Greg Gerber posted on June 25, 2008 18:15
ONTARIO, Calif. -- Weekend Warrior shut down one trailer line Tuesday and the rest of the company on Wednesday, according to dealers who carry their line.
An operator at Weekend Warrior denied that the company had shut its doors, but would only say there are some financial issues the company is dealing with. She said the company has not officially issued any notices regarding its intent to permanently close.
Mark Warmouth, president of Weekend Warrior, told dealers today that the company would shut its doors until July 7. Then, Warmouth hopes to reopen the company and build units on a limited basis of one or two a day.
(Editor's note: RV Industry News intially reported dealers as saying the company would be closed until Labor Day. Weeked Warrior President Mark Warmouth later said the company would reopen after the Independence Day holiday.)
Weekend Warrior's lending partners are actually forcing the company's hand, said one dealer who has spoken with Warmouth and is familiar with the situation. As the firm sold off its lot inventory to raise cash, it reduced the asset line backing up the company's credit line. As a result, the lenders grabbed Weekend Warrior's operating capital to bring the credit line in line with the company's assets. The action forced the temporary closure.
Several people have suggested the company is an acquisition target by several other RV manufacturers. More than one person has speculated the company has shut its doors so that it can be reorganized under a new owner.