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Wiillams Trains being Sold

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Posted by overall on Monday, September 24, 2007 7:12 AM

I would like to thank Mr Williams publicly for his excellent products and great service to the hobby the last 35 years. I have bought quite a few of his products over the years and they have all been great products that run well. If Mr Willaims is reading this, well done sir.

George

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Posted by brianel027 on Saturday, September 22, 2007 11:23 PM

ChesBchRy makes some very good points, well beyond what I initially said... and thanks Poppyl.

While it appears things are moving ahead, the deal could still fail. And while all the speculation in other places is quite entertaining, much of it is also dreaming and probably not practical.

If level heads prevail, think of it this way: Bachmann is considering the purchase of an existing company with a well-respected, established reputation for mostly BASIC solid toy trains. Why would they waste their money buying the tooling for products that are basically postwar Lionel reproductions to then try and change them into high-end scale products? That makes absolutely no sense.

Lionel has already stated it has no plans for any further licensing of TMCC, not that they couldn't change their position. There's plenty of speculation for the introduction of DCC into the product line, but this makes no practical sense either. The last thing the hobby needs is yet one more incompatible operating system, or even another totally new incompatible track system... remember, Atlas is also introducing a new line of Industrial Rail track. Let's hope these new systems are compatible with other existing track types.

Williams's strength was the basic well-made, solid (no fragile details) affordable product line that appealed to a large segment of operators. For many operators who feel slighted and forgotten by the other companies with their push toward high-end details, electronics and prices, Williams offered an outstanding alternative. And those products were offered in the widest selection of road names ever offered by any 3-rail train importer outside of Ready Made Toys.

If this is the strength of Williams, and what Williams is best known for, why would any company like Bachmann want to pay millions of dollars to buy it only then to basically toss out the tooling and dies to completely change them?? Or to increase the prices so much as to turn off would be and established Williams's customers? Williams's weakness was poor visibility via a retail network of established dealers. And their website wasn't always effectively used to the best advantage and often without updates.

It's not that there isn't a market for expensive high-end scale trains. But that market has been over catered to, and is IMHO greatly exaggerated in importance. Part of the reason K-Line went under was that they put too much emphasis and development money into this limited area of the market (in the name of competition and being NUMBER ONE). Again, Lionel sells 10's of thousands of starter sets and related products, and a couple thousand at best, of any high-end locomotive. YES, Williams does have some tooling and dies for near scale products. But those dies would need work to bring them up to par to compete with Lionel, MTH and Atlas... but maybe that's part of the plan too.

If it were Bachmann's intention to compete with the other train companies with high end scale detailed products, they'd be better off just starting from scratch with new tooling and dies, and not purchasing the dies for products that are in many cases, reproductions of postwar Lionel products.

Obviously, should this deal come to fruition, Bachmann isn't spending an untold sum of money to buy tooling and dies to then fail. While level, practical thinking is sometimes absent from some of this hobby's participants, I'm sure it isn't absent at Bachmann.

 

brianel, Agent 027

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Posted by Dr. John on Saturday, September 22, 2007 8:01 PM

I have no doubt that the Williams line of trains will continue. Bachman is a good company and is producing some outstanding model trains, particularly in their HO Spectrum and On30 lines.

My only concern would be an increase in price. However, Atlas has expanded the Industrial Rails lines while keeping the prices reasonable, so I believe Bachman would probably follow suit. 

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Posted by Warburton on Saturday, September 22, 2007 4:56 PM

Ches: excellent analysis of the takeover situation. I, too, think that this could work out well for Bachman. Some real synergy there, to use the biz term. As for Jerry Williams, a real boon to the o-gauge market for many years; he's earned a great retirement -- hope he gets it!

 Thanks, Jerry, you done good!!

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Posted by Anonymous on Saturday, September 22, 2007 4:40 PM
Sounds like a done deal to me. There are several threads over at "that other place." Including one from MA&PA Junction who confirmed it.
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Posted by Anonymous on Saturday, September 22, 2007 4:39 PM

Here's my thoughts on this subject...

Bachmann...has a broad based customer network and a long history

of involvement in the hobby. Plasticville, Ho, N and G trains, scenery

items, etc.  They recently lost their warehouses in a fire in Baltimore

which affected their ability to reach customers. Bachmann also has

"name recognition" and a certain amount of "brand loyalty" associated

with their products.  Their products are of good quality.  Their products

are very affordable to the hobbyist, especially the 'entry-level' hobbyist

or 'casual operator' type of hobbyist.  Their products have a good

warranty and repair/replacement program and policy.

 

Williams...Has an excellent product in O gauge. Quality is consistently

good. Has an established following in O gauge. Is reasonably priced for

the 'entry-level' hobbyist or 'casual operator' type of hobbyist. However,

Williams does not have the name recognition on the scale of Bachmann,

Williams does have an excellent reputation in the hobby world. Williams

has a good repair/replacement program and policy. And Williams does

have a warehouse and distribution network already in place. Williams

does not however market anything beyond trains themselves whereas

Bachmann has a whole line of complimentary products!

 

Conclusion...It appears that this is a good fit of companies which will

allow the expansion of Williams' original concepts in O guage with the

use of the Bachmann talent and corporate structure that the smaller

Williams firm just does not have. It has been rumored that Bachmann

is exploring a new track system for O gauge. With the aquisition of the

Williams line this would be an excellent time to come out with it.  By doing

so I predict that you will see Bachmann releasing COMPLETE O gauge

train sets (train, track, transformer AND scenery/accessories ala Plasticville)

and they will be able to price a COMPLETE SET competitively against the

other train manufacturers/importers who only sell a train and track and

SOMETIMES a transformer with them, but NO scenery or accessories.

 

Maybe some you magazine execs should be watching and working on

advertising strategies concerning this!  Bachmann's name is right up there

with Lionel and Atlas as far as history in the hobby over the past several

DECADES, unlike other relative 'newcomers' of less than 40-50 years duration. 

 

Even people who aren't into trains recognize Bachmann for Plasticville and

those G scale 'Christmas Trains'.

 

Jerry Williams has done this hobby a GREAT service by offering an affordable,

durable, quality product at an affordable price. He has been doing it for

over 35 years.  Apparently he wants to retire yet leave his product line in

good hands for the future.  Looks like he's done it! 

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Posted by poppyl on Saturday, September 22, 2007 4:03 PM

I would recommend that everyone re-read brianel's first post on this thread.  I think that he summarized the situation quite well.  Williams is/was a niche' player in a market that is moving to consolidation both horizontally and vertically.  As much as I would like to see Williams go on as is forever, I can't fault Jerry for grabbing the brass ring when it came his way.  He's done a lot for our hobby and deserves the right to enjoy his retirement.

I just hope that his employees are taken care of properly and that the LHS's that have handled his products don't get treated like second class citizens by the new owners.

Poppyl

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Posted by Bob.M on Saturday, September 22, 2007 10:29 AM

I am saddened to hear the news that Williams is being sold.

Heck, I haven't gotten over the Dodgers leaving Brooklyn yet.

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Posted by brianel027 on Saturday, September 22, 2007 9:19 AM
Thanks okiechoochoo, you're right... I'd forgotten. But you know, it's another perfect example of another company that didn't have such a great product reputation surprising everyone and raising the bar at the same time.

brianel, Agent 027

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Posted by 3railguy on Saturday, September 22, 2007 5:06 AM

I have a Bachman Spectrum N scale Consolidation. The detail is incredible and it runs silky smooth. I think Bachman can do some good with Williams. I doubt Bachman or anyone who buys Williams will imediately disrupt how the trains are made and distributed. You don't make money cutting people off. Williams dealers will of course use this as hype. "Get your Williams now before it's gone". Well it isn't going to be gone. Nor will it be rare.

John Long Give me Magnetraction or give me Death.
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Posted by Buckeye Riveter on Friday, September 21, 2007 8:36 PM
Is it soup yet?

Celebrating 18 years on the CTT Forum. Smile, Wink & Grin

Buckeye Riveter......... OTTS Charter Member, a Roseyville Raider and a member of the CTT Forum since 2004..

Jelloway Creek, OH - ELV 1,100 - Home of the Baltimore, Ohio & Wabash RR

TCA 09-64284

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Posted by Dr. John on Friday, September 21, 2007 8:12 PM

What? How can everyone be so calm? This is a time for panic, panic I say!

Remember Y2K?!?

Oh. Right.

Never mind. Big Smile [:D]

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Posted by njalb1 on Friday, September 21, 2007 7:25 PM
I called Williams today and they were very nice on the phone. I was asking about my grandaughters pink Madison cars for her GG1. They indicated that all thier inventory will be transfered on September 30th. They also said that all back orders would be filled and not to worry. A very positive phone call. At no time was Bachmann mentioned. They did however indicate that a change would take place....
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Posted by Bob Keller on Friday, September 21, 2007 7:19 PM
Remember the old Campbell's commercial where the kids ask "Is it soup, yet?"

Well, it's not quite soup yet. Be patient.

Bob Keller

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Posted by Big Walnut Railroader on Friday, September 21, 2007 7:02 PM
 Blueberryhill RR wrote:

 Ogaugeoverlord wrote:
Come on guys, why don't we leave the endless nitpicking, name calling, and speculating about the doom of the hobby to other forums? Since the New Era of Williams hasn't begun yet, I don't see how any of the events of the last day or so reflect poorly upon it.

I agree with you, Bob.  No one probably knows the exact answer. Things seem to be " in process ' mode. I don't see any drastic ending.

Chuck

I too agree with Bob. Here's something to do: I say we just wait until some SOLID information is released. That way we'll know whats going on. Besides I'm sure Bob will fill us in on whats happening (at least I think thats what I read).

Craig Tomastik (Big Walnut Railroader)
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Posted by csxt30 on Friday, September 21, 2007 6:48 PM
 Blueberryhill RR wrote:

 Ogaugeoverlord wrote:
Come on guys, why don't we leave the endless nitpicking, name calling, and speculating about the doom of the hobby to other forums? Since the New Era of Williams hasn't begun yet, I don't see how any of the events of the last day or so reflect poorly upon it.

I agree with you, Bob.  No one probably knows the exact answer. Things seem to be " in process ' mode. I don't see any drastic ending.

Chuck

Sign - Ditto [#ditto] Chuck !! I like the way we always get a couple experts over here when there's a chance to get a big uproar going. Then you never see them any other time.

 

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Posted by Blueberryhill RR on Friday, September 21, 2007 6:34 PM

 Ogaugeoverlord wrote:
Come on guys, why don't we leave the endless nitpicking, name calling, and speculating about the doom of the hobby to other forums? Since the New Era of Williams hasn't begun yet, I don't see how any of the events of the last day or so reflect poorly upon it.

I agree with you, Bob.  No one probably knows the exact answer. Things seem to be " in process ' mode. I don't see any drastic ending.

Chuck

Chuck # 3 I found my thrill on Blueberryhill !!
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Posted by Bob Keller on Friday, September 21, 2007 6:29 PM
Come on guys, why don't we leave the endless nitpicking, name calling, and speculating about the doom of the hobby to other forums? Since the New Era of Williams hasn't begun yet, I don't see how any of the events of the last day or so reflect poorly upon it.

Bob Keller

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Posted by FJ and G on Friday, September 21, 2007 3:09 PM
Thanks Neil; good news indeed!
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Posted by Bob Keller on Friday, September 21, 2007 1:12 PM
The straight poop is:

Negotiations are still under way and no deal has been consumated.

The dealer letter was sent out to advise dealers of the potential change in owners.

Film at 11.

Bob Keller

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Posted by okiechoochoo on Friday, September 21, 2007 12:54 PM

Brian,

Just thought that I would point out that Proto 2000 is made by Life Like, not Bachman

 

All Lionel all the time.

Okiechoochoo

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Posted by FJ and G on Friday, September 21, 2007 10:18 AM

add to that, Bachmann's "toy train" fun mentality. e.g., check out this circus starter set for $345 incl sound smoke track, brick etc

 

http://www.bachmanntrains.com/home-usa/catalog/?function=detail&id=1353

 

 

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Posted by brianel027 on Friday, September 21, 2007 9:21 AM

Before anyone gets too upset, here's some thoughts:

A few years ago, my neighbor got interested in trains. He thought the Lionel stuff was a bit pricey (for a young family budget), so he bought a Bachmann starter set. I must say, I was very impressed with the quality of that HO set. The engine ran smoothly and the new power pack included in that set was a charmer and nothing like the typical "Tyco" box-style power pack that came with so many HO sets. Remember too, it was under Dick Maddox when Bachmann introduced E-Z Track - which revolutionized the HO hobby because NOW you could run your HO set under the CHRISTmas tree as you never could before with normal HO track.

Bachmann has a wide product line, and their Spectrum and Proto2000 lines showed me years ago, that they are a serious player in the HO side of the hobby, and that they can be both innovative and make quality.

I've been using Bachmann smoke units for years and have nothing to say but they're great for the price. I've NEVER had a Seuthe smoke unit last for years and years the way I have with the Bachmann ones. I've also had outstanding customer service from Bachmann and they get high marks in my book.

Also remember, Jerry Williams has been in the business for years. Maybe, he's thinking about retirement? At any rate, if this should happen to be true, I actually believe it could be a positive thing for the hobby. Bachmann has a far bigger retail network and more presense in the hobby than does Williams. And all the trains are still made at Sanda Kan in China, so Bachmann too, has a working relationship with SK.

Time will tell. Williams has a good thing going and KNOWS there is a market for tradtionally sized NON-COMMAND basic quality locos. I know you don't get that impression from reading the magazines and forums, but even Lionel makes a couple thousand of a high end product, and makes 10's of thousands of the starter sets. The REAL train market is low end to mid-range affordable quality stater end products. Otherwise they would have made 10,000+ Acela sets, and 2,000 Polar Express sets.

RMT began production on the premise and continues to slowly grow. And with the purchase of the Industrial Rail tooling - and the introduction of new products - Atlas (a company noted for it's accurate scale detailed trains) realizes this market for 3-rail basic traditional trains. And even with their scale line, they've introduced the compromised details/budget-priced Trainman line.

Should this turn out as true, I wouldn't write off the Williams trains being made by Bachmann. It has the potential for some good things.

 

brianel, Agent 027

"Praise the Lord. I may not have everything I desire, but the Lord has come through for what I need."

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Posted by nblum on Friday, September 21, 2007 8:40 AM

Unless it's a massive practical joke, it's for real:

 

"This time the source is Williams themselves. As others have posted, dealers have been getting letters. I received the letter yesterday. Williams sold to Bachmann. Get your engines soon, Everything sold to Bachmann. Can't be more clear.



Wiley Purkey
Purkeys Toy Trains Historic Sykesville
http://www.purkeystoytrains.com"

 

Neil (not Besougloff or Young) :)
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Posted by Bob Keller on Friday, September 21, 2007 8:37 AM
Note the following

Bob Keller

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Posted by Jumijo on Friday, September 21, 2007 8:34 AM

I have mixed feelings about this. The Williams trains I own are all wonderful, and I had hoped to buy my son, John, a green 2332 GG-1 for Christmas. That may or may not be possible now. Williams has shown me great products and more importantly, great customer service with courteous and fast repair work. I attribute that to the small size of the company, and Jerry and Larry's approach to keeping customers satisfied. So in that respect, Williams trains lived up to their slogan of being the finest electric trains in the world as far as I am concerned.

Bachmann is known for reasonably priced items, and I hope they continue to keep the status quo at Williams. My fear is that prices will go up drastically, quality will decline, or customer service will not be as good as it has been. But if none of those two scenarios happen, I think it's a good thing for the hobby. And who knows, some new blood may bring some new ideas. My only nit to pick with Williams, and it's a small one, is the sounds. Maybe Bachmann will add more or better sounds to the product line.  

Jim 

Modeling the Baltimore waterfront in HO scale

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Posted by FJ and G on Friday, September 21, 2007 8:18 AM
If the rumor is true, or if Bachman ever acquires Williams, you can bet this will be good news for toy trains. Bachman is a big player in G scale and has competitive prices.
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Posted by Bob Keller on Friday, September 21, 2007 8:16 AM
I talked to Larry a few weeks back about the sale rumors and he blew them off. If I get anything from him I can pass on, I will.

Bob Keller

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Wiillams Trains being Sold
Posted by Warburton on Friday, September 21, 2007 8:10 AM

It's being reported (apparently) by letters to Williams' dealers that the company is being sold to Bachman.

If you notice, in the Williams ad on the back cover of the new (Nov.) CTT, Williams has REMOVED all reference to buying trains directly from them. Previously, they sold much of their product direct from the factory. It just tells customers to "see your Williams Dealer" to buy their new engine offerings. A very telling sign!

Bob Keller: "what does CTT know, and when did you know it??" Please keep us posted. Thanks!

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