American Motorcycle Dealer AMD 213 April 2017 | Page 22

“ a lot of people found that their worlds changed ”

Mustang Motorcycle Products : Founded in 1980 by Al Simmons , Mustang was bought by MAG in 2004 . Seen here on duty for the Three Rivers , Massachusetts based seat manufacturer at the Biker ’ s Choice Dealer Expo in Texas in February are Matt Kulman , General Manager , left , and Sales Manager Jesse Sargent ; www . mustangseats . com
Performance Machine : Founded by Nancy and Perry Sands in 1970 , PM was among the pioneers of the parts industry as the 1970s chopper revolution took hold . Though originally best known for their market-leading brake calipers , it was the wheel programs that saw PM become a bellwether for the design trends and business cycle of the market . Bought by MAG 15 years ago , PM had been a design leader when “ fat rear ends ” were ‘ de rigueur ’ in the days of the tire wars , and more recently was part of the entire custom wheels industry subculture as Harley transitioned the majority of its production into tourers – ultimately triggering the so-called “ Bagger Boom ”, which saw custom trends morph once more ; www . performancemachine . com
attrition , as a channel tier was absorbed by a factory-to-e-commerce capable operation ; and that with the primary competitor having previously been the primary customer for most of the MAG brands , there has been a lot of concern about the direction of travel that this apparent consolidation and realignment of product lines was taking , or could be about to take . Especially in the context of a market way softer than the one that Lacy must have been banking on . “ Given our size and the pre-eminence of our brands , inevitably we get a lot of attention . We are a group of leading players in the market . But a lot of the fears have been misplaced . Overall , what we have done will be seen as having been good for the industry . “ We have added a major dynamic to the market . Dealers and their customers will see the benefit of that . We believe that the distribution skills and services we bring both to the MAG brands and to our thirdparty partners will benefit everyone – riders , dealers and vendors . We have created additional critical mass that results in a higher quality product , service and value to consumers . Riders have very special characteristics that they share in common with other enthusiast groups , but they also have basic requirements that they share with all of us as consumers – they want ever better products , prices , and an improved buying experience .” I discussed with Graves how those initial concerns had moved . Now it is the massive level of debt being carried by the merged entity that has a lot of people worried . Surely the debt that has been incurred , combined with a market in which sales are soft , has reduced the net value of the combined business ? One that some say Lacy ’ s overpaid for in the first place ? From the outside , it has looked very much like , in effect , LDI mortgaged Tucker Rocky in order to make the deal happen . In that regard , wasn ’ t it more of an acquisition than a genuine merger , and isn ’ t that debt going
to be a burden that affects progress and hands the initiative to competitors ? “ The deal as structured was a merger . Both businesses went into a new holding company as partners . “ Strategically it has been handled as a merger of equals . As to the debt , well debt
Maxima Racing Oils : V-twin oils specialist Garret Andrews : “ Our oil change kit options are proving very popular as they give dealers the flexibility of service solution options they need . We offer two options – a ‘ Quick Change ’ kit with oil and choice of chrome or black K & N ‘ Wrench Off ’ oil filters , and our complete ‘ Oil Change in a box ’ – 20W-50 engine oil , oil filter choice , plus transmission and primary oils . We are the only oil company offering the choice of chrome or black oil filter from K & N ”; www . maximausa . com
Arnott Air Suspension : Glenn Nash is the V-twin suspension specialist for the Florida based ISO 9001-2008 accredited manufacturer : “ There is so much confusion and misinformation about air suspension in the V-twin market . Arnott makes the only true onboard adjustable air suspension kits for motorcycles . Our TruAir technology uses genuine gas pressure , height adjustable FOX shock absorbers in our top-of-the-line “ Ultimate Ride ” kit , and the core of our patent pending design is a separate Goodyear air spring – a rugged air spring bladder , not an air cylinder or air-assisted unit – and we back all our systems with a Limited Lifetime Warranty ”; www . arnottcycles . com
S & S Cycle : On home ground for once , S & S ’ Texas based Southern Sales Manager and V-twin Tech Sage-in-Chief Scott Hakins – 2017 will be a big year for the Viola , Wisconsin based manufacturer with more than 20 new performance products slated for release ; www . sscycle . com
22 AMERICAN MOTORCYCLE DEALER - APRIL 2017 www . AMDchampionship . com