Workhorse Produces 593 Chassis in First Quarter

Some said it couldn't be done, but Workhorse Custom Chassis did it. The first quarter of '99 is history and Workhorse Custom Chassis has produced 593 motorhome and commercial chassis.

Workhorse chairman and CEO Andrew Taitz said, "Nobody thought there was any way we'd be able to get that many out in this short of time, but we started off saying we would be up and running in the first quarter, and we aim to keep our promises. It simply shows what can be done when you really focus on what you want."

Workhorse's agreement to purchase the motorhome and commercial P-chassis assets from General Motors was concluded on January 8. Between then and the end of February the entire chassis assembly line and its related equipment in Detroit was moved to the new Workhorse plant in Union City.

After producing 20 chassis in the last week of February, Workhorse ramped up production to its present level of just over 200 a week. Workhorse produces gasoline-powered P-32 chassis for class A motor homes and commercial P-42 gasoline and diesel chassis for step van delivery trucks as well as buses.

Chief operating officer Bob Atkins estimates Workhorse is well on schedule for meeting its full production goal of 480 chassis a week by the end of May.

Atkins, a 32-year GM veteran who last served as plant manager at GM's Detroit P-chassis facility, said, "Given the GM experience in our ranks and our singular focus on chassis, we should be able to produce a superior quality product in an attractive time frame for our customers."

"We have set procedures in place to help us achieve ISO 9001 certification," Atkins added. "And I think we might well exceed expectations as to when we will achieve that goal, too."

Atkins is heartened by the comments of commercial and motorhome customers visiting the plant that the quality of the Workhorse chassis appears to be even better than its General Motors predecessor.

Also making great strides is the Workhorse dealership network. Director of dealer operations Jeff Meyer said, "In general, we've gotten a very positive response. Dealers are looking at it as a real opportunity."

So far, Workhorse has agreements finalized or pending with 250 RV dealerships to be Workhorse parts and service centers, according to John Margalski, director of RV sales. For the first time, this network will provide motorhome owners with "one-stop service" for getting all their warranty work on their chassis and motorhome body in one place.

Workhorse also has all its engineering crew on board and the task of developing a higher GVW chassis is well under way. The heavier duty chassis is expected to debut in the first half of 2000.

Taitz said, "I can't say enough about what our employees have accomplished thus far. We are showing our customers that we can indeed do what we say. There are still many things we are working on, and I expect our accomplishments to be just as great in this next quarter."


GM Reaffirms Commitment
to Chevy Chassis Warranty after
Sale to Workhorse

Some said it couldn't be done, but Workhorse Custom Chassis did it. The first quarter of '99 is history and Workhorse Custom Chassis has produced 593 motorhome and commercial chassis.

Workhorse chairman and CEO Andrew Taitz said, "Nobody thought there was any way we'd be able to get that many out in this short of time, but we started off saying we would be up and running in the first quarter, and we aim to keep our promises. It simply shows what can be done when you really focus on what you want."

Workhorse's agreement to purchase the motorhome and commercial P-chassis assets from General Motors was concluded on January 8. Between then and the end of February the entire chassis assembly line and its related equipment in Detroit was moved to the new Workhorse plant in Union City.

After producing 20 chassis in the last week of February, Workhorse ramped up production to its present level of just over 200 a week. Workhorse produces gasoline-powered P-32 chassis for class A motor homes and commercial P-42 gasoline and diesel chassis for step van delivery trucks as well as buses.

Chief operating officer Bob Atkins estimates Workhorse is well on schedule for meeting its full production goal of 480 chassis a week by the end of May.

Atkins, a 32-year GM veteran who last served as plant manager at GM's Detroit P-chassis facility, said, "Given the GM experience in our ranks and our singular focus on chassis, we should be able to produce a superior quality product in an attractive time frame for our customers."

"We have set procedures in place to help us achieve ISO 9001 certification," Atkins added. "And I think we might well exceed expectations as to when we will achieve that goal, too."

Atkins is heartened by the comments of commercial and motorhome customers visiting the plant that the quality of the Workhorse chassis appears to be even better than its General Motors predecessor.

Also making great strides is the Workhorse dealership network. Director of dealer operations Jeff Meyer said, "In general, we've gotten a very positive response. Dealers are looking at it as a real opportunity."

So far, Workhorse has agreements finalized or pending with 250 RV dealerships to be Workhorse parts and service centers, according to John Margalski, director of RV sales. For the first time, this network will provide motorhome owners with "one-stop service" for getting all their warranty work on their chassis and motorhome body in one place.

Workhorse also has all its engineering crew on board and the task of developing a higher GVW chassis is well under way. The heavier duty chassis is expected to debut in the first half of 2000.

Taitz said, "I can't say enough about what our employees have accomplished thus far. We are showing our customers that we can indeed do what we say. There are still many things we are working on, and I expect our accomplishments to be just as great in this next quarter."

Cote goes on to say, "GM is continuing to actively participate in the RV market. Through Chevrolet and GMC, GM continues to offer G-cutaway products that are very popular in the Class C motorhome market. GM will supply Workhorse Custom Chassis the 7 .4 liter V8 engine and other GM powertrain components for use in its own Class A motorhome chassis. In addition, as part of the asset sale agreement, GM is continuing to provide critical transition service and support to Workhorse during production acceleration of its motorhome chassis products."

Cote is in charge of the transition arrangements between Workhorse and GM.


RVN


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