Employees of certain Fleetwood Enterprises Inc. RV manufacturing plants are working three- or four-day workweeks because dealers have big inventories while retail sales have slowed, Fleetwood executives told stock market analysts on Wednesday.
“Until market conditions improve, we are taking appropriate steps to lower production rates and reduce operating costs,” said Nelson Potter, president.
On Wednesday, Fleetwood reported sharply lower earnings for the three months ended April 30. The sluggish manufactured housing market took the brunt of the blame although Fleetwood said its motorhome sales during the February-through-April period were disappointing and contributed to the lower earnings.
Although some Fleetwood RV plants are operating less than the typical five days a week, none are expected to close, said Lyle Larkin, vice president-treasurer.