If I recall correctly, Briggs planned to make a decision on Murray and close the plant by September. It seemed that the most serious consideration was being given to either a joint venture or sale. Anyone here any rumors on what they might have decided?
I have a pretty good idea on the impact, but if I put it up on this message board I would
1) be breaking the confidence and trust I have built up over a number of years in the OPE industry, and
2) possibly be in violation of SEC FD rules.
You can figure it out on your own by looking at the # of Lowe's locations and how many tractors are sold per location. I know this information, and a good analyst can sleuth it out, too.
By the way, if you go to the JD website, you'll find out that BGG is on most of the 100 models, with Kohler only on the top price points. Again, I know the breakdown, but I can't disclose it here, for the same reasons listed above. Suffice it to say, you are correct it is positive for BGG. But you're missing the big picture with BGG. BGG is becoming a retailer of OPE, rather than a supplier to OPE. In my very humble opinion, 5 to 10 years from now, BGG won't even care if they manufacture the engine that's under the hood of a tractor. That's if it's an engine at all.............
Disclaimer: As always, IMHO. Position disclosure: Flat (BGG, DE, LOW)
� 2005 wallstreet_jim This message may only be reproduced in replies
The Lawrenceburg plant WILL be shut down in September. Murray employees will continue to build product up to the closing date. Briggs already has extensive transition plans in place with EHP to build the majority of the Murray brand products next season, although MTD will likely build some small portion. Briggs is committed to integrating the Murray brand into its grand scheme of outdoor power equipment as it continues to integrate the Simplicity/Snapper/Ferris groups.