Goodbye Crack-and-Fail

Discussion in 'Cycling Equipment' started by J-C, Jan 27, 2003.

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  1. "J-C" <[email protected]> wrote in

    Did you actually read the article?

    JT

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  2. J-C

    J-C Guest

    Do you actually think that someone would dump more money into such a losing venture? Its over.
     
  3. A Muzi

    A Muzi Guest

    "J-C" <[email protected]> wrote in message news:[email protected]...
    > Do you actually think that someone would dump more money into such a
    losing
    > venture? Its over.

    Yeah? When the ceo was using this public company as a private bank for his real estate deals (
    reported in the business press over the last couple of years) _that_ didn't seem to cause any
    uproar. . .

    --
    Andrew Muzi http://www.yellowjersey.org Open every day since 1 April 1971
     
  4. J-C

    J-C Guest

    My favorite was when he bought a private jet for himself, using the company's money.

    "A Muzi" <[email protected]> wrote in message news:[email protected]...
    > "J-C" <[email protected]> wrote in message news:[email protected]...
    > > Do you actually think that someone would dump more money into such a
    > losing
    > > venture? Its over.
    >
    >
    > Yeah? When the ceo was using this public company as a private bank for his real estate deals (
    > reported in the business press over the last couple of
    years)
    > _that_ didn't seem to cause any uproar. . .
    >
    > --
    > Andrew Muzi http://www.yellowjersey.org Open every day since 1 April 1971
     
  5. Well I've had a crack and fail FS MTB of theirs since 1996 and it has neither cracked nor failed,
    has been ridden a lot and is a superb bike and I'm 196 lb.

    They make superb frames.
     
  6. Bluto

    Bluto Guest

    "J-C" <[email protected]> wrote:

    > http://biz.yahoo.com/djus/030127/1552000737_2.html

    That's what happens when a good company goes public. They start chasing revenue instead of doing
    what they excel at. In this case, lousy motorcycles undid the success of excellent bicycles.

    Certainly the IPO of a successful company marks the point at which a serious weasel infestation
    becomes permanent/terminal.

    I like my Cannondales and my factory warranties, but frankly I could care less if we lose another
    worthless publicly held company. Once an outfit has sold off any hope of maintaining its principles
    or integrity, good riddance.

    Chalo Colina
     
  7. Ian S

    Ian S Guest

    "J-C" <[email protected]> wrote in message news:[email protected]...
    > Do you actually think that someone would dump more money into such a
    losing
    > venture? Its over.

    If you had read the article you would have observed that the group acquiring Cannondale will operate
    the bicycle business as a "going concern." And why not? It makes money:

    "For the first quarter ended Sept. 28, the bike company reported pretax income of $628,000 from
    bicycles "

    It's the motorsports business that's a goner:

    "and a pretax loss of $7.4 million from its motorsports business."
     
  8. I think you'll find with some pretty simple research that the bicycle division is far more
    profitable than a lot of the bicycle brand sout there - even the very well known ones. If they raise
    enough capital to be able to afford to dump the motorcycles then they'll continue as usual.

    "J-C" <[email protected]> wrote in message news:[email protected]... Do
    you actually think that someone would dump more money into such a losing venture? Its over.
     
  9. In article <[email protected]>, [email protected] says...
    > Do you actually think that someone would dump more money into such a losing venture? Its over.

    They're offering the bicycle and motorcycle assets separately. I can easily see someone wanting to
    buy a profitable bicycle company with a valuable trade name once it's separated from the
    ill-conceived motorcycle division.

    --
    [email protected] is Joshua Putnam <http://www.phred.org/~josh/> Braze your own bicycle frames. See
    <http://www.phred.org/~josh/build/build.html
     
  10. Top Sirloin

    Top Sirloin Guest

    On 28 Jan 2003 16:23:29 -0800, [email protected] (Bluto) wrote:

    >"J-C" <[email protected]> wrote:
    >
    >> http://biz.yahoo.com/djus/030127/1552000737_2.html
    >
    >That's what happens when a good company goes public. They start chasing revenue instead of doing
    >what they excel at. In this case, lousy motorcycles undid the success of excellent bicycles.
    >
    >Certainly the IPO of a successful company marks the point at which a serious weasel infestation
    >becomes permanent/terminal.

    And your evidence that this is the case with Cannondale is?

    --
    Scott Johnson "When we decide to destroy a population, we send a definite order to them who have the
    good things in life and yet sin. So that Allah's word is proven true against them, then we destroy
    them utterly." (Koran, 17:16-17)
     
  11. Bluto

    Bluto Guest

    Top Sirloin <[email protected]> wrote:

    > [email protected] (Bluto) wrote:
    >
    > >Certainly the IPO of a successful company marks the point at which a serious weasel infestation
    > >becomes permanent/terminal.
    >
    > And your evidence that this is the case with Cannondale is?

    The CEO had plundered the C'dale bankroll and credit line for his own personal gain. This is not the
    approach a founder and private owner takes to a company he values and has taken pains to build. It
    appears typical, however, of contemporary corporate management, both as I have witnessed firsthand
    and as frequently reported in financial news.

    Cannondale took on motorcycle manufacturing for no justifiable reason except that the dollar value
    of the moto market is higher than that for bikes. "Because money exists" is about the dumbest
    possible reason to get into any business, but publicly held companies do it all the time.

    Private companies tend to stick to their strengths and founding principles, good or bad. Rarely does
    that make them as boneheaded or as corrupt as public ones.

    Chalo Colina
     
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