(snip)"Harley-Davidson Inc.'s chief executive officer James Ziemer told attendees of the company's annual shareholders meeting Saturday morning that he "agonized" about the recent decision to cut the companyıs work force by about 730 employees.
"Excruciating is the word," Ziemer told a gathering of several hundred shareholders who attended the meeting at the Pfister Hotel in downtown Milwaukee. "Make no mistake, I agonized over this decision. In fact, it was one of the most difficult decisions I've ever had to make."
The Milwaukee-based motorcycle manufacturer announced April 17 that it planned cut motorcycle production and slash 370 hourly production workers and 360 non-production employees over the next several months as a result because the sluggish U.S. economy has slowed demand for the company's products.
"The erosion of consumer confidence in this country has lasted longer and runs deeper than most economists predicted," Ziemer told shareholders. "Very few businesses have escaped the impact and the entire motorcycle industry has been affected."
Ziemer said it's "undisputable" that the economic slowdown in the United States has affected retail sales for Harley-Davidson's dealers.
Harley plans to ship 23,000 to 27,000 fewer motorcycles in 2008 than in 2007, resulting in total planned 2008 shipments of between 303,500 and 307,500 units.
"Our decision to reduce our motorcycle shipments and our work force was driven by what our dealers have been experiencing at retail along with the continuing turmoil in the economy," Ziemer said. "I believe the actions we are taking are the right actions. We have an obligation to our dealers as well as all of our other stakeholders to manage Harley-Davidson for the long term and that's what we are doing in this situation."(snip)






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