National RV Holdings Inc. today (Dec. 19) issued a press release detailing the Perris, Calif.-based company’s Dec. 9 shareholder meeting while also outlining initiatives implemented to return the motorhome maker to profitability.
On Nov. 29, the board rejected a $92 million buyout proposal from CCA Acquisition Group Inc., a business entity comprised of Bob Lee – founder of subsidiary Country Coach Inc., Junction City, Ore. – and investors B. Riley & Co. and SACC Partners. National RV Holdings also is parent to Perris-based motorhome maker National RV Inc.
During the board meeting, National RV Holdings elected CEO Brad Albrechtsen until the 2008 annual meeting of stockholders, and approved Swenson Advisors LLP as the company’s independent registered public accountants.
“We believe such results corroborate our view that our shareholders are supportive of management’s plan to return the company to profitability,” said Albrechtsen, who also serves as president of National RV Holdings.
In its latest earnings report, the company incurred a $12.8 million net loss through its first nine months.
According to the press release, the company added 10 new dealers during the recently concluded National RV Show in Louisville, Ky., which debuted several new product offerings. National RV Holdings also reported that recent data from Statistical Surveys Inc. showed market share gains in the motorized sector.
“The commitments from new dealers, the new products, and the improvements in National RV Holdings’ market share all suggest that the company’s recent efforts are paying off and bode well for the company’s expected return to profitability in 2006,” Albrechtsen said. “Additionally, we have implemented many initiatives designed to address the downturn we experienced during 2005.”
Albrechtsen said these initiatives include programs to add new dealers; introduction of product at four new price points; redesign of existing product; further reduction in inventories; improvements in manufacturing efficiencies; a change in senior management at the National RV division; and fixed overhead cost reductions.
The company noted that it will incur a loss in the fourth quarter of 2005 as the “full impact of these initiatives will not be reflected in the financial results until 2006.”