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Reply to "Mike Wolf to retire and close MTH"

More thoughts –

I would think Lionel would be interested the later MTH car molds due to the fact they can be converted to 2r.

Also, restore the Lion Scale – Weaver cars by acquiring the correct Weaver - Roller bearing and Bettendorph truck lines that MTH gets from the original supplier.

 The DCS, software and electronics piece of the pie is already planned and taken by the other MTH VP’s. Mike probably gave them that entity so they could carry on and reach their retirement eligibility time frame. Whoever buys the engine pieces will have to buy DCS from that new company group I suppose. Probably a good strategic move.

 I really don’t want Lionel getting into too many MTH items, their prices are too high and Quality issues have been a concern by consumers as well. The train selling market pricing has surpassed the average majority of consumers budget. The hobby has leaned more for the well to do. Suppliers can’t seem to establish a cost-effective way to bring it back in line. Unless you can do so, any acquisition in these times would be very risky.

On the other hand, Mike as I did with a former business knew when to say when. I hate to say it, I believe the writings on the wall folks. Let’s see where we all are in about three years after the smoke has settled.

 

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