[jdrouin]

This just popped up in my Google Video search feed, but the post is undated so I have no idea when it was published:

http://www.motorcyclecruiser.com/newsandupdates/royal_enfield_motorcycles_spinoff/index.html

Aside from the annoying way it casts RE bikes, the article interprets Eicher's spinning-off of RE as a potential death-knell for the brand. However, it provides no primary information, links to press releases, dates, etc.

Anyone know anything about this? Kevin?

Jeff

[ace.cafe]

It's old.

[The Garbone]

This is a better article.. From 2006...

http://timesofindia.indiatimes.com/articleshow/1725333.cms

[jdrouin]

Damn, that's really old. I thought the story line sounded familiar, but because it just popped up in my search feed I wasn't so sure. Glad we're not in danger of being rubbed out, as far as we know.

Jeff

[Kevin Mahoney]

This is an old story. It popped up somewhere else recently as well. TIme has shown the reasons they "hived off" Royal Enfield unlike what the pundits predicted. Eicher later sold a very large percentage of themselves to Volvo. They have essentially merged. Siddartha Lal didn't want RE to be part of that deal so he made them an independent company before the sale. This company is his passion and as we have seen they are now expanding rapidly and selling everything they can make.

[Geirskogul]

The funny part is that in the past 2008/2009 financial crisis (which hit pretty much worldwide) RE was one of only two motor companies based in India to come up ahead and actually have higher stock prices in the end.  I remember watching an IBN/CNN news story about it.

[Bullet.wagon]

That may have been partly due to high fuel prices which are now going high again.

[Blue Ridge Wheeltor]

I like niche bikes because they are unusual, one of a kind, and a conversation piece. edit: I am talking about motorcycles, not Uncle Ernie.

Unfortunately, many niche bike companies teeter on financial ruin. We have seen Buell go belly up recently. Ural is but a shadow of the heavy producer it was a decade ago, and there is always talk of financial instability. Moto Guzzi seems to be going out of business more often that the local furnature store with it's permanent "going out of business" sign in the window.

While Enfield is definately a niche bike, it is only a niche in this country. Many are sold in India, and it is a strong company. RE's big weakness here in the states seems to be the dealer network. There always seems to be a dealer on the way out. Fortunately, we have some strong dealers to take up the slack.