Recaro Bankrupcy

[Gaarath378]

Recaro Automotive division just declared bankrupcy, only a couple years after being bought buy a private investment firm (shocker). If you've been eyeing some recaro seats now may be the time to get them

[82eye]

of course. we gotta start hunting some of these assholes down. destroying a company is not an investment. clearly it was a plan. i'm literally stampy feet mad ..

[McGyver]

I doubt they'll go away. I'm guessing they'll restructure to avoid some debts and send production to cheaper places.

[82eye]

speculation is the investment company will sell off the assets creating a possibility of someone stepping in to buy the name and brand.

[Gaarath378]

speculation is the investment company will sell off the assets creating a possibility of someone stepping in to buy the name and brand.

Thats probably what will happen IMO, but I doubt material quality/comfort/safety will be the same as it was

[82eye]

Thats probably what will happen IMO, but I doubt material quality/comfort/safety will be the same as it was

there's a better explanation of what is going on here : Did Private Equity Push Recaro Into Bankruptcy? - The Autopian

[Vincenze]

I'm sure production can be outsourced to Mexico, Poland, etc.
Then, the Classic LS won't cost $3,000 for one seat.

[Gaarath378]

there's a better explanation of what is going on here : Did Private Equity Push Recaro Into Bankruptcy? - The Autopian

Interesting, that article to me makes it sound like they might focus more on the mass produced seats they sell to car manufacturers, if crash testing costs are the issue it doesnt make sense to continue to make, as they called "niche" seats for vintage/classic cars.

[varg]

While private equity does tend to run successful things into the ground for a quick buck quite often (look at red lobster), that autopia article doesn't really provide much detail. I could also see recaro's business fundamentals lacking. Race/track seats are a pretty small market with several competing companies and the street car seats like the classic are quite expensive. Not many people are going to drop $5,000+ for a different set of seats, if your stock seats suck more often than not used seats from another car are the solution. My favorite example of a brand with excellent recognition and a good product going bankrupt because the product was just too expensive for good sales volume and didn't offer enough for it is Mooney aircraft. I won't derail with details but speed and good looks weren't enough when the useful load and price lost out big time to competition.

[Vincenze]

Many German companies fold these days.

German politicians just started a war against Chinese cars. At the same time, China is the largest market for BMWs and Porsches. China will certainly retaliate against German car and auto component manufacturers.

[e30davie]

I'm sure production can be outsourced to Mexico, Poland, etc.
Then, the Classic LS won't cost $3,000 for one seat.

Yer i love the idea of new recaros but at the prices they want for brand new I don't know how anyone can justify them.

[82eye]

same type of thing is happening to bbs. they build a quality product and everyone goes and buys the knockoffs and accept lower quality and safety as the tradeoff.

[bangn]

this is a real shame, Id love a set of recaro's in the E30 however I just cant justify 9 thousand dollars for 2 seats. Might be part of the reason they're going bankrupt.

[Northern]

Many German companies fold these days.

German politicians just started a war against Chinese cars. At the same time, China is the largest market for BMWs and Porsches. China will certainly retaliate against German car and auto component manufacturers.

That would be fucking awesome. Maybe BMW will make cars that aren't fugly if the market driving that collapses.

[Gaarath378]

Maybe BMW will make cars that aren't fugly

Haha seriously, I love the new 2 series but everything else they sell right now makes me want to cry a little