Walthers and Horizon

[Anonymous]

Lets see, small well established companies taken over by big ones, people put out of work for these moves. Manufacturing shipped off shore (no, wrong decade, it's called out-sourcing now). I see it as exciting times, also. Especially for those whom lost their jobs! I sure wish I could see these changes happening and be happy about them, also.

[Anonymous]

In the beginning, Walthers was both a manufacturer and distributor. They, over the years, purchased lines manufactured by others such as Silver Streak, Train-Miniature and SS Ltd to name a few. After purchase by Walthers, these lines ceased to exist until Walthers spun them off to other individuals/companies. Walthers apparently wants to be a distributor only. The items now bearing the Walthers name are all manufactured by outside firms for sale under the Walthers name. The fact that Horizon has purchased both MDC and Athearn is just their move to increase their business base in the MRR market. I applaud their enthusiasm for entering the field with such decisive energy. I further applaud them for the new infusion of capital that is evident in the newer offerings coming out as either MDC or Athearn. The only firm that will be hurt by this is Walthers. A considerable volume of their business was the distribution of both MDC and Athearn. They will miss having these brands in their catalogue, but I doubt it will put them out of business. Bottom line? Competition is a good thing. Modellers benefit as new and better (closer to scale) products begin to be available. I think we will also benefit as competition between distributors increases and each firm tries to increase the sales of items not under their control. Fewer back order items and a shorter wait for backorder items could well come to pass as distributors work to defend "their" turf. Now I might be totally wrong in my assessment, but I am willing to wait and see what comes of these most recent shifts in the supply area. And who knows, perhaps Horizon will become disenchanted with the MRR business and spin off both MDC and Athearn. These are exciting times, al least for me, and, as stated, I will wait to see how things unfold.

Tom

[brothaslide]

Personally, I don't care who distributes what - As long as I can get the parts, rolling stock, etc. I want at a reasonalbe price; I'm satisfied with that.

[Anonymous]

Jim,

I agree 100%.

[jrbernier]

The problem with the new arrangement is that only certain dealers can get Athearn/MDC products from from Horizon. I am not sure how much dealer business has been lost by this move. - time will tell. I see that Intermountain will now use Horizon as their only distributor, but will keep previous dealer arrangements active. It appear that any new dealers will need to go through Horizon. Walthers did distribute the Intermountain product, but I am unsure if this will fall by the wayside as well.
Bowser and Branchline did their own distribution and I see they are now in the 2005 Walthers catalog. Competition usually is good for the consumer, but all ofthese 'exclusive' deals is limiting the channels we modelers have to get some of these products. I would have better liked Horizon just distributing more MRR products and really competed with Walthers for the dealers - that would be my idea of good healthy competition.

Jim Bernier

[Anonymous]

Not surprising Brakie and I disagree. Because businesses are in competition with each other, doesn't mean that they can not/will not work to each other's mutual benefit. Yes, the hobby shop guys I've talked to could be lieing to me. However what's the point and where is there an advantage in their doing so?

For me, however, none of this really matters, as at least Athearn seems to be moving towards RTR and I have determined I like other kit manufacturers better and am moving on to them. I am selling most of my Athearn stuff off on Ebay and only have a few MDC's steam locos and strings of ore cars and log cars. I will likely only buy Athearn or MDC stuff, which I can't get from other manufacturers.

[BRAKIE]

QUOTE: Originally posted by deschane

Horizon, removing Walthers as a distributor for Athearn and MDC, was akin to cutting off their nose, to spite their face! Hopefully, there will be a recovery for Horizon. However, removing the largest distributor of these products from the loop "in one fel swoop" was a dumb business idea! A slow switch to Horizon as the distributor makes better business sense. I would guess this decision has hurt sales for both Athearn and MDC, it has to have! I see less of their products on the shelves and the shop owners I talk to, say they have had difficulty getting inventory from both producers.

Not really! You see Walthers and Horizon are competitors and therefore Walthers would likely not include Horizon if Walthers bought Athearn and MDC..
As far as your dealer I fully believe he is giving you a good old fashion BS story.Perhaps due to his credit line with Horizon.I don't know the story there.
I have NOT had any problems finding Athearn or MDC lately at any hobby shop-save 2 that choose not to sign up with Horizon and has LOST sales since..I went to 2 train shows over the past weekend..There was the newer and older Athearn available at modest discount prices..No,if anything Horizon has help Athearn..Just look at the new locomotives and monthly releases.
As far as the Walther's catalog it was OUTDATED the minute it came off the press due to the continence of new products being release.
Now,look closely at the Walthers on line catalog and please note the out of stock or backed order items including THEIR OWN PRODUCTS!!!
"Your dealer can get it from Walthers-only IF we have it in STOCK.".

[Anonymous]

Horizon, removing Walthers as a distributor for Athearn and MDC, was akin to cutting off their nose, to spite their face! Hopefully, there will be a recovery for Horizon. However, removing the largest distributor of these products from the loop "in one fel swoop" was a dumb business idea! A slow switch to Horizon as the distributor makes better business sense. I would guess this decision has hurt sales for both Athearn and MDC, it has to have! I see less of their products on the shelves and the shop owners I talk to, say they have had difficulty getting inventory from both producers.

[jsoderq]

Originally posted by gtirr

It's about time somebody else distributed model railroad products besides Walthers!
What rock are you living under. There are many distributors besides Walthers - Bowser, Bevbel,Hobby Stores(Branchline) Caboose Hobbies, and many more. There is one in Detroit whose name escapes me at the moment. There are several in California and the pacific northwest. Just because your LHS doesn't deal with them doesn't mean they don't exist. Most are excellent to deal with but few carry as much as Walthers. Now the reason Horizon bopught Athearn etc was to force shops to buy from them. They had very little trade from the rr end of things and are trying to force their way into the market. It remains to be seen what will eventually happen.

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