Pace American Auction

[Gordie Kissner]

Originally Posted by Stock726

Does this mean Pace is belly up?
That's news to me!

Here is more news on Pace Trailers and its possible rise from the ashes.

http://www.wsbt.com/news/wsbt-look-t...,5587844.story

[Myron Piatek]

This is/was being discussed in another thread:

http://classracer.com/classforum/showthread.php?t=35357

Basically, Look Trailers bought the name rights and such while the rest of the auctions are for much of Pace's equipment, hardware, etc. I spoke to a Look rep at the PRI show where they had one Pace Trailer. But basically they will continue as 2 seperate entities while reviving Pace and improving on the line.

It sounds like a good business/marketing move because of the recognition of the Pace name. They have a ways to go as Pace will be almost literally "rising from the ashes" and it's still in the very early stages. But they plan to bring it back even better than before.

[Greg Hill]

When I was up at Pace in the spring I talked to a lady in the office when I first got there and was arranging to have some work done on my trailer. I asked her how business was and she told me it was okay, but it was easy to read between the lines and that things weren't going so well. She also told me the original owners had sold Pace to an investment company a couple of years before and that things hadn't been the same since. The tough economy caused a lot of business to fail, however you would have to think a company like Pace could have made it with the original owners in place.

These investment firms go in and buy companies with borrowed money and unrealistic profit expectations and a lot of times end up failing. I have seen over the years a lot of well run family businesses sold to investor groups that didn't make it and I would bet Pace is just another one. More overhead with large interest payments and top management that is focused on short term profit is a recipe for failure.

[Lew Silverman]

These "investment" companies aren't any different then the other crooks on Wall Street. They buy and sell companies with no regard for the previous owner's and current employees, just to make a profit! . Hard to believe that a company like Pace, IF it was properly managed, couldn't have made it even in these bad economic times. Privately owned companies don't have to publish a balance sheet, so we may never know. I had never heard of the Look brand before, but from the website it appears it had manufacturing and distribution hubs in the same geographic locations as Pace.

Lew

[Tod Lane]

Originally Posted by Lew Silverman

These "investment" companies aren't any different then the other crooks on Wall Street. They buy and sell companies with no regard for the previous owner's and current employees, just to make a profit! . Hard to believe that a company like Pace, IF it was properly managed, couldn't have made it even in these bad economic times. Privately owned companies don't have to publish a balance sheet, so we may never know. I had never heard of the Look brand before, but from the website it appears it had manufacturing and distribution hubs in the same geographic locations as Pace.

Lew

That's what companies are for, making a profit, not the employees. There will be a replacement that might follow the original owners model.

[Lew Silverman]

Originally Posted by Tod Lane

That's what companies are for, making a profit, not the employees. There will be a replacement that might follow the original owners model.

That may be true, but I think part of our problem is that corporation's are more concerned with making a profit and less concerned with their employee's welfare. While profit is important, when employers take better care of their equipment than they do their employees, something is wrong.

Just my opinion.

Lew

[Greg Hill]

The problem with this deal, I would bet, is that with lower sales and higher overhead and big loan payments the investor group couldn't make it. When you don't owe a bunch of money it is easier to make it through hard times.