In response to continued market weakness and declining sales, highline motorhome builder Country Coach LLC has implemented several internal initiatives over the past eight months to “completely restructure” the company.
“The entire Country Coach management group takes seriously our responsibilities as custodians of this brand and this company,” said Jay Howard, president and CEO of the Junction City, Ore.-based manufacturer. “We have made the difficult decisions, and taken the appropriate corrective actions. Today we are 50% smaller than when we started this initiative, and believe we are right-sized for success going forward.”
Howard noted that the company has fewer than 10 new motorcoaches in company inventory, and that staffing, payables, inventory, raw materials and work in progress are all significantly reduced.
The company reported that key investors, led by Bryant Riley, have reaffirmed their long-term commitment to Country Coach’s success. Adding to the millions of dollars the group has invested in Country Coach since February 2007, the partners have committed an additional $6 million in new cash to ensure the company can “maintain an aggressive position relative to product quality, lean manufacturing initiatives and new R & D projects like the exciting new Veranda line of coaches.”
“At this moment, Country Coach is right-sized to the market, is extremely clean on raw material and in-process inventories and is the industry’s premier brand,” said Riley. “This investment group is dedicated to supporting this company as a leader in the re-emergence of this challenged industry.”