Honda Otago to close

[Virago]

http://www.odt.co.nz/news/business/4...da-otago-close

"For a third time in seven days, a Dunedin business has succumbed to the recession, with the shareholders of Honda Otago placing the business in the hands of liquidators on Tuesday, with the loss of nine jobs.

Last weekend, property consultancy DTZ's Dunedin office was closed following a head office directive from London, with the loss of seven jobs, though it will be reopened as a new employee-owned company.

Last week, Carpet Court signalled it may lay off up to eight staff, following a 20% downturn in work during the past three months, but yesterday confirmed six redundancies.

Contacted yesterday, Dunedin liquidator Hudson Biggs, of Grant Thornton, said the proprietors of Otago Motorcycles Ltd, which traded as Honda Otago, placed the company in the hands of liquidators.

It was the authorised Honda dealership, he said.

Seven jobs plus the owners' two positions were lost.

Mr Biggs said the liquidators had only just begun making an inventory of stock and vehicles, and it was too early to estimate how much might be owed.

The first report is due in about a month.

Otago Motorcycles' directors and shareholders are Garry Clarke and Wayne Pocklington, of Dunedin, and Bruce Davidson, of Alexandra, Companies Office records say."

[scumdog]

Bummer.


We have a Honda dealership down here, I wonder how it will fare??

I would have thought a Honda dealership would have been fairly safe???

[merv]

Bummer.

I would have thought a Honda dealership would have been fairly safe???

That's probably what Wellington thought about its Holden Dealership too, but it struck trouble a month or two back.

[Burtha]

Dang. Wot a shame.

[robo555]

Does this mean cheap bikes at closing down sale?

[jim.cox]

I would have thought a Honda dealership would have been fairly safe???

Always thought it strange that Veitch's dropped the honda franchise

But this IS sad news

[vgcspares]

Losing a "you meet the nicest people on a" Honda dealership is no great loss, but they were a "bad boy" Triumph dealership as well ... what's wrong with Dunedin, aren't they buying bikes any longer ?

[Winston001]

Bummer.

I would have thought a Honda dealership would have been fairly safe???

I'm staggered that any Honda dealership would close. The Honda franchise has long been regarded a gold mine and a dealership used to be worth a lot of money.

How the mighty have fallen. Seemed a reasonable place to go into whenever I was passing, plus they have the Harley dealership as well.

Good businesses do fail - what happens is the owners get a bit overexcited in a good year, borrow heaps of money, and then use it for something else like property development or the building next door etc. If sales go down suddenly there is no cash flow to pay the bank. Bugger. But usually the business can be sold if the fundamentals are right.

Which suggests this business wasn't attractive to a buyer for some reason. Interesting.

[jim.cox]

I'm staggered that any Honda dealership would close. The Honda franchise has long been regarded a gold mine and a dealership used to be worth a lot of money.

How the mighty have fallen. Seemed a reasonable place to go into whenever I was passing, plus they have the Harley dealership as well.

Not Quite, Winston

Veitch's used to have the Honda (and Harley) franchise

They let Honda go - to pick up on Suzuki - something to do with service issues of the Honda farm quads was the rumour I heard

The current (now ex?) Honda dealers DO NOT have Harley

Its them thats fallen over - NOT "Meat & Vege"

[Warr]

Not Quite, Winston

Veitch's used to have the Honda (and Harley) franchise

They let Honda go - to pick up on Suzuki - something to do with service issues of the Honda farm quads was the rumour I heard

The current (now ex?) Honda dealers DO NOT have Harley

Its them thats fallen over - NOT "Meat & Vege"

What he said.
Boyds up here dropped Honda and took on Suzuki.

[fatzx10r]

that's not good, more job losses. i wonder who will pick up the honda franchise?

[JimO]

there isnt many options, MCR, Veiches or SPV

[Winston001]

Not Quite, Winston

Veitch's used to have the Honda (and Harley) franchise

They let Honda go - to pick up on Suzuki - something to do with service issues of the Honda farm quads was the rumour I heard

The current (now ex?) Honda dealers DO NOT have Harley

Its them thats fallen over - NOT "Meat & Vege"

My bad but now I'm confused. Had the distinct impression the Honda shop blended into Harley. Across from MCR but obviously not. That must be McIver and Veitch. Which used to be in Moray Place and Downtown Motorcycles had the Ducatis Laverdas etc in Princess St. Holland and Bell up Gt King St.

Don't think I ever visited Otago Honda.....and never will.

[xknuts]

Always thought it strange that Veitch's dropped the honda franchise...

They swapped for the biggest selling bike franchise in NZ, Suzuki !
I believe "Blue Star Honda" family are hard to deal with, but I could be wrong.

there isnt many options, MCR, Veiches or SPV

Damn shame really, esp losing the mechanical expertise for those who have Honda's & new Triumphs.

[AllanB]

Bummer - great guys - I purchased my Hornet new from them - and the GS1200ss I traded back to them to get the Hornet! Both were delivered to me in Christchurch free of charge.

A shame.

Honda have had a hefty price increase lately and apparently more to come - as wonderful as they are, if a Nakedphile like myself, had the dosh for a new bike the new CBR1000 Predator & Speed Triple are about the same dosh and the Hornet 600 is dearer than a Street Triple 675 ........ choice is good for the buyer, maybe not so good for the dealers.

Apparently there is a NEW Suzuki dealer starting up in Christchurch next month, service should be good - they are also a well know big brand car dealer....