Navistar Sniffing Out Buyer for RV Operations
Navistar International Corp. officials said Wednesday (Feb. 14) they are looking into selling the company’s Navistar RV unit based in Wakarusa, Ind.
According to a report by WSBT-TV, South Bend, Navistar is in the preliminary stages of its effort to possibly sell the company. In a statement, Navistar representative Steve Schrier said:
“Navistar is conducting a comprehensive review of all of our non-core businesses — including our Navistar RV business — to evaluate their potential to drive long-term profitability and significantly improve our return on invested capital (ROIC).
“As a result of our ROIC analysis, Navistar is listening to offers for the sale of its RV business and the sale of the business is a possibility. However, we are still early on in that process and not accepted any offers at this time.”
Schrier added that Navistar is not in a position where it has to sell the RV portion of the company.
“We have a credible turnaround plan for the RV business under way and sufficient cash to continue funding operations, so we have the option to reject any offers that don’t have value,” Schrier told WSBT, emphasizing the company was not cash-strapped.
The company laid off 29 temporary workers in September. At that time, Schrier said that there were no plans to lay off any of the 500 permanent employees who work at the Wakarusa motorized manufacturing facility.
In 2008, Monaco Coach Corp. laid off nearly 1,500 people and filed for bankruptcy. Then Navistar bought Monaco Coach in 2009. When Navistar acquired Monaco, there were only 20 employees left.
In August 2011, Monaco decided to consolidate its Oregon factory with the factory in Wakarusa. That brought about 400 new jobs to Elkhart County. There are currently about 600 workers between the Elkhart and Wakarusa plants.