Make no mistake about this. Atlas will be badly hurt by the closing of its main production facility because it affects the company’s N, HO and O scale line simultaneously. The cash flow problem alone might require some short-term financing, adding to Atlas’ burden.
Worse yet, Atlas recently purchased, or agreed to purchase, Walthers’ N scale locomotive line. The plant closing neutralizes Atlas’ ability to earn revenue from that investment.
It won’t be easy finding a production facility to fill all of its needs. And fast!
As for some of those comments about a lack of sympathy due to Atlas’ decision to manufacturer its trains elsewhere, think before you type. Atlas never made any locomotives domestically. It established that part of its business on the idea of working with credible, even exceptional, model makers (particularly Roco and Kato) internationally as far back as the 1970s and had a good Chinese partner in Sanda Kan before it all began to unravel in 2010.
I sympathize greatly with Atlas and hope it can weather this storm.
