Mastercraft $$$Trouble- Rumors

[Double D]

Hi all: just seen on another forum that Mastercraft has been laying people off left and right and that both Mastercraft and Malibu produced too many boats and are sitting on too many boats. Sounds like the CEO hasn't done well with managing the company of MC.

ouch!

IMHO it was only a matter of time. Sorry, but most of us die hard skiers/wakeboarders can't afford $90,000 boats. Not when manufacturers like Moomba can build just as good of a boat for much less price and just of a good construction.

I would certainly question the quality and workmanship of any new MC now because who knows who got laid off and what kind of work is being done on the building of the boats now.

[Kidder]

Hi all: just seen on another forum that Mastercraft has been laying people off left and right and that both Mastercraft and Malibu produced too many boats and are sitting on too many boats. Sounds like the CEO hasn't done well with managing the company of MC.

ouch!

IMHO it was only a matter of time. Sorry, but most of us die hard skiers/wakeboarders can't afford $90,000 boats. Not when manufacturers like Moomba can build just as good of a boat for much less price and just of a good construction.

I would certainly question the quality and workmanship of any new MC now because who knows who got laid off and what kind of work is being done on the building of the boats now.

Sorry, but I'm going to have to disagree with most of this post. In case you hadn't noticed, the market for luxury items has gone into the tank because of the economy and this whole mortgage "issue". MC probably didn't see this coming until it was too late. As far as the whole "Moomba can build just as good of a boat for much less price", that may be true but it's the higher quality and the higher end components/options that also need to be factored in. Don't get me wrong, I like my Moomba a LOT. However, my old Sea Ray 195 Sport had a higher attention to detail and higher quality interior than the Moomba. Go look at a Supra/Moomba dealer and tell me how many units you see sitting on the floor. I would hate to be a boat dealer right now.

Also, do you think Correct Craft also has a CEO who has done a poor job managing the company? They're laying off people too.

[Reese350]

The economy really sucks so I'm sure all of the boat companies are feeling the impact just like everyone else is. I think Roger Penske bought Mastercraft a couple years ago so I suspect they have enough backing to endure a bit of a downturn. For all of our sake, let's just hope it passes quickly.

[04OUTBACK]

major factors affecting ALL of the boat mfgrs include difficulty in getting marine floorplan financing AND increased requirement on downpayment (10-20%) for financing.
There is a story on Wakeworld with links to contact your congressmen regarding forcing some of the TARP funds to loosen some floorplan financing for dealers. Biggest problem is floorplan companies have eaten some boats in the last year and there is only 1 left who will floorplan boats for dealers.

You may have to special order boats in the future if dealers can't afford to stock some!

I really don't want ANY boat mfgr to go out of business....
Actually, our parent company sells parts to boat trailer MFGs.. WE NEED MORE SALES!

[zabooda]

The market may recover next year at the earliest but the top end of everything always had less available buyers and the market down turn makes it even worse. If MC cut back right away then shame on them. There have been bigger companies than MC that have gone under due to a lack of planning. These recession cycles are reality and businesses plan for them.

[Double D]

Kidder wrote: "Moomba can build just as good of a boat for much less price", that may be true but it's the higher quality and the higher end components/options that also need to be factored in.


I respectfully disagree with your comment. that is like saying the suburban LS isn't as good as the suburban LT because it doesn't have heated leather or stainless steel cup holders. I agree there are more "bells and whistles" to the MC, but I can ski just as good behind the Outback as I can behind the Prostar. My point is, why pay $60,000 for a boat when I feel IMHO get the same quality for $30,000?

Kidder wrote: "Also, do you think Correct Craft also has a CEO who has done a poor job managing the company? They're laying off people too."

I don't know enough about CC to offer my opinion; however my comments about MC are just comments I saw on another site. In fact, one of the people posting was a former employee. Now he could be just spouting because he was laid off. As I had indicated in my title- MC rumors. I haven't heard anything about CC.

Kidder wrote: "In case you hadn't noticed, the market for luxury items has gone into the tank because of the economy and this whole mortgage "issue".

I will agree there. I am sure the economy has hit luxury items hard. I had noticed, but not as much as you all have. I am pretty much on an island up here in ND. We had record ag. prices and most if not all of our homes are still increasing in value as I write this post.

I may be completely inacurrate with my post, but I was at a boat show on Saturday and even the Moomba dealer in our area said he had heard some bad things were happening over at MC, but he didn't know any details.