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Yes they are, a locomotive purchase puts more dollars in the LHS' pocket. Since they cannot sell any more they lose a major portion of their revenue and profit. My LHS stocks very few loco's and they are priced at a 10-15% off of MSRP, but are still unsold as they are still too high priced as compared to the internet. My LHS has decided to stock staple items needed by modelers and thereby keep some business. But most of these items are at full price. But if you were to order 2 bottles of paint via the internet the shipping would eat you alive, so it is cheaper to buy via the LHS in this case. Those of you who suggest the LHS' band together to volume purchase must realize that will no longer work with the Horizon policy as they only sell to storefront locations and there is no longer a wholesaler's discount, this is the profit the wholesaler makes on buying the item from a manufacturer and then selling to the LHS. In Caboose Hobbies Case, they were their own wholesaler and even though they gave the modeler a 10% disocunt on the lines they discounted, they still made more money per item than a normal LHS could that was not their own wholesaler. In essence the LHS must find it's nitch to compete with the Internet, usually it is service and handling items that the internet stores won't or if shipping is exorbitant on small items. They might also move to a lower rent location or make a deal with their landlords to stay or leave the building empty. Another item would be building kits and painting since the current crop of modelers seems to be incompetant in this regard in only wanting ready to run and painted for their prototype. Rick
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