Winnebago lays off workers

[NNN0LHI]

http://www.wcfcourier.com/articles/2005/08/15/business/local/1330b62380a72f128625705e004144e7.txt

FOREST CITY --- A softening recreational vehicle market has led Winnebago Industries officials to scale back its work force at its plants in Forest City and Charles City.

Winnebago officials released a statement Saturday saying the Forest City-based manufacturer will conduct what they call "a limited work force reduction."

The exact number of layoffs, which Winnebago officials are for now terming temporary, will not be known for three to four weeks, company spokeswoman Kelli Harms said. snip

Analysts say the RV industry, which enjoyed a banner 2004, has been hit hard by rising oil prices and higher interest rates. A year ago, the industry posted record sales of $14 billion, but according to a Grand Rapids, Mich., independent firm, sales have plummeted in 2005.

[leesa]

1. No sympathy...build a foolish product it bites ya in the butt.

[Stuckinthebush]

6. Historically, the product isn't foolish

At one time, the RV was a great way to avoid high plane and hotel prices. When gas was cheap, it was not too expensive to take the kids in the RV and head to the beach or mountains. It was a nice way to have the family together and get to some places that you normally wouldn't get to otherwise.

Today, the prospect of filling up a 40 to 60 gallon tank is daunting. Loaded up, the RV may get 8 to 12 miles per gallon so a long vacation will eat up the budget.

Not to mention the clear and undisputed (except by the Bush administration) problem with global warming. Any environmentally conscious person has a difficult time justifying the use of such a pollutant. So, even if you have gobs of cash to be used for the gas, the environmental problems are still there.

So, the RV manufacturers will either need to develop an RV that uses hydrogen or biodiesal, or slowly go the way of the dodo.

[MadHound]

12. All you need to use biodiesel in an RV

Is a diesel engine, and possbily having to switch from neoprine fuel lines to metal ones. Other than that, just fill 'er up with biodiesel and go.

Biodiesel is great. It is ninety percent less polluting that either regular gas or dino-diesel, it is astonishingly cheap(.70-1.40/gal, depending on where you get it, and whether you had to pay for the vegetable oil), and it is better for the engine.

[fasttense]

2. Surprise, surprise, surprise.

:sarcasm:

[boredofeducation]

3. A sign that Gas Guzling vehicles are no-longer in...

A sign that huge Gas Guzling vehicles that get 5 Mpg are no longer in. It now costs a small fortune to move those things. To go cross country, you can could fly and stay at a nice hotel for the same price if not less.

[phantom power]

4. Actually, my dad did the math on that, and the RV was still cheaper.

although it depends a lot on the length of trip. A six week trip can rack up quite a hotel bill :-)

[boredofeducation]

7. Did he figure costs of the RV, towing a car?

Did he figure costs of the RV? They are not cheap, some costs upwards of 100K or more. Costs of towing a car, less fuel efficient. Camp ground rents, like everything else, they are not cheap anymore. Costs of insurances, taxes, registration, tolls? Some people have to pay to store their RV because they don't have enough space to park it. At what point does your Dad break even? $2.50 a gallon certainly will not help you any.

[phantom power]

8. I think he included everything but the cost of the RV itself.

Which is quite expensive, as you say :-) Sooner or later, an RV becomes unaffordable, as gas prices continue to rise. Maybe sooner than later. I was rather surprised when he bought one, and I think he's starting to regret it.

[havocmom]

5. Or... everybody who wants & can afford one has already bought one.

There is a thing called 'saturation point'. We see so many of these fuel gobblers, most pulling cars AND boats, that I have decided fuel prices have a ways to go before they hit all the market will bear.

The top 1% are NOT spending their tax cuts on reinvesting in American manufacturing - they are spending it on toys. And too many toys are from other nations one way or another. The tax cuts are being sent to oil producers.

[okieinpain]

9. oh give them time, greed can be a wonderful thing. watch all of a

sudden they will discover this super wonderful motor that will get great gas mileage and will not pollute the environment. watch it's going to happen in the next year or so.

[phusion]

10. Is it still possible to hop trains?

I'd like to keep traveling through this gas craziness and am thinking train hopping may be a good option. :)

[ChairmanAgnostic]

11. Winne-ba-go-broke? Must be a growing economy again

After 3 weeks with no spottings, I saw my first Hummer today, driving back from court, but it turned out to be a commercial vehicle, for a popular restaurant/hotel, taking guests from the airport.