Navistar International Corp. projects annual sales of $600 million to $1 billion from its new Monaco RV LLC subsidiary by the end of 2011.
Navistar CEO Daniel Ustian offered that projection during an investor conference call today (June 9), the first official statement from Navistar since announcing the $47 million asset purchase on June 4.
“The (RV) industry is incredibly strained today, even more than trucks,” Ustian remarked during a brief discussion of the purchase of five Monaco facilities, trademarks and intellectual property.
Yet, he said, Navistar has a plan in place to break even or be slightly profitable for this year.
“As this market returns, we could have an extraordinary business going forward,” he said.
He noted that Navistar and Monaco used some of the same suppliers and that this will work to Navistar’s benefit as it ramps up RV production.
“We feel we have a nice niche business that will separate us from all the people in that marketplace,” he said.