Bauer and Easton in financial trouble

[dustygoon]

Originally Posted by Weitz

They filed for chapter 11. Won't likely be a "bankruptcy" sale. More of a reorganization of debt.

No. sounds like asset sale. Debt holders get their money.

[N-E-B]

Maybe everyone is sick of paying $340 for a hockey stick when you can get last years model that's just as good for $150? Pricing is getting out of control.

[Weitz]

Originally Posted by dustygoon

No. sounds like asset sale. Debt holders get their money.

I read they filed for Chapter 11. What you are referring to is chapter 7. In the USA anyway.

[Reaper]

Originally Posted by SeeGeeWhy

GRAF canada also went insolvent earlier this year. Filed notice in May, Auction was in July.

GRAF Canada going under was more of a matter of missing the shift in the skate industry to lighter, higher performing skates causing them to fail to establish market share and then never being able to recover.

[kermitology]

Originally Posted by rain_e

Definitely large margins but they spend a lot on advertising/endorsements to sell the product.

Retailers don't make much on these kinds of products. Golf and hockey gear maybe carries a 15-25% margin, usually under 20. Add to that the fact that you can't hold product in hand, if you do, you're basically throwing half the money away because they go on deep discount to liquidate at the end of the season.

If you have overstock of hard goods, you're going to lose a LOT of money.

[burn_baby_burn]

Originally Posted by N-E-B

Maybe everyone is sick of paying $340 for a hockey stick when you can get last years model that's just as good for $150? Pricing is getting out of control.

I don't think everyone is. Just the suckers.

[omelete]

Originally Posted by N-E-B

Maybe everyone is sick of paying $340 for a hockey stick when you can get last years model that's just as good for $150? Pricing is getting out of control.

I know it's been a couple of decades since I last played but when did the price of sticks go nuts???

[dustygoon]

Originally Posted by Weitz

I read they filed for Chapter 11. What you are referring to is chapter 7. In the USA anyway.

Ha. No. You can have asset sales in chapter 11. You are thinking of liquidation. You don't need to restructure old debt (i.e. swap for some new debt and equity as company emerges from ch11) if there is enough value in a full company sale or asset sale. Which there is.

[CroFlames]

So... are sticks gonna be cheaper?

[Reaper]

Originally Posted by omelete

I know it's been a couple of decades since I last played but when did the price of sticks go nuts???

When high performance one piece composite became the norm for NHL players. Every beer leaguer was poised to get a PTO from their favourite NHL team as long as they found the one magic stick.

[CroFlames]

Originally Posted by Reaper

When high performance one piece composite became the norm for NHL players. Every beer leaguer was poised to get a PTO from their favourite NHL team as long as they found the one magic stick.

Unfortunately for me, they discontinued mine.

The 2010-ish generation of the Easton Stealth grip with the squared up shaft, Sakic curve. God, I was unstoppable with that stick. I felt like I could hit low-90s with that puppy.

Thank you Easton for ruining my chance at being an NHLer.

[saillias]

Originally Posted by Resolute 14

Brutally incompetent management will do that to you.

what do you know about their management? Do you have a story?

[N-E-B]

Originally Posted by omelete

I know it's been a couple of decades since I last played but when did the price of sticks go nuts???

Pretty recently, but even when I was playing 7 or 8 years ago you were paying $270-$300 for the top end sticks. I was looking at sticks at PHL two days ago and Bauer is charging $339.99 for their top end model. Easton and CCM were also. It's ridiculous, especially when you consider how cheap those things are to produce. It should be illegal to charge that much for a stick.

[habernac]

Originally Posted by N-E-B

Pretty recently, but even when I was playing 7 or 8 years ago you were paying $270-$300 for the top end sticks. I was looking at sticks at PHL two days ago and Bauer is charging $339.99 for their top end model. Easton and CCM were also. It's ridiculous, especially when you consider how cheap those things are to produce. It should be illegal to charge that much for a stick.

Who are the suckers who are buying them?