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Posts Tagged ‘Spokane’

PacificNW-RallyEach week motorcycle rally’s seem to rise as the temperatures and if you attend one the smiles are contagious!

I wanted to bring your attention to the first ever tri-state H.O.G. rally which occurs July 24-27th in Spokane Valley, Washington.

No doubt you’ve seen on TV documentaries, rumor or cameo showcases in the media where a rally is deemed a magical place.  It’s hard not to notice the spectacle of all things chrome and leather symbolizing the culture of Harley-Davidson.  Motorcycle rally’s are an American icon and you can’t mistake the looks, the sound and the feel of a H.O.G rally!

Some of you will undoubtedly try and tell me that there is no new blood coming to the H.O.G. rally’s.  That they’ve become nothing more than the equivalent of a state fair.  Conventional, cliche, and common.  And then I always seem to get an email or two reciting the Sturgis Rally statistic… the average age of a Sturgis attendee is about 52 and the only young people there are usually brought in as staff.  So, take your eyes off of the bartender from Raleigh trying to earn college tuition for the year with the pronounced cleavage and take notice of all the AARP people behind her.

My advice is if you don’t have fun at rallies then, give up!  Don’t go because whining is so 1999.

Like many of you, however, I enjoy motorcycle rallies.  It’s that simple.  The people, the energy, the passion, the spirit, the vendors and, of course, the motorcycles. It’s a great opportunity to have real conversations with other enthusiasts.  And, I’m a sucker for information, for your story.  I want to hear everybody’s story.

It’s tough to narrow down a list of things that I like about a motorcycle rally, but after the most important—wind in the face journey—here are a few:

People Watching—The cast of characters you see at motorcycle rallies are unlike people you’ll see at any other type of event, bar none. And the funny thing about it is this – they’re not just hardcore bikers.  I’ve seen kids to grandparents, from plumbers and bus drivers to attorneys and Wall Street traders. From long hair and long beards to clean cut and clean shaven. From party-crazed to people that could be your next door neighbors.

What’s New—Rally’s are the place to find some of the newest bike products and gear. This is where manufacturers and distributors launch new merchandise, show off their stuff and try to start a buzz with their best customers.  In addition you’re likely to get wind of a special place to take your bike for a “once-in-a-lifetime” journey, whether it’s a major ride or a side trip. And you’ll know it’s worth experiencing the ride for yourself because the people at rallies live for this stuff.

Showcase—Motorcycle rally’s are the ultimate place to showoff your bike. This is why many of us spend every free hour riding, cleaning, fine tuning or just staring at our motorcycle. Whether you ride the newest model or decades-old legend, rallies are where like-minded folks can talk about their rides and showoff the latest accessories.

Downtime Fun On The Road—Concerts featuring rock and country bands that I care about. Regional food and refreshments from the best local hangouts. Bike shows and parades. Biker gear and apparel from national and independent brands.

Passion—Riders who show up at a motorcycle rally are passionate about their bikes.  It’s easy to sit down and talk for hours, sharing stories about the sights you’ve seen, the terrain you’ve covered, and the roads you’ve traveled.

What’s your favorite part of a motorcycle rally?

See you in Spokane Valley!

Photo courtesy of H.O.G.

All Rights Reserved © Northwest Harley Blog

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It’s time to forget the finances and focus on the road!

Fortunately Washington and Oregon have partnered up to provide a unique riding opportunity for the 2010 H.O.G. Rally and this is a save-the-date notice.

Motorcyclists now have the opportunity to attend two rallies back-to-back and ride more than 1600 miles on some of the Pacific Northwest best roads.

The Washington State H.O.G. Rally starts in Vancouver, WA and edges its way up the Columbia River Gorge to Yakima and Wenatchee. The rally ride “edges” ever northward along the Columbia River, with a stop at Grand Coulee Dam then on to Spokane. The final day takes motorcyclists down the eastern “edge” of Washington State and into Lewiston, ID, then on to Kennewick for the closing ceremonies.

Then a day later and only a few miles from the end of the Washington Rally starts the Oregon Rally.

Pendleton is the start of Oregon’s Rally and you’ll ride the “edge” of the Cascade Mountain range to an overnight stay in Bend before “edging” along to Crater Lake and then an overnight in Medford. The final day puts motorcyclists on the “edge” of the Pacific Ocean with closing ceremony in Coos Bay.  Below are the dates, links for registering and additional information.

Washington State HOG Rally
August 20 -23, 2010

Oregon State HOG Rally
August 24 -27, 2010

Facebook fans can go to Oregon and Washington fan pages.

And if that wasn’t enough riding and fun… when the H.O.G. rally ends head over to Woodburn, OR. for the All-Harley Drag Races on Saturday, August 28th and Sunday, August 29th

Photo courtesy of H.O.G.

All Rights Reserved © Northwest Harley Blog

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Neil Young sang the song “Long May You Run“.

“We’ve been through
Some things together”

Last August, specifically on the 8th I was returning home from a week long ride in the Canadian Rockies and spent a night in Kennewick, WA (Tri-Cities) where I stopped at the local Harley-Davidson dealer.  Nice place and the dealership is owned by Shumate Motorsports or more importantly the owners are John Michial Shumate and his wife, Jennifer Shumate.

Interestingly on this day they were having a mother of all sales.  Strangely not on motorcycles, but on EVERYTHING else.  It looked like a going out of business sale and when I ask the sales clerk what it was all about she responded with something about needing to make room for all the new products so they were unloading inventory.  Sounded fishy.

Turns out that my inner voice was correct.  Just a couple of weeks later (September 2009) the owners filed for bankruptcy.  In court documents the Tri-City couple stated they’d racked up more than $10 million of debt for Shumate Tri-City LLC, Shumate Inc. and Shumate Spokane LLC.  Their first motorcycle shop was in Kennewick.  Then in 2004 the couple took over Spokane’s sole Harley-Davidson dealership, at 6815 E. Trent Ave. They also owned stores in Walla Walla and Lewiston, ID.

Sure these dealers are just locations on a map, but they also represent what life is about, experiences as you travel across the country making new friends and I’ve been to all of them over the years traveling around the pacific northwest.

According to reports, the Shumate’s filed an adversary proceeding in October 2009, accusing the motor company and affiliate companies of violating the Washington State Consumer Protection Act and of breaching a good-faith obligation.  Specifically the Shumates stated that Harley-Davidson disrupted their ability to carry on normal dealership operations by obtaining a temporary restraining order in August prohibiting them from selling motorcycles, parts, accessories and clothing that constitute collateral to which Harley-Davidson Credit Corp. claims it’s entitled. They contend Harley-Davidson then used that temporary inability of the Shumate dealerships to operate normally as the basis for the issuance of letters announcing the manufacturer’s plans to terminate its dealer contracts and franchises with them.  This maneuvering occurred when at the same time the motor company approved a new posh and competing dealership in upscale Coeur d’Alene, ID.

I don’t have visibility into all the internal workings or choices made at Shumate Motorsports, but one can’t help but have empathy.  If you believe Harley-Davidson advertising we’re supposed to have one part “stick-it-to-the-man” and one part sympathy for H-D, after all, they are losing millions bringing us these premium-priced motorcycles and the lifestyle.  Ain’t that America, where the public is beholden to corporations who pay little tax yet demand sympathy, as their lobbyists keep the government’s hands off of them and they wine and dine luxuriously in private while walking around in public with their pockets turned out?

At any rate, the latest update is a bankruptcy judge in Spokane will next week set a date for selling Spokane’s only Harley-Davidson dealership, plus the three other stores.  The Shumate Motorsport attorney (Barry W. Davidson of Spokane – see the irony?!) stated that it was Shumate’s intent to close his Spokane and Idaho operations but they were going to try and keep his Tri-City and Walla Walla stores open.  It’s not clear they will be successful in that effort.

Long may you run…

Photo courtesy of Boston.com

Previous posts on H-D closures HERE, HERE and HERE

All Rights Reserved © Northwest Harley Blog

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HD_MCThis is the question I’ve been pondering over after having an opportunity to spend a couple of hours with “No Barriers” founder Neal Petersen.

To save you some time the short version of Neal’s story is — He is a black South African who grew up poor and disabled during apartheid yet achieved his dream of racing/sailing solo around the world.  He now does motivational speaking and is involved in peace talks in multiple countries across the world.  During Mr. Petersen’s speech he routinely ask the audience; “Does what I do on a daily basis at work have a positive impact?”

This resonated with me and while I personally reflect on this I can’t help, but ask the question of Harley-Davidson’s CEO, Keith Wandell.

Today, Harley-Davidson reported out the Q3’09 quarterly results and announced a massive 21.3% decline in revenue for the 3rd quarter and an 84.1% decline in net income from a year ago quarter.  Apparel and general merchandise represents 23% of H-D revenue to date.  Then the news got interesting.  They announced that 14 dealers have closed year-to-date and set the expectation that 15-30 additional dealers will close in the next 6 months as the company reduces inventories to match sales.  They discussed the HDFS bad loan/delinquencies and financial progress.  The Harley-Davidson brand value (note: its moved down from 43 to 71 position) and the more important announcement was to shutter the Buell product line as well as divest its MV Agusta unit.  A busy day of spin as Mr. Wandell went on to discuss the going forward 4-piller strategy of: growth; continuous improvement; leadership development and sustainability.

On the Buell front I can’t say that I’m not surprised because it was reported a couple weeks ago in the Milwaukee Journal-Sentinel that Erik Buell didn’t renew his employment contract with the motor company and there were a number of rumors circulating as to what that might mean.  I want to personally thank Erick Buell and the Buell employees.  I believe what they did on a daily basis at work had a positive impact.  They should be proud of what they accomplished.  They are an American innovation poster-child and represent what passionate and inspired people can do through engineering and manufacturing some of the best-handling bikes in the world.  But, in biker speak… it’s WTF?  An American designed and manufactured motorcycle that out performed Asian manufactures all year in the AMA Pro Roadracing circuit and Mr. Wandell dumps it?  This is forward thinking?  2009 marked the first year H-D had a non-motorcycle enthusiast running the company and I have to ask if he really got out there to see what all that (Harley) race stuff was about and how it enhanced the brand?

Since I was rather harsh in a blog post last year about the $108 million MV Agusta deal and describing it as a train wreck, I agree with the decision to abandon it.  Sure this happened under ex-CEO James Ziemer shift who retired shortly after cutting the deal, but the board members clearly approved Mr. Ziemer’s compensation package who walked away with only $5.6M compensation, up 26.5% from 2007.   And in part the compensation was based on the boards admiration of the MV Agusta deal, right?  The board members should be put on notice as there are now another 180 employees set to hit unemployment due to the management of the company and we all know they had line of sight just 12 months ago to the economic issues.

The shocker in the financial call was the statement of investing more in emerging markets up to and including local market design and manufacturing!  Is this a precursor to moving manufacturing off-shore?  A lot of talk about taking Hogs to China and India, but nothing about how well the strategy has worked to woo women, African-Americans and Latinos.  The value of the brand was weaved into the growth strategy, but nothing about why it dropped 43% in 2009.  They’ve talked for two quarters about reducing inventory yet made little progress.  And loans made to iffy borrowers aren’t just taking down housing.

The push by H-D corporate for dealers to build increasingly larger and high-end-glamorous retail outlets meant more dealer debt and subsequent failures.   Chapter 11’s continue to stack up across the northwest.  Three locations of Shumate H-D with one in Kennewick (owner hub), another in Spokane and a satellite location in Lewiston, ID.  I blogged earlier this week about Dave Tuomisto’s, $16M and 6-acre mega-expansion at Timpanogo, UT which went under.  It’s not clear when or if any of these dealers will reemerge and the real downside will be H.O.G. groups folding, lengthy drives for service or to hang and drop in which overall effects customer service and having a healthy Harley community.

Harley is in major trouble.  The spin, baby, spin from Mr. Wandell is not good enough, my friend.

Photo courtesy of H-D.  Financial call transcript courtesy of SeekingAlpha.  Disclosure: I have no investment in HDI

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I departed Saturday, August 23rd with an 8am arrival at the Flying J truck stop in Troutdale to meet up with the posse.  We decided to cut our own trail rather than follow the dealer rides and took a non-sanctioned northern route to the Harley-Davidson 105th Anniversary event in Milwaukee.  This meant riding north to get near the Canadian border on Hwy 2 as quickly as possible to begin our Eastward trek.

The weather was brisk, but ideal for riding.  We headed east through the Columbia Gorge via I-84 where we watched windsurfers in Hood River and had breath taking views of the Columbia river. We saw the locks, barges of grain, and fishing boats.  The scenery is always large and impressive in the gorge.  By the time we arrived in the Richland area for lunch we had hot temperatures and moderate cross winds. 

The terrain in this area gets dull, and the road gets even duller. It’s a confusing area where 395 joins I-82 for a while crossing the Columbia River, but even after it breaks away from interstate, it remains a heavily traveled limited-access highway with lots of traffic as it runs northeast for about 150 miles to Spokane, Washington.  This route took us toward greener country near the Idaho state line. At Spokane, on I-95 east we headed to Coeur d’Alene, ID where we picked up highway 95.  It heads north before reaching the Canadian border.  There is a lot of scenic beauty through the forests of northern Idaho. The traffic gets thinner the farther north you get.

We ended the ~430 mile day crossing over the Sandpoint Long Bridge in Sandpoint, Idaho.  Sandpoint is in, Bonner County and has a little more than 7000 residents. The key industry is recreation/tourism thanks to scenic Lake Pend Oreille and the Schweitzer Mountain Ski Resort. A little known bit of trivia is it’s the headquarters of Coldwater Creek which is the women’s apparel retailer.

We stayed at the Quality Inn which is located at the beginning of the Pend Oreille Scenic Byway.  We met up with some friends at the Edgewater Resort and ate dinner in the Beach House Restaurant and had a few refreshments to enjoy the sunset on the lake.

Ben Stein

Ben Stein

As a bonus we ran into Ben Stein (writer, actor, TV personality) in the restaurant bar.  Sandpoint seems to call the “rich and famous” for all types of recreational activity.  You’ll have to trust me that it’s Ben because it’s not very clear in this photo unless you have zoom capability.

Interested to know more about our “Ride Home”?  Read the road blogs for: Day 2 HERE, Day 3 HERE, Day 4 HERE and Day 5 HERE.

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