Monday, August 21, 2006
FLEETWOOD LAYS OFF
RV Business
Monday, August 21, 2006
Fleetwood Enterprises Inc. laid off 38 managers and staff at its Riverside, Calif., headquarters Friday (Aug. 18), said company treasurer Lyle Larkin.
According to a report in the Press-Enterprise, Riverside, the RV and manufactured housing maker also cut 122 jobs at other facilities across the country.
Larkin blamed the layoffs on previously announced sluggish sales of recreational vehicles, particularly motorhomes, but also on a decline in sales of travel trailers.
He said about 550 people work at the Riverside headquarters.
Manufactured housing sales are also lower than at this time last year, Larkin said.
On Aug. 3, Fleetwood said revenue for the first quarter of its fiscal year had dropped 14% over the same quarter last year to $529 million.
Preliminary numbers showed that RV sales declined 12% to $370 million, while manufactured housing sales dropped 29% to $145 million. Volatile gas prices and rising interest rates caused some of the problems, the company said.
"We are anticipating that we are not going to see significant improvement in either industries until next spring," Larkin said Friday. "So we are doing what we have to do as a company to get through the next several months and come closer to breaking even."
Prior to its most recent revenue announcement, Fleetwood experienced two profitable quarters in a row, but still lost $28.4 million during its 2006 fiscal year, which ended April 30. It was Fleetwood's sixth losing year in a row.
The company has 11,500 employees nationwide and 2,000 in Inland Southern California.
Monday, August 21, 2006
Fleetwood Enterprises Inc. laid off 38 managers and staff at its Riverside, Calif., headquarters Friday (Aug. 18), said company treasurer Lyle Larkin.
According to a report in the Press-Enterprise, Riverside, the RV and manufactured housing maker also cut 122 jobs at other facilities across the country.
Larkin blamed the layoffs on previously announced sluggish sales of recreational vehicles, particularly motorhomes, but also on a decline in sales of travel trailers.
He said about 550 people work at the Riverside headquarters.
Manufactured housing sales are also lower than at this time last year, Larkin said.
On Aug. 3, Fleetwood said revenue for the first quarter of its fiscal year had dropped 14% over the same quarter last year to $529 million.
Preliminary numbers showed that RV sales declined 12% to $370 million, while manufactured housing sales dropped 29% to $145 million. Volatile gas prices and rising interest rates caused some of the problems, the company said.
"We are anticipating that we are not going to see significant improvement in either industries until next spring," Larkin said Friday. "So we are doing what we have to do as a company to get through the next several months and come closer to breaking even."
Prior to its most recent revenue announcement, Fleetwood experienced two profitable quarters in a row, but still lost $28.4 million during its 2006 fiscal year, which ended April 30. It was Fleetwood's sixth losing year in a row.
The company has 11,500 employees nationwide and 2,000 in Inland Southern California.
