Harley-Davidson will close KC plant by summer of 2019

[UpInArms]

Source: FOX4 Kansas City

KANSAS CITY, Mo. -- Harley-Davidson confirmed Tuesday that the company will close its Kansas City plant and move all operations to York, Pa. by July 2019.

In a letter to FOX4's sister station FOX43, a spokesperson for the company said:

"We are launching a significant, multi-year manufacturing optimization initiative that is anchored in the consolidation of our Kansas City, Mo. final assembly operations into our York, Pa. final assembly plant. This decision was made after very careful consideration of our manufacturing footprint and the appropriate capacity given the current business environment. We are constantly evaluating capacity and our current U.S. capacity exceeds U.S. demand.

... snip...

The 358,000-square-foot Kansas City plant was built in 1998 and currently produces the Sportster, Dyna, and Street families of motorcycles.

According to the company's fourth quarter earnings report, closing the Kansas City plant is expected to cost between $170 million to $200 million along with a $75 million capital investment, but it is expected to eventually save the company $65 to $75 million per year after 2020.

Read more: http://fox4kc.com/2018/01/30/harley-davidson-will-close-kc-plant-by-summer-of-2019/

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“given the current business environment” ... and the savings won’t kick in until 2020?

I thought everything was AWESOME with business under the misleadership of the orange menace.

🤦🏽‍♀️

[tazkcmo]

1. That plant

Is full of Shitgibbon voters.

[UpInArms]

2. Maybe they will get tired of winning

... one can hope ...

[workinclasszero]

16. How to they like Red Don now?

[tazkcmo]

19. I don't talk to them

The stupid maybe contagious.

[BumRushDaShow]

3. Wonder what PA offered to have them do that

The current (D) Governor is from York, PA.

[riversedge]

4. i feel bad for the workers and their families.

[mountain grammy]

5. but the tax cuts?Doesn't that make every business rich?

so much winning.

[KPN]

6. So let's see ...

corporate tax cuts make it more viable to spend $275 million of "efficiency" measures that will yield $65-75 million more profit per year after 2020 ... instead of creating more jobs, increasing worker wages and benefits.

"Make America Great Again" = Back to the Gilded Age

[hatrack]

7. IPhone Redux . . . . fewer and fewer people can pay $1000 for a cell phone . .

Fewer and fewer people can pay $20,000 for a motorcycle - even setting aside the demographic pinch HD is in.

Fewer and fewer people with discretionary income. Gosh, I wonder why?

[workinclasszero]

17. I can't figure it out but

More tax cuts for billionaires will surely turn things around huh?

[Sunlei]

8. How much is a new Harley these days? They can double the price & still sell to the global wealthy

at even better profit.

[jmowreader]

21. They're pretty high

From the price list at https://www.harley-davidson.com:

H-D Street: $6899 to $8699
Sportster: $8699 to $11,299
Softail: $14,499 to $18,999
Touring: $18,999 to $26,999
Custom Vehicle Operations: $39,949 to $42,949
Trikes: $26,449 to $34,499

Colors other than black are a $400 upcharge, and some models have a $750 ABS upcharge. If you're in California it's a $200 emissions upcharge.

[dembotoz]

9. wonder is the harley brand is destined to join the endangered company list in the not so distant

future

is age catching up with them?

like print newspapers are there buyers growing old?

see lots of older folks on hogs, fewer kids

[pstokely]

12. I think they make more off clothing than cycles

they are opening stores where the clothes come first, bikes second, the boomers are getting too old for them also

[Calista241]

10. Harley still makes a pile of shit product.

And that product doesn't appeal to millennials, or even many Gen X'ers.

When your target market is shrinking at the rate Harley's is, your business starts to stink.

The motorcycle industry as a whole is on the verge of struggling because millennials aren't riding as much as previous generations. This is mostly affecting the big cruiser brands at the moment, like Harley, Indian and Victory.

Though if millennials stay off of motorcycles, I'm sure Honda, Triumph, Ducati, KTM, Yamaha, Suzuki and others will feel the effects as well.

[dembotoz]

18. wonder how scooters are doing?

the under 50cc size

[Vinca]

11. Not Harley, but a local solar energy company just announced they'll be going belly up

thanks to Don's tariffs on solar equipment. It's all going to crumble pretty soon - stock market, too.

[hexola]

13. KC: Pennsylvania is stealing our jobs!

/sarc

HA!

[pstokely]

14. and their tax rate isn't any lower

PA's tax rate is actually higher then MO's already low tax rate

[workinclasszero]

15. Bet HD is using the Trump tax cut to shut it down

Every Harley rider I have ever known was a hardcore right wing republican so...enjoy your president and party guys.

Kinda hard for a young person to buy a 20,000 dollar or more bike while making 10 bucks an hour, paying student loans and driving for uber on the side.

I wonder if Harley will even be around in ten years?

[Judi Lynn]

20. It was considered a very big deal when they moved to K.C., according to news at the time.

Looks like a big kick in the pants as they leave.