Excelsior-Henderson Calls New Financing One of Several Steps in Plan
20 October 1999
Excelsior-Henderson Calls New Financing One of Several Solid Steps in Growth Plan
BELLE PLAINE, Minn.--Oct. 19, 1999--Newest Model Well Received
Excelsior-Henderson Motorcycle Manufacturing Company today provided a progress report on recent steps taken to drive future company growth. The comments by company management were a reaction to yesterday's announcement of the signing of a letter of intent for $4.5 million in additional financing from two of the company's initial institutional investors.
"This new financing package not only shows investor confidence in our overall plan," Jack Thornton, President and COO said, "but reflects the significant improvement the company has experienced in the key areas of distribution, cost control and product innovation. Best of all, our employees, dealers, suppliers and customers have accomplished solid progress in just six weeks."
The company revealed that since its realigning effort was announced in early September, component cost of the bikes has been lowered about five percent, the number of dealers has increased by approximately 20 percent, and that the current workforce has had no difficulty meeting weekly unit shipping targets.
Co-Founders Dan, Dave and Jennie Hanlon pointed out that the improvements noted in manufacturing efficiency are a direct result of employee dedication. "The hard work, innovations and cost saving ideas of our team have enabled us to improve our numbers and meet our production targets, without impacting the quality of our motorcycles. The spirit of Excelsior-Henderson has never been better," the Founders added.
The Company also announced that dealer and customer reactions to its new cruiser motorcycle model (Deadwood Special) have been very good and that other innovations--both in performance and styling--are anticipated in the near future.
"We know more about our customers and our marketplace than at any time in our history," the Founders said, "and we will begin targeted sales training programs and product development efforts to add to our success."
"Further, and most significantly, we believe that yesterday's financing announcement underscores our aggressive plan, recent improvements and rededication of the entire Excelsior-Henderson team to provide the momentum so vital to our bright future," Thornton added.
Excelsior-Henderson Motorcycle Manufacturing Company designs, manufactures, markets and sells a proprietary brand of premium heavyweight American cruiser motorcycles, as well as related parts, apparel and accessories branded with a name that evokes an authentic American motorcycling heritage and lifestyle. The Company distributes its products through a national dealer network. Excelsior-Henderson is one of only two authentic American motorcycle companies exclusively committed to the manufacture of motorcycles. For additional information, visit the Company's web site at www.excelsior-henderson.com.