BRP to exit sport boat market
Bombardier Recreational Products Inc.
September 14, 2012
Filed under News
Press Release
Valcourt, Québec, September 14, 2012 – BRP today announced it will exit the sport boat business over the coming months, citing the continued global sales decline in the marine industry, particularly the drop in sales of sport boats since the financial crisis.
“This is a difficult but necessary decision for BRP,” said José Boisjoli, president and CEO. “We worked hard to grow our sport boat business through a serious sales decline that began in 2007. But now, we must focus our research and development resources and capital investments in areas of our business that offer greater growth potential.”
BRP entered the boat manufacturing business in 1994 and purchased the assets of Celebrity Boats in 1995, at which time it moved its facility to Benton, Illinois.
“We looked for a buyer for our sport boat business, but that effort proved unsuccessful,” Boisjoli added. “Consequently, we decided not to resume production of the upcoming model year due to seasonal production planning requirements.”
All impacted employees will receive a good transition package.
BRP will continue to provide parts and honour warranties for its customers.
Wow, Yamaha hit them a lick it seems.
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DON Reply:
September 14th, 2012 at 1:24 pm
ya next will be nascar.everything is moving to japan or china.
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Jeff junker Reply:
September 14th, 2012 at 1:36 pm
They are closing the sport boats, not jet boats. I wouldn’t say Yamaha had anything to do with that.
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chuck Reply:
September 14th, 2012 at 2:12 pm
The only sport boats they have are Sea Doo Jet boats…Yamaha has set sales records the last 3 years running. They must be doing something right.
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Jeff Junker Reply:
September 14th, 2012 at 2:37 pm
That is crazy. The statistics show huge growth in jet boats. Yamaha must be crushing them. I thought it was just closing out the old Century product or something. I’m really shocked they are closing the jet boats.
I would figure it is the price of the boats is why they are not selling. Who can afford to spend the dollars when wages are down and fuel prices rise
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Wow, the Benton, IL plant was state of the art production facility. Too bad for all the people that worked their butts off there. BRP is making a mistake.
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I’m very surprised that the press release made no mention of the status or impact to their dealer network.
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Yamaha jet boats are built in the USA in Tennessee to be specific. They are doing it right. Southern work ethics and lower labor cost not to mention no union shops. The workers there love Yamaha and their jobs.
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Jet Boats have significantly grown in their market segment, even Sea Ray is getting back into building them!
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Tom King Reply:
September 17th, 2012 at 12:17 pm
A sure sign that we are at the peak sales.
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I hope this has nothing to do with evinrude e tec outboards
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With over a 100 different SKU’s “models” it’s no wonder they couldn’t make it work. They were so busy trying to build a boat for everyone, you never had in stock the boat any one person wanted. I think they really did use a ax where they could have used a scalpel. Furthermore; they closed the only manufacturing in the USA. Gee, I wonder Y.
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The last Investment Bombardier or the Boating industry needs is another Boat line or Cottage Induistry Boat Builders. Bombardier is very very heay into the Sport Market and they have yheir Finger on the Pulse of thhe Global Boating Manufacturers. YTheir stock is doing well and their Motorcycle Division is doing well also. Bombardier found out the best way to make money in the Boat Building Business is to walk away. Leave everything there don’t touch any Tooling or Equipment. Do not even think about Boat Building. They are making money just by walking away. bombardier found out the best way to make 100 million do$$ars in the Boat Business is to start with $300 million and get out when you are down to the last 100 million.There are and were 52 Boat Manufacturers with the word S E A in one form or another as part of the name of the Boat. There are more Boat Builder Listings in NADA through the Years then Automobile, Motorcycles, and Bus Factories. The Boat Business will thrive after another 25% of the Builders Liquidate. The Used Market is another World of Profit just sitting out there waiting for many more Boat and Dealers decide that they need to remove their EGO’s and start Making money in Used Product………….I just gave up Millions in telling the Industry how to Shine….. .
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