Here's my take on this situation. Troyer had a line of credit and/or specific loans with Chase. Sales in 2006 were a record, from what I read, followed by a 10% industry-wide drop in 2007. Instead of dramatically raising prices during the record sales year(s), they chose to go with more modest increases. (Tell me if any of you think TS pricing is too high, relative to comparable products). I think that is where they erred, along with some other decisions, but this one was crucial.

So now sales drop off and the loan becomes what is called a "non performer". The bank has the first call on most EVERYTHING Troyer owns....equip., inventory, perhaps buildings, etc. They dictate what TS does from here on, since the primary goal of the bank is to get their money back. Hence the need to cut new production, finish out the existing line to bring out whatever cash results from those units, don't buy any more parts and inventory and lay off a bunch of people. Milk this baby for all she's worth. These are all near-term necessities to realize cash for the bank. That is their job regardless of who is hurt by this.

At the same time, you know Glen is hitting up other sources of financing, trying to secure a new loan take-out. If he is successful, he pays off Chase and slowly begins coming back with the production, albeit on a smaller scale. And maybe with new efficiencies and, alas, higher costs. If successful, we will all become happy campers again. If not, well, it was fun while it lasted.

I ain't selling mine. What else out thekrek would compare?

This was posted 4 hours ago on Newmarowners
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First of all please understand we are a T/S dealer.

T/S shut down last Wednesday 1/23 and sent all hourly and salary
people home and told them to report back to work this Monday 1/28.

They are operating on a very limited basis as of today.

We have been told that all parts, including normally "no charge"
warranty parts will only be shipped on a COD basis. That's not good.

A rep that I've known for 15 years that joined T/S a year ago has
left. He indicated in a phone conversation today that the bank has
put the cuffs on their checking account and accounts payable has
been frozen. That means no warranty payments. That's not good
either.

He also said that whatever remaining RVs that were in the line will
be built to the best of their ability and sold. There are also
several remaining yard units for sale but as of today will be
offered w/out a factory warranty.

I have received no correspondence from T/S nor talked to any of
their officers. This info is strictly coming from employees and ex-
employees.

We have 3 Travel Supreme motorhomes in stock and I am putting
together a plan to make them attractive to a potential buyer if
the "no factory warranty" is indeed a fact.

Bill Mirrielees
General Manager, Howard RV Center
Wilmington, NC
www.hrvc.com
910-791-5371

Such a sorry sight when lenders charge in. It's a shame what they do to everyone but they could care less. If we could only remember debt..of any kind, is bad so try to minimize it.

It might be cool if Bob Tiffin got intrested in it!

I could see Bob Tiffin purchasing the 5th wheel division. This would give them another quality coach in a different market share. Then again are any of the manufacturer's in a good position for this type of purchase in a down turning sales enviorment?
Derek

As far as banks calling the shots, remember-they are trying to protect their bottom line for the sake of their investors. If you were a stockholder in Chase, you'd want YOUR investment protected. Always two sides to a story, isn't there? But that's right....debt results in someone else controlling your business. I do that when I lend money to my kids and THEY don't like it either.

So either they come up with their own source of funding or someone could take them over. I'm thinking if a Damon Coach can get taken over by....Thor?, was it?, then there HAS to be hope for TS. But yes, in a declining mareet I don't think anyone is in position to do this? Tiffin could use a fifth wheel, I guess. I can't see a NEwmar, Monaco or Fleetwood wanting another product line, although Fleetwood has absorbed their share of coach lines over the years. Probably would have to be someone like Jayco or somesuch who could complement their product mix with a super, high-end coach like TS. But then you'd see some of those cheap fittments going into the coach - it wouldn't be the same, would it? That's the problem I see in the Fleetwood lines these days.

We need some time for this to play out. I keep thinking about Glen Troyer's statement of " We're going to make it". If that is accurate, it tells me he has every bit of confidence in getting through this. And I don't see him as a BS artist, either. So, if he can "get 'er done", maybe in a few months this will only be a blip on the radar screen and we'll be back to normal?

On January 31st, I inquired about ordering 100' of White Rubber Double Bulb Slide Gasket from Travel Supreme by E-mail parts@TravelSupreme.com which was the method suggested by a recording in their parts department because of heavy call levels.

I received a phone call reply this morning, the order was placed, payment was made by credit card (not COD as suggested elsewhere) and was told delivery would go out tomorrow.

I wished the young man who handeled the order all the best with what they were going through and he replied, "We are determined to keep our company alive and need folks like you to help us do it".

It was a very sincere, business like statement, void of sympathy. I replied that in our opinion, they made the best Full Time Fifth Wheel on the market and we were looking forward to them producing our next one.

Dave

Nice thought, Wonder if we could collectively buy enough parts to get them out of debt! HA! That might take A LOT of orders....like how many million? Seriously, maybe we all should stock up on those parts we know we'll be needing.

A poster on another forum has stated that Travel Supreme has canceled their exhibit at the FMCA convention in Pomona.

Yeah....not surprised at that. Why would the Bank want to continue promoting an outfit that owed them money? Remember, the Bank is BOSS now and everything they do must be short-term and for the betterment of the Bank-NOT Travel Supreme.