ERTL and various other series to be discontinued

[InjectTheVenom]

During December 2006, the Company made the decision to discontinue its Racing Champions®, JoyRide®, Ertl® and AMT® die-cast and model kit automotive collectible product lines that on a combined basis generated approximately $36 million in net sales in 2006 and approximately $60 million in net sales in 2005. Discontinuing the automotive collectible product lines is consistent with the Company’s strategy to focus on sustainable, organic growth and on allocating resources to its higher growth infant products and children’s toys categories.

Source: http://www.rc2corp.com/investor/financial/2007/Release_Prelim_Q4_06.pdf


This is NOT good news

 

[rcdice]

Wow. No more Ertl production? Never thought I'd see that. Just too much product in the market I guess. Damn corporate profits/bottom line/creating shareholder value stuff screwing it up for us collectors. Just business to them.

Should help the long term value of previous products I would think. Too bad, Ertl has made a lot of Vipers, ie. the NFL and MLB lines in recent years.

 

[Roadtrip]

Wow a 24 million dollar drop in a year!!!
That in itself, sent a message.

Bummer.

 

[DodgeViper01]

Wow, first UT, now this. WOW. The model car market is going to be controlled by only a few companies!