MCI to Distribute Setra Coaches in Deal with Daimler Congressmen Urge Industry to Target Senators
Total Page：16
File Type：pdf, Size：1020Kb
May 15, 2012 MCI to distribute Setra coaches in deal with Daimler month that Daimler AG, the ulation, Daimler revealed it had because of the cutback in transit For MCI, the deal would seem U.S., Canada prove world’s biggest commercial bus signed a letter of intent that would bus orders across the U.S. to be something of a windfall. It to be tough markets and coach manufacturer and cor- transfer distribution and servicing In announcing the tentative loses a competitor, albeit a rela- porate parent of Mercedes-Benz of Setra coaches to MCI. The deal deal with MCI, Daimler said its tively weak one; it potentially What is it about the North and Daimler Trucks, is turning is expected to the completed by the “strategic relationship with MCI gains a bunch of service work, ad- American bus market that has made over North American sales of Setra end of this month. will carry forward Setra’s proud ditional parts business and war- it impossible for the world’s largest coaches to Motor Coach Industries At the same time, Daimler said tradition in North America, and ranty coordination; it has an inside bus manufacturer to flourish here? and shutting down its Orion Bus it will close its Orion manufactur- also take it to the next level — track on building or rebuilding re- That is just one of the questions Industries manufacturing plants in ing operations in Mississauga, On- through increased local presence lationships with Setra customers, many in the industry are pondering Canada and the U.S. tario, and Oriskany, N.Y., which and enhanced customer services and it adds two products to sell at after it was announced late last Ending weeks of industry spec- have been hemorrhaging red ink for Setra.” CONTINUED ON PAGE 12 c New bus sales Congressmen urge industry to target senators climb for fifth By Josiah Daniel Ryan WASHINGTON — The United Motor- straight quarter coach Association hosted key members of Deliveries of new motorcoach- Congress at a Capitol Hill event late last month es continued to surge upward dur- prior to the start of negotiations that could yield ing the first quarter of 2012, post- a new federal highway and public transporta- ing a double-digit increase over tion law that likely will include critical safety year-ago sales. regulations for the motorcoach industry. A total of 349 new coaches Lawmakers who addressed several dozen were sold during January, Febru- UMA attendees at the Capitol reinforced the ary and March, compared to 282 critical nature of the moment, encouraging the coaches delivered during the first association to take advantage of election-year quarter of last year, a gain of near- politics and fight the 31 regulations proposed Rep. John Shimkus, R-Ill., left, with Magda Dimmendall, president of the National School Transportation ly 24 percent. for the industry in the Senate-passed transpor- Association, and UMA Chairman Bill Allen, urged UMA members to contact their U.S. senator. This year’s first-quarter sales tation bill, S.1813. “Can we remove some of those regulations new rules for the bus and motorcoach industry jump marked the fifth quarter in a Rep. John Shimkus, R-Ill., who addressed to ease the burden?” asked Shimkus. “The an- but does so in a measured manner, said UMA row of increasing sales, the best the meeting, signaled in a conversation with Bus swer is yes. But that’s why this association has Chairman Bill Allen, owner of Amador Stage first quarter since 2009 (when 372 & Motorcoach News that at least some of those to especially work members on the Senate side Lines in Sacramento, Calif. coaches were sold), and the fourth regulations, considered by many in the industry to agree to whatever the House may bring to “The House bill addressed scientifically the quarter in the past five during to be onerous and unworkable, could still be re- the table on some of these reforms.” issues the Senate addressed just by picking so- which sales have risen at a double- moved in the upcoming conference between ne- The alternative legislation proposed by lutions out of their hats,” said Allen. “[T]he digit rate. gotiators from the Senate and House. House Republicans, in H.R. 7, also includes CONTINUED ON PAGE 16 c Sales increased 24.2 percent, 3.5 percent, 46.7 percent and 35.7 percent during the four quarters of Creditors to become Coach America’s owners last year. NEW YORK CITY — Coach door auction here late last month lien, secured creditors to bid up to the auction was closed to the pub- The coach sales numbers were America Group Holdings appar- in which its bank lenders appear to the amount they are owed without lic and company executives, attor- compiled by National Bus Trader ently is going to survive its trip have successfully filed a credit bid having to put up any out-of-pocket neys, creditors and others involved magazine, which has published an- through bankruptcy largely intact, for the company. money to take ownership of the in the court case declined to dis- nual motorcoach industry sales operating under new ownership as The buyout by creditors re- business. cuss it. figures since 1985, and issued a slimmed-down company but still quires approval by the U.S. Bank- Such bids are typically a quick- “We cannot comment at this quarterly sales reports since 2001. the largest tour-and-charter opera- ruptcy Court in Wilmington, Del, er way for a business to emerge time,” was all Coach America The magazine tracks sales of tor in the U.S. and it’s possible for that decision to from bankruptcy court than if it would say about the sale. new models produced and sold by The path for the company that be appealed to federal court by were to adopt a financial reorgani- However, it was learned that in Motor Coach Industries, Prevost filed for Chapter 11 financial reor- other creditors. That is rare, zation plan. addition to the sale of the company Car, Van Hool/ABC, Setra and ganization in January was char- however. Full details of the transaction to creditors, two pieces of Coach Temsa, plus the Mexican-built tered at a court-managed, closed- A “credit bid” allows the first- are not publicly available because CONTINUED ON PAGE 14 c CONTINUED ON PAGE 14 c Don’t miss ABC Companies’ Florida location BUSBUS && PARTSPARTS AUCTION!AUCTION! 1-DAY ONLY...Thursday, May 17, 2012 Open House 9-5 pm, Auction Starts @ 1:00 pm Auction Sneak Preview begins May 14 at ABC Winter Garden, FL location during business hours (8 a.m. to 5 p.m.) Join us May 17 Featured Auction Items: Pre-owned coach live auction LOT 1 LOT 10 Pallets of parts live auction Mixture of Hankook - 13/32, Firestone - 1997 Van Hool T2145: DET/ALL, Non-lift, VIN #43000 11/32-16/32, Michelin - 12/32-38/32 On-site service specials 15% parts discount* LOT 13 Michelin - Additional 5% off parts used 12/32-38/32 in service shop** Food / Prizes Register to win an Apple iPad! LOT 20 Proheat Furnaces (3) - Fits all Van Hool Models LOT 19 1999 Van Hool T2145: DET/ALL, Non-lift, VIN # 43763 * This 15% Open House discount applies to parts purchased/ordered at ABC Florida Parts Counter on-site 5/17/12 only, while supplies last. Must be present at the ABC Florida location to qualify. Cannot be combined with other discounts, coupons or promotional pricing. Total discount cannot exceed 15%. ** Additional 5% off parts used in the Service Shop in addition to the 15% parts discount for all parts purchased/ordered 5/17/12 and installed by 6/30/12 (appointment required for install). No cash value. Not applicable with any other discounts. These promotions are valid at ABC Florida Service facility only on 5/17/12. While supplies last. All pre-owned coaches sold “as is.” See Account Executive for additional terms and conditions. View all auction items on www.abc-companies.com/FLauction Watch for details on upcoming ABC Open Houses & Auctions ABC Minnesota: Tuesday, June 26, 2012 ABC Texas: Thursday, June 28, 2012 5/1/12 ABC Companies 17469 West Colonial Drive / Winter Garden, FL 34787 800-222-2871 www.abc-companies.com Bus & Motorcoach News INDUSTRY NEWS May 15, 2012 3 Expo ’13 registration opens ‘Transplant’ buddies recovering well SAN FRANCISCO — Cali- Franciscan Lines here, and Gid- with mega deal for operators fornia motorcoach operators and dens, president of Coachways good buddies, Mike Waters and Charter Services Inc. in Garden ORLANDO, Fla. — OK, from more than 150 companies. Tom Giddens, are recovering well Grove, Calif., became good friends here’s the Deal of the Week: “In fact, the 2013 Expo show at home from kidney transplant through their 20-plus years’ in- For five days, starting May 14, floor is almost 70 percent sold and surgery they had here last month. volvement with the California Bus operator members of the United it has only been three months Giddens, who donated a kid- Association. Giddens is the cur- Motorcoach Association can reg- since Motorcoach Expo 2012 in ney to his long-time friend, was rent president and Waters is a past ister for UMA Motorcoach Expo Long Beach.” released from University of Cali- Tom Giddens Mike Waters president. 2013 for the rock-bottom price of Registration for next year’s fornia Medical Center four days “Mike and Tom are two of $200. That’s a minimum saving of show also buys something no after the April 17 surgery and Wa- long waiting list for a cadaver kid- CBA’s bright and shining stars,” at least $100.