Sad Day in New Bern and All Hatteras Owners

[Pete]

Read the article below from the local paper here in New Bern. If I recall correctly, Hatteras peaked at a 1300+ person work force a couple of years back. Lots of good people getting hurt. Note that these are "terminations" not layoffs!

"The parent company of Hatteras Yachts cut 325 jobs Thursday at its New Bern and Edenton boat-building plants.

The employees were told Thursday morning that the cuts were effective immediately. They affect salaried and hourly employees in the 960-person Hatteras work force and the 95-person Albermarle staff and are terminations.

"We had a lot of good people go out the door today," said Dan Kubera, director of media relations and corporate communications for parent company Brunswick in Lake Forest, Ill.

Company officials told employees it will reduce production for the 2009 model year and resize its organization to be more competitive and profitable in the current market, he said.

The company did not give a breakdown of how many of the 325 employees worked at New Bern and how many at Edenton.

"As with most other U.S. boat makers, these brands have been doing their best to confront a weak domestic marine industry," said Keri Theophilus, president of The Hatteras Collection, based in New Bern and Edenton.

Theophilus said: "We have done so by growing sales outside of the U.S., better controlling costs and taking a number of other measures," Theophilus said.

"Unfortunately, these efforts have not totally mitigated the reduced sales activity being experienced in the U.S. marine marketplace, nor addressed our long-term need to fashion a smaller and more agile organization that can prosper and effectively compete not only in current market conditions, but in the market upswing when it occurs.

"With a responsibility to ensure the financial strength and equity of these brands, we have adjusted production rates downward at our manufacturing facilities. Unfortunately, this production adjustment dictates a necessary and accompanying reduction of employment."

"While we regret having to take these actions, we recognize the need for effective pipeline management to safeguard the financial health of both our brands and our dealer network.

"This decision is no reflection upon our work force, but the result of current economic realities and, just as importantly, our need to reflect market demand going forward with a leaner, more efficient organization."

Kubera said, "The company has been doing a number of things to counteract the weakness in the domestic market but unfortunately it was not enough. These job losses are not a furlough, not temporary; these positions are permanently eliminated."

He said action began in June to cut $300 million in costs, including cuts at the Navassa Plant in Brunswick County.

Officials said the company will help employees find other jobs.

The last major cutback at Hatteras was in January 2003, when 250 jobs were eliminated in New Bern."

Pete

[Finalee]

Hopefully those in the Trades are able to stay in the industry in some fashion.

[krush]

You know, if taxes were raised on rich people, these people may have not lost their jobs!









/sarcasm

[SeaEric]

Those DAMNED rich people. I just knew this was their fault. I sure wish I knew one of 'em. I'd yell at 'em real good.

[Genesis]

Anyone remember the last few times?

Hatteras survived without going under.

Most other builders of similar-sized vessels did not, including Bertram.

Folks, those of you who think this is going to be a "minor" downturn - still - are deeply mistaken. I'd be checking that thesis at the door.

As for the Hatteras employees, they'll land on their feet although it may take a bit - they're craftsmen and even in bad times someone needs 'em.

[jim rosenthal]

With all due respect, raising taxes on rich people is not the way out of the present economic mess that has resulted, among other things, in the softening of the market for big luxury items like new Hatteras Yachts. Frankly, raising taxes on anyone is not the way out of the current situation. If you want to blame our tax structure for anything, it would be more reasonable to opine that a flat-rate tax across all economic strata OR a value-added tax or a combination of both would make things a lot fairer, easier to administer, and contribute to a public sense that our government actually has some regard for ordinary citizens as something other than a limitless supply of cash with which to do stupid things (which, for the general harmony, will NOT be enumerated here)

Now if you want to talk about rich corporations, and things like the current windfall in oil which seems to be totally untaxed whatsoever, I'm more with you there.

[jim rosenthal]

Incidentally, how do you define rich? Just curious. I remember a woman I knew who worked as a waitress at Paul's Homewood Cafe here in Annapolis, a place I've had lunch and dinner in hundreds of times, if not more. She defined rich as being able to take more than one vacation a year. On that basis, I've been poor for decades; I haven't had a real vacation since I don't know when.

[krush]

Jim, look at the last line of my post Details are important!

[Jaxfishgyd]

Was in N.C. for a wedding this weekend and saw that on the local news. It was also said that there is a job fair set up for Monday morning by the city for all those that will be losing their jobs.

The report went on to say "these employees are too good and too skilled to lose from this area."

[yachtsmanbill]

Jim, look at the last line of my post Details are important!

The tender for the yacht ITASCA ws