By Marilyn Odendahl, Truth Staff
modendahl@etruth.com
COBURG, Ore. -- Monaco Coach Corp. indicated Monday that the pending sale of its RV division could bring production and jobs back to communities in Oregon and Indiana.
The troubled recreational vehicle maker, which filed for bankruptcy March 5, has inked an agreement to sell the RV manufacturing assets to Navistar Inc. for $52 million.
Assets included in the sale are real estate, intellectual property, brand names, equipment and inventory. Monaco did not specify if the Indiana facilities it closed in Wakarusa, Nappanee, Milford and Warsaw are part of this transaction and noted "several industrial properties" have been excluded from the purchase.
Still, the company was optimistic about the implications of the agreement.
"We're extremely excited about...what it means to the communities where we are and our customers and our dealers that Navistar put this offer in and wants to continue Monaco Coach Corp.," said Craig Wanichek, Monaco spokesman.
The transaction is scheduled to be completed by June 1, although the bankruptcy court must approve the sale.
Navistar provided few details on what it plans to do with the RV division.
"There's nothing for us to announce because we don't own anything yet," said Roy Wiley, spokesman for Navistar.
The Warrenville, Ill., company records nearly $15 billion in annual sales as a manufacturer of commercial vehicles, military vehicles, diesel engines and related parts and services.
Since 2007, Navistar and Monaco have been joint partners in the Custom Chassis Products in Elkhart, Ind.
Wiley would not discuss Navistar's plans for the Monaco RV assets, noting he did not want to speculate. However, Wanichek sees the purchase as a sign Navistar will be expanding into new markets.
"I think they're buying the RV business to be in the RV business," Wanichek said. "They're not buying the plants for the real estate."
Not included in this sale is the Roadmaster Cargo Trailer operation, which has a plant in Goshen, Ind. Wanichek said that facility was not among assets that Navistar agreed to buy but others are interested in that part of Monaco's business.