my adrenaline was really flowing." The new Lemay Park is where 98 homes were destroyed during the Great Flood of 1993. Peoples travels the Professional Golf Associa-tion (PGA) Tour in his 1996 motorhome with his wife Melissa and three sons, ages 2, 4 and 6. He is a great advocate of RVing, maintaining that it is the only way to keep his family together while on the tour. He also feels RV travel is the best way for families to enjoy leisure time together. RVIA vice president of public relations Gary LaBella said, "David Peoples is a personable, articulate professional athlete who prefers traveling in his motorhome because of the time it allows him to spend with his family. We are excited about him promoting the 'child-friendly' aspects of RVing and positioning RV travel as an ideal way for families to grow closer." Entitled the Perfect Drive Tour, Peoples will conduct media interviews about the advantages of RV travel in cities visited by the PGA Tour. Public interest generated by the hit summer movie "Tin Cup," in which Kevin Costner plays a pro golfer who lives and travels in a motorhome, should help attract media coverage.  The Harvest Jubilee Auction in Elkhart, IN, was held in late October to benefit Loveway
and the Reta Crisis Pregnancy Center. The top item in the charity auction was a Viking folding
tent trailer donated by Michiana Easy Livin' Country RV and Viking RV, both divisions of
Coachmen Industries, Inc.
Wayne Campbell, president of the Loveway, Inc., board of directors, (far right) and Roxana Konopinski, housing manager for Reta, the Crisis Pregnancy Center (second from left) accept donation of a 1997 Viking RV folding tent camping trailer from Mike Zemlyak, general manager of Michiana Easy Livin' Country RV (second from right) and Gar Warlick, vice president of operations, Viking (left). The Harvest Jubilee Commit-tee hoped to raise $30,000 to split between the two organizations which charge nothing for their services. Loveway provides therapeutic riding lessons and buggy driving lessons to adults and children who are mentally or physically challenged. Reta is a three-part ministry, offering free pregnancy testing and counseling, housing and a support group for high risk mothers or mothers with no family support. . RVDA president Mike Molino said, "The analysis will provide a more accurate yardstick to measure the abilities of technicians and allow us to do a better job of testing their practical job skills." Bruce Hopkins, RVIA's vice president of standards, said, "The technician position will be defined by this new analysis. It will set the standard for training and evaluating technicians." The RV Technician Task and Skill Analysis will be the foundation for all industry education activities, including curriculum development for NRVTI schools, RVIA's Supervised Correspon-dence Program and Trouble Shooter Clinics. It will also serve as the basis for the industry's technician certification testing. The analysis ranks the importance of various skills needed to be a qualified technician and categorizes them by degree of difficulty, frequency of performance and level of technical ability re-quired. Specific RV topics covered include LP gas systems; AC/DC electrical systems; plumbing systems; chassis and towing components; appliances; generators; hydraulic systems; and exterior and interior components. The analysis also addresses general skills such as education and training, communication ability and overall worker attributes, attitudes and traits. The RV Technician Task and Skill Analysis was developed under the leadership of the National Occupational Competency Testing Institute (NOCTI) with the cooperation of RV dealers, manufacturers and suppliers. The project was funded by the RVDA Education Foundation. The 1996 third quarter combined loss and expense ratio of 94.9% compares with 87.2% for the same period last year. The first nine months' combined ratio was 98.7% compared with 91.4% in 1995. During the third quarter, Foremost continued to purchase its own common stock under a buy-back plan. Since June 30, 1996, the company has purchased 386,592 shares of its common stock outstanding at an average price of $55.06 per share. Since the inception of this buy-back plan Foremost has purchased 1,279,662 shares at an average price of $45.07 per share. Third quarter sales surpassed the previous best quarter sales by 23%. The 3-part profit sharing program, now in its fifth year, is based on sales, productivity and projected profit goals. In a separate tribute to employees' contribution to the Team Approach, Country Coach honored 109 long time employees with a catered luncheon presenting each employee with a gift of $1,000. At the appreciation luncheon, company president Jack Courtemanche said, "Today is Boss' Day and we want to acknowledge you as bosses in your own right as evidenced by your job performance during your tenure with Country Coach. This is our way of saying thank you." Amerimax Building Products, Inc. is a wholly-owned subsidiary of Euramax International p1c., headquartered in Dallas, TX, with 16 manufacturing facilities located throughout the United States. Amerimax supplies a variety of products to the recreational vehicle, manufactured housing, metal roofing and siding, and professionally installed remodeling markets. In conjunction with the sale, Mitchell B. Lewis who has been employed with Amerimax since 1991 was named president of Amerimax Building Products, Inc. 
Recently LaSalle Bristol Corporation moved several operating divisions into it's new,
375,000 sq. ft. building. One of the largest structures to be built in Elkhart, IN, the facility
houses 185 staff and operations personnel in the company's warehousing, distribution, marketing
and administrative operations.
The building allows the company to consolidate operations such as bringing together the products and distribution operations formerly warehoused in five area locations, corporate and administrative offices. Manufacturing operations for lighting, air systems and plumbing products remain in their present locations. On hand for the LaSalle Bristol building dedication were (l-r) Michael Broadhead, managing director, and Ralph Hinchliffe, executive director of Heywood Williams Group PLC of England, William Schmuhl, president of Heywood Williams' U.S. subsidiary; and Clark Peters, president of LaSalle Bristol Corp. Earnings per share were 18 cents in the third quarter compared to 29 cents in the third quarter of last year. EBITDA (earnings before interest, taxes, depreciation and amortization) was $1,141,000 versus $1,449,000 in the year-ago quarter. Net income after taxes was $495,000 compared to $814,000 last year. Revenues in the quarter increased to $35,305,000 ($33,251,000 third quarter last year) with strength continuing in the company's services to the manufactured housing industry. Morgan's success in manufactured housing is being offset by declines in revenue in both quarter-to-quarter and year-to-date comparisons in specialized transport. This latter segment is especially dependent on various recreational vehicle products, such as van conversions, travel trailers and tent campers. Weakness in both volume of products being shipped and pricing is affecting not only the profitability of this segment, but is negatively impacting the profits of the company. Having said this, it should be noted that both EBITDA and net earnings improved modestly in the third quarter compared to the second quarter this year, even though revenue was less in the third quarter compared to the second quarter. (Second quarter revenue, EBITDA, and net earnings were $36,698,000, $1,058,000, and $417,000, respectively.) For the quarter, net sales increased 18.3% to $27.1 million from net sales of $22.9 million for the third quarter of 1995. Third quarter net income increased 17.5% to $1.4 million, or 27 cents per fully diluted share, from $1.2 million, or 25 cents per fully diluted share, in the comparable quarter last year. For the first nine months of 1996, net sales improved 44.3% to $95.0 million from $65.8 million for the same period last year. Net income for the nine months increased 58.8% to $5.0 million, or 99 cents per fully diluted share, from $3.2 million, or 65 cents per fully diluted share, for the same period in 1995. Wayne M. Mertes, National R.V.'s president and chief executive officer, said, "We are pleased to have achieved record results for the third quarter and first nine months of 1996. In addition, we look forward to the completion of our new facility which should come on-line in the first quarter of 1997, nearly doubling our manufacturing capacity." Bob Byrne, director of national marketing of Green Tree's Commercial Finance Division, said, "We at Green Tree are pleased to receive this vote of confidence from Tiffin in the form of a multi-year agreement. Green Tree has a lot to offer Tiffin RV dealers. We demonstrated to Tiffin management we are serious about keeping our customers satisfied and are aggressive about putting programs in place that help both manufacturers and dealers remain prosperous and profitable." Mike McKay, vice president sales and marketing, said, "RV retailers will be able to 'rustle up' some great savings on thousands of national brand products from over 100 of the industry's leading suppliers." The committee selected as the nominee Dan Saltzgiver, co-owner of Reichart's Camping Cen-ter, a park trailer dealership in Hanover, PA, who is currently serving as the president of the Pennsylvania Recreational Vehicle and Camping Association (PRVCA). RPTIA's by-laws call for two positions on the board to be represented by at least one dealer and one park owner who are retailing or accommodating park trailers. Following confirmation by the membership, Dan will be joining Dave Cagley, a dealer and park owner from Indiana, who will be beginning the second year of his three year term as the other Park-Dealership representative serving on the board. The new and improved questionnaire is now being distributed each time the office receives an order for RPTIA seals. Secretary Peña said, "All-American Roads are our country's finest byways: the best of the best. They are destinations unto themselves and an exciting adventure for all ages. National Scenic Byways posess outstanding qualities that exemplify the regional characteristics of our nation." The Scenic Byways and All-American High-ways program provides a means for international tourists to recognize U.S. roadways that are of special significance to the nation. In order to receive designation, the road or highway must be considered of extrinsic value or outstanding merit and be extraordinary in one or more of six areas - scenic, historic, natural, cultural, recreational or archeological. Staves' appointment to the task force follows his earlier service as a member of the original National Scenic Byways advisory committee. The original committee authored the program. which was later enacted by congress. Distribution Finance Division Riverwood 100-Suite 1000 3350 Cumberland Circle, N. W. Atlanta, GA 30339 Phone 770/989-6400  Sigma is a supplier of rocker switches to leading manufacturers in industries including recreational vehicle, van conversion, police/fire/emergency vehicle, lawn and garden, and power equipment. Dan Rothbauer, Sigma chairman of the board said, "It's very satisfying to win the award for the second year in a row. This proves our product availability, service, and quality control are achieving the high standards we've set for ourselves." In addition, Lazy Days earned the President's Award of Excellence at the Holiday Rambler dealer congress. This is the top award that Holiday Rambler presented to the outstanding dealership in their dealer body in all areas of business. |
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