Highline Class A motorhome builder SMC Corp. reports it lost $1.9 million during the first quarter and that it halted production at its Harney Coach Works subsidiary.

Additionally, the company revealed that it is reviewing “strategic alternatives” including a possible sale of SMC “to other parties in the RV industry.”

SMC’s loss during the first three months of this year compares with a $260,000 loss incurred during the first quarter of 2000.

The company’s first quarter sales declined 15% to $45.1 million.

Operations at Harney Coach were suspended due to low order volume, according to the company. Harney Coach employees will be offered jobs at SMC’s Composite Technology Inc. subsidiary when they occur.

Meanwhile, SMC Chairman Matt Perlot has “agreed to defer his retirement and return to direct the sales, marketing and product development functions of the company. He will focus particularly on the Safari product line … with an emphasis on its value orientation in the marketplace.”

The recent resignation of Mike Jacque, formerly SMC’s president and COO, prompted Perlot’s return to full-time duty, according to the company.

Jacque left SMC to become the vice president of sales and marketing at the National RV subsidiary of National RV Holdings Inc.

Meanwhile, Perlot and other SMC executives are reviewing proposals received by investment banking firm McDonald Investments. The proposals include a possible sale of the company. “While the company does not have a specific timetable to complete its review, it anticipates completion in the next few weeks.”