After looking into this stock a little and reading some post on the board was wondering if anyone would be willing to share some background info on WhirlAway?
Since I do not have access to the last conference call, did management discuss what issues there are with this segment? What are they doing to fix the problem? Is there an expected time frame to get them inline?
Acquisition from 2006. Probably not the best acquisition. Doesn't look like much left on books from acquisition. Either it gets turned around and profitable or more than likely shut down at some point.
I wouldn't get caught up on that. Small piece of the pie.
Core ball business is doing fine. Actually record earnings.
If the ball business holds steady this is a great opportunity at this valuation.
As much as I like most of your thoughts on NN, on Whirlway, I must disagree. Whirlway is the albatross tied to the boat. It has lost money since the acquisition and will continue to do so. The mgmt bought more than they could handle and it shows. They have routinely promised results but we have yet to see results. CC after CC we've heard that it will turn around soon. Capital has been poured into Ohio factories. They closed the Tempe factory which was bought and reopened by the original owner. This team isn't the best about making acquisitions. Do your history. They bought a plastic factory years ago, moved it to Mexico and then closed it. Did a joint venture with Jingsu General to form JGBR, it failed. Those adventures occurred pre recession. The ball acquisitions haven't been the best either. The German factory was closed last year only to reopen a few days later. Those last two examples are now competing for a shrinking piece of the bearing pie. As a long standing share holder in NN, I think some of the top brass should be held accountable for the Whirlway mistake. Where would we be if that debt laden, profit sucking business segment was never bought. Remember one rule of investing, never fall in love with a stock? I think they fell in love with Whirlway and can't let go. Admit the mistake, take the loss, and move on.