Hey,
It’s major Play Offs Sunday in the Cantina. I need to wrap up the Post and relax in front of the Big Screen. So I’ll make this quick.
I’m reading a book, Hot, Flat, and Crowded, by Thomas L. Friedman. It’s sorta a doom and gloom book about our oil business and the blustering environmental issues, but I got a kick out of this statement regarding our scrambling population: This growth has come on so big, so fast that Michael V. Hayden, the director of the Central Intelligence Agency, stated that his analysts now believe the most worrying trend in the world is not terrorism but demographics.
Today there are 6.7 billion folks on the planet, by mid-century 9 billion. Hang on. We think the traffic in LA is bad now.
Let’s hit the news.
AMAZING DARWIN AWARDS CONTINUE– 2. The chef at a hotel in Switzerland lost a finger in a meat cutting machine and after a little shopping around, submitted a claim to his insurance company. The company expecting negligence sent out one of its men to have a look for himself. He tried the machine and he also lost a finger. The chef’s claim was approved.
3. A man who shoveled snow for an hour to clear a space for his car during a blizzard in Chicago returned with his vehicle to find a woman had taken the space. Understandably, he shot her.
4. After stopping for drinks at an illegal bar, a Zimbabwean bus driver found that the 20 mental patients he was supposed to be transporting from Harare to Bulawayo had escaped… Not wanting to admit his incompetence, the driver went to a nearby bus stop and offered everyone waiting there a free ride. He then delivered the passengers to the mental hospital, telling the staff that the patients were very excitable and prone to bizarre fantasies.. The deception wasn’t discovered for 3 days.
Harley-Davidson Trike Assembly Moves to York– Harley-Davidson announced that it will move final assembly of its Tri Glide and Street Glide trikes to its York Vehicle Operations facility, beginning with the 2011 model year. Final assembly of these trikes has been performed under a supplier agreement with Lehman Trikes, Inc. in Spearfish, SD.
?The restructuring of Harley-Davidson?s York operations provides the opportunity for us to build trikes in-house and streamline trike assembly and distribution,? said Julie Chichlowski, Harley-Davidson?s Director of P&A Trike Platform Parts and Accessories. ?Lehman Trikes has been a responsive, high-quality supplier to Harley-Davidson for trikes and it has been a pleasure to work with them.?
OFFICIAL BIKERNET PHOTO ART PHOTOGRAPHER BREAKS COLLAR BONE IN MC ACCIDENT–I just received a report from Florida. Bob Sofford, aka Whiplash, went down last night and broke his collar bone. He promised to send us archival material in the healing weeks ahead.
Drop him a line and wish him speedy recovery.
Whiplash Biker Photog
aka Bob Sofford
http://whiplashbikerphotog.blogspot.com/
SEVEN DEGREES OF BLONDE– FIRST DEGREE: A married couple were asleep when the phone rang at two in the morning.
The very blonde wife picked up the phone, listened a moment and said, “How should I know? That’s 200 miles from here!” and hung up.
The husband said, “Who was that?”
The wife answered, ‘I don’t know. It was some woman wanting to know If the coast is clear.”
SECOND DEGREE:
Two blondes are walking down the street. One notices a compact on the sidewalk and leans down to pick it up. She opens it, looks in the mirror and says, “Hmm, this person looks familiar.”
The second blonde says, “Here, let me see!”
The first blonde hands her the compact.
The second blonde looks in the mirror and says, “You dummy! It’s me!”
Don’t miss more degrees of Blonde in the upcoming Thursday News.
–from Jim Waggaman
BIKERNET SPY INFILTRATES EPA–This was sent to me by John Riley a friend who we worked with on the Vehicle Emission Testing program to eliminate it for both motorcycles and cars. The article linked below shows why we need to be ever vigilant. The EPA has classified CO2 as a dangerous gas and thereby they can regulate it. Watch out for what may be coming from them and others in terms of added taxes, fees, inspections, etc… for you bike, car, truck, etc….
–Jay Huber
EPA just won’t stop moving the goal posts, regardless of the cost to the citizens or the economy. You’ll note “vehicle emissions testing” will be back on the table again.
–John Riley
A new, tougher smog standard is coming, and Louisville-area counties are among 52 in Kentucky and Indiana that may have to find ways to avoid violating it, the U.S. Environmental Protection Agency announced on Thursday. http://www.courier-journal.com/article/20100107/GREEN/1070330/Ky.++Ind.+counties+would+violate+new+ozone+standard
BRIEF LOWER ALABAMA WEATHER REPORT– Hope you haven’t washed away. We almost did. Our “little storm” brought us 5 to 7 inches of rain instead of the 1 to 2 inches we were expecting in a 24 hour period.
–Camy
VICTORY MOTORCYCLES KICKS-OFF ROAD TRIP– Fueling Motorcycles Riders? Passion with the Open Road in Search of America?s Best Road Trips.
MEDINA, Minn.–(BUSINESS WIRE)–Today Victory Motorcycles kick-started the True American Road Trip on the floor of the International Motorcycle Show (IMS) at New York City?s Javits Center. The program collects short videos documenting a rider?s idea of the best motorcycle road trip in America.
?The True American Road Trip program is a perfect example of the unique relationship Victory Motorcycles shares with motorcycle riders across the country?
Victory Motorcycles will select 10 riders to plan and execute monthly road trips atop one of two new touring motorcycles, the Victory Cross Country or Victory Cross Roads, and document the trip through a variety of online channels. Collection of entries for the True American Road Trip began immediately on the floor of IMS after Victory opened its video booth to consumers, who gathered along with media as Josh Kurcinka, Victory?s marketing manager, announced the specifics of the program.
?The True American Road Trip program is a perfect example of the unique relationship Victory Motorcycles shares with motorcycle riders across the country,? said Kurcinka. ?Victory understands the power of a great ride on a great bike. This program allows us to help 10 people fuel their passion with the open road, providing a once-in-a-lifetime opportunity to share their passion with vast online audiences.?
Entries for the True American Road Trip are being accepted until March 31, 2010. Anyone with a motorcycle license is welcome to submit their video, either by attending IMS in New York City or Minneapolis and recording their entry in Victory?s video booth or by recording their own entry and submitting it online at http://www.trueamericanroadtrip.com.
Teaming with industry media and bike designers, Victory Motorcycles will choose 10 entries to take their ideas to the asphalt. Providing each with a Victory Cross Country or Victory Cross Roads, touring motorcycles that fit into Victory?s reputation in the industry for creating class-leading bikes based on creative styling and innovative engineering, Victory will challenge riders to document monthly road trips using text, still photos and videos to record each adventure. A multimedia collection will be featured at www.trueamericanroadtrip.com.
The site will hold updates from each road trip as well as utilize online channels such as YouTube and Flickr to show what riders regard as the top motorcycle road trips America has to offer. Riders will detail whatever they find important ? the scenery, the stops, the people involved or the road itself ? along with the route traveled. Motorcycle enthusiasts, as well as those sharing the passion for the open road lifestyle, will be able to read, view and watch the multimedia accounts of the road trips, hopefully not only providing ideas for trips but inspiring all riders to create their own.
For more information, visit http://www.trueamericanroadtrip.com.
HARLEY-DAVIDSON FORTY-EIGHT IS A RAW AND RADICAL RIDE– New Sportster Model Brings Brawn as Chiseled Custom with Power and Performance
MILWAUKEE (January 22, 2010) ? The new Harley-Davidson Forty-Eight motorcycle is a factory custom in the legendary tradition of the hot rod Sportster line with the raw, elemental appeal of the Dark Custom bikes.
Riding low with a slammed suspension and featuring the classic 2.1-gallon ?peanut? fuel tank, the Forty-Eight backs up its bulldog appearance with the performance of its blacked out and polished rubber-mounted Evolution 1200 cc V-Twin engine. The low solo seat, under-mounted mirrors, side mount license plate, clean rear fender and tall and fat front tire emphasize the Forty Eight?s focus on chiseled customization.
And while the Forty-Eight model may break bad when it comes to radical attitude and straight-on style, it won?t break the bank starting at just $10,499 MSRP in Vivid Black.
?With its classic bulldog shoulders stance, the Forty-Eight strikes a distinctive look and low profile that could only come from Harley-Davidson,? said Ray Drea, Harley-Davidson Senior Director of Styling. ?The Forty-Eight model has a collective past life experience and broken-in look that is raw and authentic.?
As a Harley-Davidson Dark Custom motorcycle, the Forty-Eight is ready to ride as a radical custom and also primed to take on its rider?s character and personality. Dark Custom accomplices of the Forty-Eight include the Nightster, Iron 883, Cross Bones, Fat Bob and Street Bob. Check out more on Dark Custom motorcycles at www.harley-davidson.com/darkcustom
California needs money, so pay close attention to the rules of the road!– Traffic Tickets Fines (Effective 01/06/2010) Violation Total Fine Due
VC 12814.6
$214
Failure to obey license provisions. VC 14600(A)
$214
Failure to notify DMV of address change within 10 days Note: The fine may be reduced with valid proof of correction. VC 16028(A)
$796
Failure to provide evidence of financial responsibility (insurance) Note: This fine may be reduced with proof of insurance on or after the violation date. VC 21453(A)
$436
Failure to stop at a red signal. VC 22350
$214 VC 22349
Unsafe Speed, 1 to 15 miles over the limit. VC 22350
$328 VC 22349
Unsafe Speed, 16 to 25 miles over the limit. VC 22450
$214
Failure to stop at a stop sign. VC 22454(A)
$616
Passing a school bus with flashing red signals. VC 23123(A)
$148
Drive using wireless phone not hands free, First offense VC 23123(A)
$256
Drive using wireless phone not hands free, For each subsequent offense. VC 23123.5(A)
$148
Drive while wireless device to send, read or write text. VC 23124(B)
$148
Minor drive using wireless phone. VC 22500(I)
$976
Parking in a bus loading area.. VC 22507.8(A through C)
$976
Violation of disabled parking provisions, first offense. VC 22507.8(A through C)
$1876
Violation of disabled parking provisions, second offense. VC 26708(A)
$178
Unlawful material on vehicle windows. VC 27150(A and B)
$178
Adequate muffler required VC 27315(D and E)
$148
Mandatory use of seat belts. VC 27360(A and B)
$436
Mandatory use of child passenger restraints Note: This fine may be reduced by completing a court authorized child seat diversion program. VC 27400
$178
Headsets/Earplugs over both ears. VC 27803 (A through C)
$178
Motorcycle safety helmet requirements. VC 34506.3
HARLEY-DAVIDSON REPORTS 2009 RESULTS– Full-Year Company Revenue, Profits Decrease from Continuing Operations Fourth Quarter Loss Reflects Previously Announced Reduction in Motorcycle Shipments and Restructuring Activities Company?s Efforts in 2010 Remain Focused on Extending Harley-Davidson Brand, Continuous Improvement and Strengthening Core Business
MILWAUKEE, January 22, 2010 — Harley-Davidson, Inc. (NYSE:HOG) reported full-year 2009 revenue of $4.29 billion and income of $70.6 million, or $0.30 per share, from continuing operations. In the fourth quarter, the Company reported revenue of $764.5 million and a loss of $147.2 million, or $0.63 per share, from continuing operations. Affecting fourth-quarter results were a previously announced 53.1 percent reduction in Harley-Davidson motorcycle shipments from the year-ago period and $167.1 million in restructuring and Buell product line exit costs.
Including MV Agusta discontinued operations, the Company reported a full-year net loss of $55.1 million, or $0.24 per share, and a fourth-quarter net loss of $218.7 million, or $0.94 per share.
?Our full-year 2009 results were affected by the difficult economy, as well as the planned actions we took that resulted in restructuring charges of $224 million. We believe these actions are critical to restoring greater profitability and long-term growth to Harley-Davidson,? said Keith Wandell, Harley-Davidson, Inc. President and Chief Executive Officer. ?We are confident we have made the right decisions for our future, and we are executing our strategy with focused intensity.?
Full-Year and Fourth-Quarter Results
For the full-year from continuing operations: revenue was $4.29 billion in 2009 compared to $5.58 billion in 2008, a 23.1 percent decrease; income was $70.6 million in 2009 compared to $684.2 million in 2008, a decrease of 89.7 percent; and earnings per share decreased 89.7 percent to $0.30 in 2009, compared to $2.92 in 2008. Full-year results from continuing operations primarily reflect the effects of lower motorcycle shipments, restructuring and Buell product line exit costs, and non-cash charges related to Harley-Davidson Financial Services.
In the fourth-quarter of 2009, the Company reported revenue of $764.5 million compared to $1.28 billion in the year-ago quarter, a 40.2 percent decrease, and a loss of $147.2 million, or $0.63 per share, compared to income of $91.9 million, or $0.40 per share in 2008, from continuing operations.
2010 Guidance
For 2010, the Company expects to ship 201,000 to 212,000 Harley-Davidson motorcycles to dealers and distributors worldwide, a reduction of five to ten percent from 2009. ?We believe 2010 will continue to be a challenging year,? Wandell noted. In the first quarter of 2010, Harley-Davidson expects to ship 52,000 to 57,000 motorcycles. Gross margin is expected to be between 32.0 percent and 33.5 percent for the full year. The Company expects full-year capital expenditures of between $235 million and $255 million, including $95 million to $110 million to support restructuring activities.
?Delivering Results Through Focus? Strategy
During the fourth quarter, the Company moved forward with the execution of its business strategy, unveiled in October 2009, to deliver results by focusing on Harley-Davidson products and experiences, global expansion, demographic outreach and commitment to core customers. Additionally, the Company will continue to expand its initiative to enhance profitability through continuous improvement in manufacturing, product development and business operations.
?Focusing our investment behind the uniquely strong Harley-Davidson brand provides the most attractive path to sustained, long-term growth,? Wandell said. ?We also expect to achieve substantial gains in the efficiency of our operations through continuous improvement.?
Motorcycles and Related Products Segment
Fourth Quarter. Revenue from Harley-Davidson motorcycles during the fourth quarter of 2009 was $552.0 million, down 45.6 percent compared to the year-ago period. The Company shipped 35,938 Harley-Davidson motorcycles to dealers and distributors worldwide, down 53.1 percent from the fourth quarter of 2008 but in line with previous guidance of 35,000 to 40,000 units. Revenue from Parts and Accessories totaled $144.6 million during the quarter, down 4.9 percent, and revenue from General Merchandise, which includes MotorClothes? apparel, was $66.8 million during the quarter, down 3.2 percent compared to the year-ago period.
Gross margin percent was down during the quarter from the year-ago period, primarily as a result of fixed costs being spread over fewer units and the impact of exiting the Buell product line. Operating loss was $221.8 million compared to an operating income of $162.2 million in the fourth quarter of 2008. Operating margin was negatively affected by lower gross margin and restructuring charges incurred during the quarter.
Full-Year. For the full year 2009, revenue from Harley-Davidson motorcycles was $3.17 billion compared to $4.24 billion in 2008 on shipments of 223,023 Harley-Davidson motorcycles, compared to 303,479 motorcycles in 2008. Revenue from Parts and Accessories totaled $767.3 million in 2009, down 10.7 percent, and revenue from General Merchandise was $282.2 million, down 10.1 percent compared to 2008.
Full-year 2009 gross margin was 32.3 percent compared to 34.6 percent in 2008, and operating margin was 7.3 percent compared to 17.5 percent in 2008.
Retail Motorcycle Sales. During the fourth quarter, retail sales of Harley-Davidson motorcycles decreased 21.4 percent worldwide, 27.9 percent in the U.S. and 10.3 percent in international markets, compared to the prior-year quarter. Industry-wide U.S. retail heavyweight (651cc+) motorcycle sales declined 20.9 percent during the quarter, compared to the year-ago period.
For the full year 2009 compared to 2008, retail sales of Harley-Davidson motorcycles decreased 22.7 percent worldwide, 25.8 percent in the U.S. and 15.4 percent in international markets. Industry-wide U.S. retail heavyweight motorcycle sales declined 36.7 percent in 2009, compared to 2008.
Financial Services Segment
Harley-Davidson Financial Services (HDFS) recorded an operating loss of $7.1 million for the fourth quarter of 2009, compared to an operating loss of $24.9 million in the fourth quarter of 2008. Key drivers of reduced operating loss versus the year-ago quarter include a decrease in impairments on retained securitization interests and a decrease in fair value writedowns on held-for-sale receivables, partially offset by an increase in the provision for retail loan losses.
For the full year 2009, HDFS reported an operating loss of $118.0 million, compared to operating income of $82.8 million in 2008.
HDFS continued to access the capital markets during the quarter, raising $1.76 billion through the unsecured debt and term asset-backed securitization markets. Through its 2009 funding actions, HDFS expects to meet its 2010 anticipated funding requirements.
Restructuring
The Company now expects previously announced restructuring activities that began in 2009 to result in total one-time charges of $430 million to $460 million into 2012, including charges of $175 million to $195 million in 2010. The Company continues to anticipate annual ongoing total savings from restructuring of approximately $240 million to $260 million upon completion of all announced restructuring activities, including savings of approximately $135 million to $155 million anticipated in 2010.
In December, Harley-Davidson announced that, as a result of the ratification of a new seven-year labor agreement at its York, Pa. motorcycle production operations, the Company is restructuring those facilities to focus on the core operations of motorcycle assembly, metal fabrication and paint. ?When the restructuring is completed, we will have completely changed the face of how we build motorcycles in York and we expect significantly greater manufacturing flexibility and significant annual cost savings from a more efficient operation. It is a tribute to our employees at York that they understood we could not continue on the course we were on, and they worked with us to find a better way,? said Wandell.
During the fourth quarter, the Company made the decision to consolidate its vehicle test facilities from three locations, in Alabama, Arizona and Florida, into one location in Arizona.
Income Tax Rate
The Company?s full-year effective tax rate from continuing operations was 60.5 percent compared to 35.8 percent from the prior year. The increase was due primarily to the previously reported one-time charge for the Wisconsin tax law change and the non-deductible goodwill write-off for Harley-Davidson Financial Services, as well as the impact of reduced earnings. In 2010, the Company expects its full-year effective tax rate to be approximately 36.5 percent from continuing operations.
Cash Flow
Cash and marketable securities totaled $1.67 billion as of Dec. 31, 2009, compared to $568.9 million at year end 2008. Cash provided by operating activities for continuing operations was $609.0 million and capital expenditures were $116.7 million in 2009. In the fourth quarter, Harley-Davidson Motor Company made a $215 million contribution to fund Company pension plans.
Discontinued Operations
The Company continues to move forward with the sale of MV Agusta and is in the process of identifying potential buyers, following Harley-Davidson?s decision in the fourth quarter of 2009 to divest the subsidiary. MV Agusta is now presented as a discontinued operation for all periods. For the full year of 2009, Harley-Davidson, Inc. incurred a $125.8 million loss from discontinued operations, or a loss of $0.54 per share, comprised of operating losses as well as a fair value adjustment.
BIKERNET READER’S RIDE– Ain’t she purty?!
–from Capn Bill
KENTUCKY LEGISLATION UPDATE– Just wanted to give you a quick update on HB 53. HB 53 has been withdrawn from consideration. The fight is NOT over yet though. HB 64 is basically the same bill with just a few technical corrections in the language and is still out there. This is not uncommon. Thanks for all the phone calls so far and please keep them coming. Just change the message to VOTE NO on HB 64!!! Stay tuned and as things happen I will try to pass them along as quickly as possible.
–Jay
Please call your State Representative at 1-
800-372-7181 and leave the following
message: ?Please vote NO on HB 64.?
If you do not know who your state Representative is then please do not worry. The folks at the call center will help figure out who it is and/or you can ask to leave it for the House Judiciary Chairman Rep. John Tilley. He can decide to not even hear the bill and it will then die in committee which is what we would like to see happen.
This bill can have dire consequences to your Liberty and expand the ability of law enforcement to target various groups they may not agree with. This is the Criminal Gang bill being considered in the KY State Legislature. Below is a list of key elements of the bill.
? The definition of what constitutes a criminal gang is so broad that arguably the state Legislature, the VFW or even the Boy Scouts would be subject to its terms. (section 6-1)
? Does NOT define what constitutes as ?primary activities the commission of criminal acts?. (section 6-1)
? Creates a secret database that is not available to be checked by the public or individuals to contest that they may have been wrongly added to the database. Yet is shared widely throughout law enforcement and may create situations in which law enforcement targets individuals wrongly placed in the database. (sections 1 and 3)
? A person can be added to this database without his or her knowledge and the only level of proof to do so is ?reasonable suspicion.? (section 2 – 4)
? Allows a person to be added simply for suspicion they are a member or just associated with the group. (section 2-1-c,d)
? Fails to allow for due process in that you can be entered into this database and subject to civil and criminal prosecution based on the findings of a separate jurisdiction, state or even country. (Section 6-1-b)
? Due process is also denied since you can be labeled as a criminal gang member simply because an ?informant? or law enforcement officer says you are a member without trial, hearing or other legal proceeding. (section 6-2)
? Infringes upon the constitutional right to assemble by allowing guilt by association. Whether the person in question did anything wrong or not but can be found guilty for associating with others that may or may not have committed criminal acts. (section 6-2-e)
? The definition for ?Pattern of Criminal Gang Activity? is overly broad and could include as little as three speeding tickets. Even federal law limits this definition to violent offenses such murder; manslaughter and other class A type felonies. (section 6-4)
? No difference is made between recruitment in the first or second degree and first degree recruitment is impossible due to section 7-1-b, c.
? Section 9 allows for the taking of property but does not limit the type of property allowed to be taken sufficiently to those convicted of criminal acts. For instance a person is listed in the database as a ?suspected associate? or because a ?reliable informant? said he/she was a member, then is that person?s property then subject to forfeiture even though they had not been convicted of any crime?
Due to the vaguely worded language of this bill and its attempt to convey guilt by association thus infringing on our right to assembly, I would ask that every effort be made to defeat this bill as written. Please be sure to make the call at 800-372-7181 and ask your Representative to VOTE NO on these two bills. Here is the link to the bill if you would like to read the text of the bill for yourself. HB 64 — http://www.lrc.ky.gov/record/10RS/HB64.htm
–Jay Huber
KMA/KBA State President
On behalf of the book, The Power Between Your Legs, “The Odds Are Against Me” (A Biker’s Story)………. The author, K.E.I.G.E.L. a.k.a. “Kj” will be speaking at the Bikers Empowerment Training Conference (BETC) this weekend, January 22-24, 2010, in Memphis, Tennessee. Your name/business was on the guest list of “special attendees” and our mutual thoughts as the Promotions Team was to arrange a special interview with you and the author.
The book is an “Online Project Only” for now. A different chapter is released weekly as to give the readers’ eyes the chance to rest between reading chapters online. The newest chapter will not be released until after this BET Conference.
Feel free to visit the book online (www.thepowerbetweenyourlegs.com The Power Between Your Legs
(www.thepowerbetweenyourlegs.com
Illusion Cycles AT EASYRIDERS Pomona, last week– The Captain America bike shown below is Illusion /Jesse James collaboration. Our business partner T-Rod is shown with THE SHOP MONKEY. The black bobber has silver scallops & a ?Pandamoniam? panhead motor ? OLD SCHOOL.
–Pete Alva
Director-Fourdot Films
(310) 921-8116
Independent Media Photographer Pete Alva Photography
Continued On Page 2
