The new Baja's are comming...
08-07-2008 | 10:24 PM
#81
Custom Interiors & More
Joined: Jun 2008
Posts: 1,742
Likes: 2
From: Bucyrus, OH.
I'm not a huge Reggie or Rountain fan, nor really a huge Baja fan either, so this is a pretty "unbiased" opinion.
My understanding is that Fountain owed Mercury/Brunswick considerable liabilities. Meanwhile, Baja was a money loser for them with negative cashflows and little sign of changing. They then agreed to "sell" it to Fountain for basically nothing in exchange for reducing some of Fountains liabilities to them.
Therefore, Fountain was basically told to take Baja, and he's trying to make the best of it.
The fact it was not making money at all currently, means that to continue to produce in Ohio would be foolish, to basically expect a better return with the same operation. The only way to save Baja and try and return it to profitability is to maximize economies of scale. This means one factory, mostly redundant employees, etc.
To continue operating Baja as it had been would have put both under.
Just my opinion looking at the outside of this deal, and I clearly could be very wrong. I hope both can recover and grow, but that is definitely a challenge in this economy.
My understanding is that Fountain owed Mercury/Brunswick considerable liabilities. Meanwhile, Baja was a money loser for them with negative cashflows and little sign of changing. They then agreed to "sell" it to Fountain for basically nothing in exchange for reducing some of Fountains liabilities to them.
Therefore, Fountain was basically told to take Baja, and he's trying to make the best of it.
The fact it was not making money at all currently, means that to continue to produce in Ohio would be foolish, to basically expect a better return with the same operation. The only way to save Baja and try and return it to profitability is to maximize economies of scale. This means one factory, mostly redundant employees, etc.
To continue operating Baja as it had been would have put both under.
Just my opinion looking at the outside of this deal, and I clearly could be very wrong. I hope both can recover and grow, but that is definitely a challenge in this economy.
08-07-2008 | 10:47 PM
#83
Custom Interiors & More
Joined: Jun 2008
Posts: 1,742
Likes: 2
From: Bucyrus, OH.
08-08-2008 | 07:32 PM
#84
Registered
Joined: Apr 2005
Posts: 557
Likes: 0
From: Cary, ILL
Frome the pictures that I saw looks like there still using the liner system and the same build. I think it will be at least a year or two before he changes the build of the boat. I'm hopping for the best...
08-28-2008 | 11:23 AM
#86
Charter Member #34
Joined: Oct 2000
Posts: 7,151
Likes: 2
From: Beautiful North Carolina
08-28-2008 | 01:04 PM
#88
VIP Member
Joined: Nov 2002
Posts: 4,176
Likes: 333
From: ankeny,ia.
I talked to the supposed "head of Baja"
@ Captain Ron's after we got done with the
Shootout on Sunday ...he's the guy in the black
shirt, right above the outboard motor just to
the left of Reggie.
Appartenty, he saw the Hawkeye Boat Sales
sticker just in front of the vent, and thought
I was somebody, when we came rolling in
He was a nice enough guy though, very outgoing,
I asked what they had going on, he said they
had several in the oven, 4 or 5...can't remember
which models he said.
Reggie was on the radio, talking about how nice it
was to see all the Fountains and Baja's out here.
He used Fountain and Baja in the same sentence
numerous times.
I did tell Reggie that he needed to get some Baja
logo's on his outfits....he did say yes, and he was having
them made
@ Captain Ron's after we got done with the
Shootout on Sunday ...he's the guy in the black
shirt, right above the outboard motor just to
the left of Reggie.
Appartenty, he saw the Hawkeye Boat Sales
sticker just in front of the vent, and thought
I was somebody, when we came rolling in
He was a nice enough guy though, very outgoing,
I asked what they had going on, he said they
had several in the oven, 4 or 5...can't remember
which models he said.
Reggie was on the radio, talking about how nice it
was to see all the Fountains and Baja's out here.
He used Fountain and Baja in the same sentence
numerous times.
I did tell Reggie that he needed to get some Baja
logo's on his outfits....he did say yes, and he was having
them made
