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2015 Road Glide

2015 Road Glide

At the Harley-Davidson dealer show in Nashville…

Well I’m not, but a dealer contact is and I just received confirmation that Harley-Davidson will announce this new CVO model in the their 2015 line later this week.

Informed sources state the new 2015 models will all launch tomorrow.

We wait with baited breath!

Photo courtesy of H-D

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photos_large_5Don’t get your underwear wrapped around the axle with that title.

“Off the reservation” is a common phrase, which many people use without considering the context of its original meaning. Namely, that Native American peoples were restricted to reservations created by the U.S. government, and their freedom was severely limited by the terms of the treaties they were often forced to sign.

I’m using it in its literal sense (to deviate from what is expected) and as you might anticipate it’s a reference to Indian motorcycles rampant sales and intractable competition versus the Harley-Davidson Motor Company.

Harley-Davidson posted flat sales for Q2 2014, yet Indian/Polaris posted higher revenues for the second quarter 2014 at $1.01 billion, reflecting an increase of 20% over last year’s second quarter sales of $844.8 million.  Polaris stated that sales at its motorcycles division soared 107% year-over-year to $103.1M in large part due to strong demand for the new 2014 Indian motorcycles.  Clearly they have deviated from what was expected.  One could debate that given Polaris motorcycle revenue is much smaller than Harley’s, it’s easier for them to hit double digit growth numbers, but that would be down playing the strong demand for the Indian products.

Additionally, Harley-Davidson stated its share of the market for new heavyweight motorcycles with engines of 601 cubic centimeters or greater slipped to about 50% in Q2 2014 from 53% a year earlier.  Another indicator that competition is weighing on the company.

Financial calls with terms like ‘diluted earnings’ and ‘operating efficiencies’, don’t mean much to riders and it’s not like Harley-Davidson is hurting.  But, it’s good to see Indian doing well with North American retail sales up 15% year-over-year in the second quarter.

Congrats!

Full Disclosure:  I’ve got a riding buddy who traded his H-D Street Glide in on a new 2014 Indian back in January and loves it.  There is no dealer in Oregon yet and he went to the extra effort of buying it from a Seattle dealer.

Photo courtesy of Indian/Polaris.

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HOGchartHarley-Davidson announced it’s Q2 2014 financials, indicating that Q2 net income was $354.2M on consolidated revenue of $2.00B, compared to net income of $271.7M in the year-ago period on consolidated revenue of $1.79B.

Dealers worldwide sold 90,218 new motorcycles compared to 90,193 motorcycles in the year-ago quarter.  U.S. sales were flat/down as dealers sold 58,225 new Harley-Davidson motorcycles in the quarter, compared to sales of 58,241 motorcycles in the year-ago period.

Some interesting nuances from the analyst call:

  • Market share was down 2.6% on a year-over-year basis at 50.3%.
  • Management confirmed the Road Glide is coming back with the new 2015 product launch in August.
  • In the U.S. the Road Glide accounted for 10% of sales
  • There were self-inflicted wounds with the intro of the Street on Sportster sales which was down double-digit and compounded by lack of Street inventory.
  • Management stated Indian touring bikes have had little impact on Rushmore bikes which in the first half were up double-digits.  But, read this HERE which colors the picture a bit different.
  • The Street start-up issues are supply chain in nature and related to this being the first time H-D is manufacturing a product internationally.
  • H-D now expects to ship between 270K and 275K motorcycles worldwide which represents growth of approximately 3.5% to 5.5% versus prior year.

Despite the soft Q2 sales, H-D believes the demand fundamentals for the business remain intact and underlying growth trends are strong.  The industry has grown for three straight years coming into this year and there is more investment in the industry than Harley-Davidson management has seen in the last five years in terms of new products, marketing and advertising.

UPDATED: August 1, 2014 – Harley-Davidson officially reveals the 2015 Road Glide.

Photo courtesy of Edgar and H-D.

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why-we-ride-graphicWith so much of the country in the grip of a Polar Vortex and with no letup in colder temperatures in sight, it might be timely to remind ourselves of why we ride.

No, this isn’t another post about wind chill, hypothermia, frostbite, loss of traction in freezing weather or impaired judgment due to cooling effects.  Nor is it about old grizzled guys on motorcycles making an excursion across the country as the Discovery Channel would like us to believe as reality.

I’m talking about the warmth of a roaring fire, and pulling out your favorite refreshment from the fridge and watching an inspiring film about a real motorcycle community.  Motorcyclists who live each day to the fullest on their two-wheeled machines.

But, I’ve gotten ahead of myself.

why-rideLike many of you, I’m often ask why I ride? 

It’s a difficult thing to describe.  It’s about the camaraderie of the friends and families who ride together.  It’s about the uniqueness of the people you meet when riding is an adventure.  The connection to their stories and backgrounds.

I think riding depends on the context.  There are times when I feel good just standing next to my Harley or just looking at it because I just did something to it that I thought was a little bit different that spoke to me.  So, in that context I don’t even have to ride it to have a great experience. 

But, when I get out on the road obviously the nature of where I’m going colors the experience a little bit; riding in a city at night, riding in mountains in the morning, hugging a mountain pass road without guard rails or riding through a desert rain storm. 

I don’t know how best to describe it in words, but I like the energy of it.  I like just hitting the road as the wind washes over me and letting the stress of work bleed out.  There are a lot of dimensions in riding a motorcycle from the passion of the riders to the soul of their bikes and I’m sure that is what keeps so many people interested.

Why We Ride, is a documentary film that brings together the motorcycle community in a celebration of what it means to be a rider.  It’s a great film and now you can download it on iTunes or Amazon and enjoy all it has to offer this winter from the warmth of your home.   

There is nothing else like it.  In fact, this study suggests that riding a motorcycle will make you a happier person than the average!

Photo courtesy of Kretz Media Holdings, LLC

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Near Blackwell Hill

Near Blackwell Hill

Just 4 days into the New Year for the first motorcyclist arrest.

Patrick Whalen Parks, age 21 was taken into custody on I-5 at mile post 38 southbound on Blackwell Hill, just south of Gold Hill for reckless driving, driving while suspended—violation, driving uninsured and expired vehicle registration.

How’s that defiance thing working out for you Patrick?

Mr. Parks, who is from El Sobrante, CA and was taken into custody by OSP troopers, was riding a Suzuki motorcycle weaving in and out of traffic in a dangerous manner at over 100 MPH.  At one point passing vehicles on the inside median and almost caused a crash.

Even though motorcycling is a respectable form of recreation we continue to see isolated incidents each year by bad actors that generate negative press and mare the motorcycling image.

Photo courtesy of Google Maps

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2014 Electra Glide Ultra Limited

2014 Electra Glide Ultra Limited

“New? New is easy. Right is hard.” – Craig Federighi, Apple Sr. VP of Software Engineering.

Fresh back from the 110th  Anniversary celebration, where I spent some time on the factory floor, trying to get some spy photos and probing a number of the workers to talk about what’s behind that so-called RUSHMORE name.  Was it real or another marketing slogan by “Mr. Pontiac” himself… Mark-Hans Richer?

Cut away - 103 cu.in. Liquid-cooled Cylinder Heads

Cut away – 103 cu.in. Liquid-cooled Cylinder Heads and Radiator Fan

It turns out that Project Rushmore is a nod to the famous monument that also happens to be near the mother of all motorcycle rallies, Sturgis.

Basically it’s an overarching theme for Harley-Davidson’s internal quest to build a better motorcycle. And while the motor company always stated they took customer feedback and tried to make improvements, even the most casual observer could see that Harley-Davidson’s pace of innovation has been off.  Compounding the dribbles of innovation are two motorcycle trends that have been working against the motor company; the continuing rise of competition, most notably Indian/Victory, and the fall of prices that consumers are willing to pay for a premium motorcycle.

When the “great recession” hit, Harley was arrogant complacent with those easy customer conquests/sales that were financed by home equity and they missed how customers views were changing on premium motorcycles.  It was from this business duress that Harley-Davidson reworked internal processes and procedures while at the same time being forced to become a leaner organization that could work more efficiently at engineering and developing motorcycles.

CAUTION: Blogger about to enter the H-D factory floor...

CAUTION: Blogger about to enter the H-D factory floor…

Layoffs, renegotiated union contracts, temp labor, threats to shut down manufacturing sites, no more music on the factory floor, etc.,… the bad news seemed endless coming from the Milwaukee HQ.

But, the 110 year old company moved forward and internally the Project RUSHMORE name became a rallying cry and served two product goals;  quicker development time (rush) and deeper features (more).   After analyzing and reviewing  successful product development organizations across numerous industries, Harley-Davidson re-worked their engineering, marketing, styling, manufacturing, and supply chain management strategy, and successfully reduced their product development timeline from 5+ years down to just over 3 years.

Clearly the H-D executives, at best, passed off some illusory innovation prior to the 2014 model year!

However, today Project RUSHMORE is real and the results are tangible for motorcycle enthusiasts.  It’s focused on four key areas — Control, Feel, Style, and Infotainment.  The 2014 touring models received significant refinements to shortcomings that the owners have lamented about for years.  The tangible results are that H-D has encapsulated over 100 new features and incorporated over 2,400 new part numbers.  From more aerodynamic fairings and easier-to-use saddlebags to the availability of two Twin-Cooled engines that incorporate precision liquid-cooled cylinder heads.  

After seeing, sitting on and riding the new 2014 touring models it’s easy to state they have a lot to offer and props to H-D for rolling out tangible enhancements beyond the typical new paint scheme.

Photos courtesy of H-D.  Engine cut-away photo taken by author on Milwaukee factory tour.

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Shark Week III - Utah

Shark Week III – Utah

This blog post is a continuation from HERE.

The next day we decided to avoid the large group ride, instead to venture on our own ride.   We planned to do an approximately 300 mile loop to Bryce Canyon and Zion National Park.

Though one of the smallest of southern Utah’s national parks, it’s visually stunning, particularly at sunrise and sunset when an orange wash sets the rock formations ablaze.   There are steep trails that descend from the rim into the 1000ft amphitheaters of pastel color daggers, then continue through a maze of juniper trees in the high-mountain desert.

Zion National Park

Zion National Park

The high altitude meant cooler temperatures (80°F)  than in St. George.  And if we were looking for solitude on the road we wouldn’t find it out here.  The crowds and RV’s had arrived in force clogging the park’s main road as we watched ill prepared visitors explore the trails.

The Native Americans once called this colorful landscape of jumbled rocks and sedimentary canyons the Land of the Sleeping Rainbow and it was easy to see why when you snapped a photo.

'Glidin' Bryce Canyon

‘Glidin’ Bryce Canyon with Sandcastle-like Spires

We made a number of stops in the park and walked around for photo op’s and then made our way back to the entrance.

Prior to leaving the park we had a late lunch in the Cowboy’s Buffet and Steak Room.  Yeah, they had National Park prices, but it was quite tasty food.

Afterward we headed back through the park to St. George and the oppressive heat.

Bryce Canyon Panorama

At Bryce Point Overlooking Bryce Canyon – Panorama

The St. George’s forecast was Howard Beale-esque.  “We’re hot as hell, and we didn’t want to take it anymore!”  Apologies to actor Peter Finch’s rant as the “mad as hell” broadcaster from the 1976 film “Network,” but Utah was in a sizzling grip of triple-digit temperatures and we were getting sick of it!

Bryce Canyon

Bryce Canyon Hoodoos

It was the first time I could recall where I’ve been on a motorcycle ride and unable to sit outside during the evening.  At 11pm at night it was in the high 90’s.  We didn’t need to watch the news to understand there was a heat advisory.

We sat in the A/C room looking over maps and determining what direction or ride to take on the next day.

Tunnel Riding Toward Bryce Canyon

Tunnel Riding Toward Bryce Canyon

We had a member of the posse that attempted an “Iron Butt” ride.  He departed a couple days later than the main group on Tuesday, July 30th and was scheduled to arrive that evening from Portland, OR to St. George UT (approx. 1034 miles) in less than 24 hours ride.  He arrived around 9:30pm with all the documents and gas receipts in hand as well as a navigation unit with the stats to validate his ride.  Congrats and BIG props for that accomplishment!

"Big Ben" Completes Iron Butt - 1034 Miles!

“Ben” Does An Iron Butt – 1036 Miles Under 24 Hrs!

One of our riders (MC) had to split from the group and return home early for a friend’s wedding.   He planned to leave early the next morning and the remainder of our group had decided to ride out early to Las Vegas, stay overnight and then loop back north on Highway 95 and take a couple extra days for our return ride.

It’s very difficult to write/post the following…

More Bryce Canyon

The Land Of Sleeping Rainbows

We awoke early Wednesday (July 31st) morning to get a jump on the heat of the day.  We were just getting out of the showers and packing up the gear about 7:30am when the cell phone rang…

It was the sheriff and he stated that “MC” was hit by a car in the Bluff Street-Red Hills Parkway intersection.  This was about 3 miles from the hotel.  The person who got the call rushed up to the intersection.  The rest of us got there about 10-15 minutes later.  We arrived to see the paramedics working on him and prepping him for Life Flight.  Once the helicopter took off we helped clear debris and gather up some personal belongings.

Life Flight Takes MC

Life Flight Takes “MC” To Dixie Regional Medical Center

We talked to St. George Police Sgt. Craig Harding about the accident.  He stated that “MC” was traveling northbound on Bluff Street through the Red Cliffs Parkway intersection.  This is the last red light leaving town!  There is some disagreement by multiple eye witnesses whether “MC” was on a solid green or just changed to yellow light. While traveling through the intersection, “MC” was initially cut off by a southbound car making a left turn toward Red Hills Parkway.  Some witnesses reported that “MC” yelled at the first car before being hit in the side by a second car who had clearly run the light and was also making a left turn.   None of it mattered as the driver of the second car was cited for failure to yield to oncoming traffic.

The impact left “MC” with significant injuries to his left leg (multiple compound fractures).  He was in surgery for nearly 4 hours.  He has a broken collar bone, severely smashed ankle/foot, head trauma (3” gash around the left eye) and other miscellaneous cuts, scrapes and bruises to his arms and hands.  He was coherent at the accident scene and the reason why we got the phone call so fast.

"MC" Enjoying The NV Desert And Ride On Hwy 93

“MC” Enjoying The NV Desert And Ride On Hwy 93

It’s one thing to read and blog about motorcycle accidents, but quite different being there in person and knowing the rider.  The 4 mile ride to the hospital was very difficult.

In the trauma center doctors told us they were extremely concerned with the potential loss of his foot.  In fact, they prepped “MC” while in his pain medicated state about how he could lose the foot.  We all thanked God that he was alive and not paralyzed.  Dr. Clark told us following the accident in the trauma center…“The boot might have saved the foot… but, the helmet saved his life!”

We stayed at the trauma center for a couple of days until significant others arrived in St. George.   We then started our return ride home be it with some riding anxiety and shaken confidence.

The EMT’s, Life Flight personnel, the trauma doctors, and nursing staff all deserve a HUGE debt of gratitude.  Also a shout-out to Dr. Clark!  Yeah I know that a shout-out from this blogger is not nearly enough, but it’s a small start and I’m sure when “MC” is feeling better he’ll show them this post.  I also want to send a big shout-out to Mike aka “Shark Daddy.”  He rushed to the scene prior to the Life Flight arrival and helped in an immeasurable way by talking and holding onto “MC” as he was being worked on by the EMTs.

Lastly, I want to extend a special thank you and evangelize my appreciation and gratitude to the Shark Week organizers and attendees.  During the closing awards dinner the group passed a hat around and collected over a $1000 cash and presented it to “MC” in the hospital to help out with medical expenses.

Ron “Stray Mutt,” you and the group are absolutely awesome and I can’t begin to remember or list all the names of our new “best friends!”  Just know that we’re telling everyone about the groups generosity and kindness.

Final comment is to “MC”… get well buddy so that we can all ride another day!

Part 1 of this blog post is HERE.

UPDATE: August 13, 2013 – It’s been almost 2-weeks since MC’s accident.  All the prayers and outreach have helped because the news and trend on his recovery and foot/leg is positive each day.  Thank you!  He was recently transferred to an Acute Rehabilitation Unit where he is undergoing intensive physical therapy.  MC is in good spirits along with getting terrific support from his sig other (Sherry).  Both have an attitude to push forward and through the healing/rehab process and I’m sure we’ll continue to hear good news.  Yesterday he spent a couple hours in a hyperbaric chamber with enriched oxygen to increase blood flow and to help heal his foot. 

Unfortunately he is facing mounting medical expenses.  The driver of the automobile (using his girlfriend’s car) had minimal insurance coverage and MC is unemployed and under insured.  We’re looking into fund raisers to help, and appreciate everyone’s continued positive thoughts and prayers as we work on a plan to get him transported back to Oregon.

UPDATE: August 21, 2013 – MC was scheduled to be release from Acute Rehab today, but unfortunately he suffered a major heart attack while lying in bed this morning.  MC was rushed to the Dixie Regional Medical Center ER for emergency surgery.  He will be back in the ICU within a couple hours. Reports are that the angioplasty and stent placement surgery is going well.  Sadly, this is exactly where MC started out twenty-one days ago almost to the exact hour. The trauma doctors at Dixie are awesome and he’s in a good place if this was going to happen.

UPDATE: September 18, 2013Many are already aware of this, but in case you just landed on this blog post and didn’t know, you can now get updates or follow MC’s recovery progress HERE on Facebook or on his blog HERE.

Photos by author.

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