American Motorcycle Dealer AMD 172 November 2013

™ T H E O N LY M A G A Z I N E F O R T H E W O R L D W I D E V- T W I N PA R T S , A C C E S S O RY A N D P E R F O R M A N C E I N D U S T RY Harley sees new model, anniversary and restructuring benefits in third quarter ARLEY-Davidson’s third quarter fiscals (released October 22nd 2013) revealed improvements in earnings, sales income and motorcycle unit sales that had Chairman, President and Chief Executive Officer Keith Wandell purring as the company starts to bank the benefits of the draconian measures that he implemented on taking over as CEO four years ago. “Harley-Davidson had a great third quarter, with strong financial performance and retail sales growth,” said Wandell. “Rider response to the 2014 motorcycles we introduced in August was extremely positive. In fact, initial retail sales of the new ‘Project Rushmore’ motorcycles sparked the largest year-over-year new model year sales increase in two decades. “We also capped our year-long 110th Anniversary celebration in late August when throngs of riders joined us in Milwaukee from around the world H for a huge three-day party like only Harley-Davidson can throw. “Everyone at Harley-Davidson is proud of our accomplishments and results so far this year, as we continue to see the benefits of our manufacturing, product development and retail strategies,” Wandell said. Dealers worldwide are said to have sold 70,517 new Harley-Davidson motorcycles in the third quarter of 2013, compared to 61,053 motorcycles in the year-ago quarter. In the U.S., dealers sold 48,529 new Harley-Davidson motorcycles in the quarter, up 20.1 percent, compared to sales of 40,402 motorcycles in the year-ago period. In international markets, dealers sold 21,988 new Harley-Davidson motorcycles during the third quarter, up 6.5 percent compared to 20,651 motorcycles in the year-ago period, with unit sales up 10.0 percent in the Asia Pacific region, 1.6 percent in the EMEA region, 15.6 percent in the Latin America region [Europe, Middle East and Africa], and 7.0 percent in Canada. Motorcycle shipments (as opposed to dealer sales) were said to be in line with prior guidance and up by 2.3 percent on the year-ago period at 54,025. Retail sales were said to be driven by strong double-digit growth in the sale of touring motorcycles following the third-quarter launch of the Company’s ‘Project Rushmore’ line of revamped motorcycles. Harley-Davidson says that it continues to expect to ship 259,000 to 264,000 motorcycles to dealers and distributors worldwide in 2013. The Company continues to expect full-year 2013 gross margin of 35.25 percent to 36.25 percent. The Company also says that in the third quarter, it incurred restructuring charges of just $0.6 million. HarleyDavidson continues to expect restructuring activities initiated since 2009 to result in one-time overall costs of approximately $485 million, of which approximately $3 million will be NOV 2013 ISSUE #172 NEWS Zodiac Racing 2013 European Champion NAMZ position themselves for continued market leadership INDUSTRY EXTRA Continued on page 6 >>> PRODUCTS An extra wheel was certainly a talking point on Roman Bus’ Pure Vision and was interesting enough for the sidecar outfit to place fifth in the World Championship of Custom Bike Building