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The following has just been received from one or our wholesalers:

 

12/10/12
Nolan Plastics, the manufacturer making Lionel 'Made in America' cars, has shut their doors and is seeking bankruptcy protection. The remaining orders look doubtful to be delivered. Heartland Hobby Wholesale will be contacting the bankruptcy judge and Lionel to see if there is a way to secure and finance the remaining production.

We will keep everyone posted. Do not discount your inventory on these items.  They have become instant collectors items.

Thank you,
Jim Harris
Heartland Hobby Wholesale


 

Richard
Brentwood Antiques
Last edited by Rich Melvin
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>>The following has just been received from one or our wholesalers:

12/10/12

Do not discount your inventory on these items.  They have become instant collectors items.<<<
 
LOL, They'll need to explain why these modern era boxcars will be desirable to collect when folks have shown little interest in the thousands of cars actually manufactured by Lionel in America, not for Lionel prior to 2001?
Don't think so...
Joe

Agreed it's a sales gimmick, but I can see one side of it as a collector.

 

WAAAYYYY down the line, there could be an interest in the time Lionel tried this experiment to make a few items in the USA again.  It starts with the Presidential cars (the secoond time around) and includes a few holiday cars for that year before the company that made them went out of business.

 

What would be the total number of different cars that would "complete" a collection of these?  Off the top of my head, I know the Presidents, the Charlie Brown cars (less the boxcar in the set), and several other cars (maybe 5 not previously mentioned?) from this year's Christmas catalog.

 

I'm guessing it's less than 15 cars to have a "complete" set of these cars.  (not that I'm trying for this, at least not now)

 

-Dave

 

Originally Posted by Rusty Traque:

Collectable, schmectable...

 

There's nothing saying that Lionel won't look for another US builder after the court releases their tooling.

 

Rusty


"Always in motion is the future...."

 

Could be that this gets tried again, but with the initial attempt that failed to work out and this one that was successful for maybe a year(with the manufacturing company ultimately filing for baknruptcy), I doubt there are tons of capable companies lining up to do this for an affordable cost. (basing this timeframe on when they probably formed the partnership up until now, actual release of items has probably all been over 4-5 months)

 

-Dave

Originally Posted by Dave45681:

Agreed it's a sales gimmick, but I can see one side of it as a collector.

 

WAAAYYYY down the line, there could be an interest in the time Lionel tried this experiment to make a few items in the USA again.  It starts with the Presidential cars (the secoond time around) and includes a few holiday cars for that year before the company that made them went out of business.

 

 

 

-Dave

 

I don't recall the "Made in Mexico" stuff being worth any more or less than the Made in USA stuff from the MPC era.

 

Under the wrappings, these things are still 6464 boxcars, the value is in the decoration.  Colletors collect the object, not where it was made.

 

I wouldn't bet my retirement on them.

 

Rusty

Originally Posted by Rusty Traque:
 

I don't recall the "Made in Mexico" stuff being worth any more or less than the Made in USA stuff from the MPC era.

 

Under the wrappings, these things are still 6464 boxcars, the value is in the decoration.  Colletors collect the object, not where it was made.

 

I wouldn't bet my retirement on them.

 

Rusty


I never said they would be more valuable, just a collectable subset.  There is a difference. 

>>>I don't recall the "Made in Mexico" stuff being worth any more or less than the Made in USA stuff from the MPC era.<<<

 

I suppose since up to now Lionel only delivered about half the order, those actually interested in the cars, not the speculation around it would do well to buy them now...Shows how difficult it is to restart American production and be competitive after its been offshored. With healhcare laws looming large, it's probably impossible.  

Joe

 

Originally Posted by Bill T:

I guess the project was not profitable enough to continue operations. Maybe Lionel may want to take a stab at it and see if they can do the manufacturing without the red ink.

I suspect Nolan Plastics had problems before signing the contract with Lionel.  The reasons for filing for bankruptcy don't happen overnight.

 

Rusty

Originally Posted by Bill T:

I suspect Nolan Plastics had problems before signing the contract with Lionel.  The reasons for filing for bankruptcy don't happen overnight.

 

Rusty

 

I would have thought that Lionel's lawyers would have done a complete financial on the company before signing a contract.

Yea, like that always works!!

Originally Posted by Bill T:

I suspect Nolan Plastics had problems before signing the contract with Lionel.  The reasons for filing for bankruptcy don't happen overnight.

 

Rusty

 

I would have thought that Lionel's lawyers would have done a complete financial on the company before signing a contract.

Due diligence isn't infallible.  Even in this so-called "information age" financial and operational data can be concealed, especially if the company is privately held.

 

I'm not accusing Nolan Plastics of cooking the books, just that they might have been having some problems before accepting the contract.

 

Rusty

LOL!

 

That second listing in Jerry's post is our local shop. We pulled what we thought was a ridiculous number out of the air as a joke for that listing when the news broke. Looks like we didn't make it ridiculous enough! Amazing - just like in the late 80s with some MPC items!

 

For those that might be tempted to treat toy trains like a commodities market again, check what happened to those peak 1980 prices over a very short time. 

 

Jim

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OGR Publishing, Inc., 1310 Eastside Centre Ct, Suite 6, Mountain Home, AR 72653
800-980-OGRR (6477)
www.ogaugerr.com

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