Athearn moves tooling to new manufacturer

[One of One-Sixty]

I was doing some digging looking for a company that looks like it went under when I came across this.

In a sector of the industry beset by supply problems, one of the biggest names got a boost in May.

Athearn Trains has retrieved all of its tooling from Creative Masters Ltd., its Chinese supplier that closed in January, and moved the tooling to the same factory that produces its Genesis models, said Vic Audo, interim director of Horizon's model railroad division.

"Over the next few weeks, we’ll be evaluating the tooling and taking the steps necessary to begin production," read an Athearn Facebook post on May 15.

Audo said Athearn moved back its delivery dates on all products affected by the relocated tooling, which includes almost everything except Athearn's Genesis line.

The company will not know the actually delivery dates of these products for another 45 to 60 days, he said. "But we do believe we will be able to make substantial progress before the end of this year for sure," Audo said.

The company's Facebook page also indicated plans to produce a Southern Pacific MT-4 steam engine with skyline casing at some point in the future, and news that the "DDA-40X is in production now so it should be available within the next few few months." That model was announced in March 2011.

http://www.modelretailer.com/The%20Industry/Industry%20News/2012/05/UPDATED%20Athearn%20moves%20tooling%20to%20new%20manufacturer.aspx

I am curious how much of their products has been affected by this.

[SkipGear]

Everything....

The Genesis line had just moved to a new facility at the end of last year. The only thing Athearn has anounced since Jan 2012 has been Genesis which left N in the cold except for the Big Boy and Challenger. All undelivered HO "Ready to Run" and N scale product is in limbo until they get the new production schedule figured out.

[jmlaboda - RIP]

This has already been discussed in another thread...
https://www.therailwire.net/forum/index.php?topic=26215.0

[TiVoPrince]

Hopefully  
Athearn/Horizon revealing some facts means that the worst is already over.  Mr. Wallet is cowering in fear of the manufacturing/release schedule being announced...

[asarge]

Unfortunately, they had to "re-aquire" their tooling. Likely from the Chinese government.

While most of you won't make much of this. It will mean higher prices. We have been told that the dealer wholesale prices will increase on RTR and Genesis products. You can bet the farm that will passed on down the chain to the retail customer.

[ednadolski]

It will mean higher prices.

I for one don't mind, if it means getting more things made in the USA and less in China.

Ed

[Kiasutha]

I for one don't mind, if it means getting more things made in the USA and less in China.

Ed

Has Athearn said anything to indicate that the tooling has been moved anywhere other than to a different chinese factory...?

[Kiasutha]

Unfortunately, they had to "re-aquire" their tooling. Likely from the Chinese government.

While most of you won't make much of this. It will mean higher prices. We have been told that the dealer wholesale prices will decrease on RTR and Genesis products. You can bet the farm that will passed on down the chain to the retail customer.

Assume you actually meant "increase"... 

[TiVoPrince]

Availability  
means more than pricing to me.  Although much more than a token 10% increase may result in a completely different opinion.  While I don't wish ill on Athean they need to 'man up' to thier own poor choices. 

Hindsight is perfectly clear, but who knows if the 'Gensis' factory is any more stable in the long term?  We could easily be witnessing the same meltown in sometime the future.  Past performance is often an indication of future results...

[asarge]

Sorry. Meant to say increase. The dealer wholesale margins will decrease.

Not sure where the Genesis stuff is produced, but it's likely on mainland china.