Thor/Heartland buys out DRV

richfaa wrote:
Are all these brands junk........ " http://www2.thorindustries.com/recreational-vehicles

Rich, don't think that is what is being said...I don't think junk, nor anywhere near, but DRV was/is a model that was steps ahead of some of "the other manufacturers", kind of like Teton...expensive and built well.....Thor will do alright by the DRV name if they don't, down the road, cut corners to save money on some of the higher end features that DRV and a few other 5er manufacturers build into their units.

Not a "nay-sayer" either, just stating that Thor can go two different way's, keep DRV as an "higher end" Quality built unit, or somewhere down the road start cutting corners on the manufacturing of DRV units...No one really knows and only time will tell.

I'm sure I don't understand all the issues...but, doesn't it seem like 47 mill. is undervalued for the purchase price of one of the RV industry standards for "nice" motorhome manufact. ??? With out looking at looking the data spreadsheet...just going solely on my RV storage facility ,...sure seems like a lot of their high end units have been sold. I would assume that 47 mill. includes the name, plant, inventory, distribution, subsidiary contracts, rights, staff, proprietary items...etc. , would seem a bargain for Thor ???

Heck , many major league basketball/football/soccer/baseball individual stars sign contracts worth duple/treble that amount.

Just seems odd.

Charles

The "Thor" doom and gloom crowd was out in full force back when Thor acquired Heartland. I was one of the "not too happy' crowd but decided that I was not in the market for a new fiver so I could wait and see if the dynamics changed. To date, I and many of the earlier purchasers that were Heartland fans back then are still Heartland fans today. Personally, I have not seen any negative changes in direction in either the way customers are treated or in a degradation of product quality...

When Thor took over, they stated that Heartland would be run as an independent entity. I have not seen any tangible evidence to reflect otherwise...DRV is now part of the Heartland entity and I expect to see similar direction there.

Regards

Are all these brands junk........ " http://www2.thorindustries.com/recreational-vehicles

Bipeflier wrote:
No one spends $47 million and "leaves them alone"!

In the beginning the key management positions will be transitioned and as time goes on this will trickle down either by design or by the "old guard" folks leaving on their own. I've seen this several times in my career and typically the really good folks leave fairly early for better jobs rather than seeing "their" complany go down hill.

No don't get me wrong, Thor will not intentionally reduce the quality level of ther DRV units but as they dictate cost saving goals (which have an impact on their bonus) the quality will slowly degrade until customer complaints start costing more than the savings, or sales go down.

As when Emerson Electric bought out Skil tools, now is the time to buy before the changes start. Remember when a Skil saw was all you would see at a construction site? Ain't so now!

"IF" "cost savings goals" are implemented, I would to willing to bet that QUALITY and craftsmanship WILL take a hit...DRV already has a great reputation, Thor will work off that and probably cut back slowly, but surely...bottom line is "money made", not necessarily Customer Satisfaction:R

You doomsday folks that won't buy anything Thor or Lippert aren't going to have much selection.

byronlj wrote:
Another one bites the dust.
Dave

Hey Dave, yep, another one of the "higher end" 5er's gone....I don't understand it...What was funny, and off topic, so I apologize now, but the 5er's like you and I own were starting to go back into production and now they've decided not to manufacture them now.....guess it's better than taking a cut in quality if it's not going to be "as good as the original"..\


Jim

larry barnhart wrote:

BB_TX wrote:
I suppose now there will be those who will now say DRV are no good because they are owned by Thor. :)

It won't be better.

chevman

Agree Larry, may not be worse, but having owned some Thor products in years passed, "They ain't no DRV"..if it keeps same reputation then in my own personal opinion, they'll have to "step up" some to keep the DRV reputation where it is today.

From the DRV Suites owners' forum, for what it's worth....

http://suitesowners.com/images_web/2015/1.5.15%20-%20Tho-DRV%20Forum%20Letter.pdf

For those who are just about to order a DRV product, my thoughts (having been in company divisions that have been acquired by an outside entity) are that nothing is going to change overnight...these changes take many months, if not years. Most acquirers will spend some time learning the acquired business, evaluating their business practices, finding out where they're successful and where they need help. The first months are more focused on integration of personnel into the acquiring company's HR system, integration of enterprise software, etc., and not so much manufacturing methods or massive commercial changes - if those come, it's later in the process. Just in case, though, I wouldn't dawdle too long in placing an order.....

Rusty

Great!:M We are planning on full timing by the end of this year and have been waiting to see the drv fullhouse, but I dont want to spend that kind of money on Heartland products.
Has this been in the works for a while or is this a surprise to everyone?