Well, I don't know but I would not be surprised. The day is coming when all production will be off shore. If Briggs is there already snap/Simp can't be far behind. Sad. - Kris

Briggs is in a dilemma because they are seen as a competitor by their best engine customers. They had an office at the Toro plant and were asked to remove it after the Murray take over.
Our market for high end OPE is flat and this may be part of the problem.The box stores seem to have the lion's share of the market.

This is from their most recent SEC filing on Form 10Q dated in May.

As disclosed in January of 2007, we continue to evaluate and make changes to our manufacturing footprint. Location, capacity, flexibility, product demand and costs are all factors that are considered to optimize our global manufacturing operations.

As a result of this effort, we decided in the third quarter to discontinue our operations in Rolla, Missouri and have recognized an impairment in the value of the fixed assets that we will not be able to use in our other manufacturing locations. Engine manufacturing performed in Rolla today will move to China and other domestic locations.

In addition, we continue to evaluate the future direction of our facilities that produce lawn and garden equipment. The potential asset write-down associated with a decision to close a facility would be in the range of $8 to $10 million. We believe that we will be in a position to make a decision by the end of the current fiscal year.

Well, they announced that the Port Washington plant WILL be closed. This is not the end of Simplicity, or Snapper or the AGCO/Massey lawn equipment. They will be built in the USA, probably in the Snapper plant in Georgia and the Ferris plant in New York. Here's what the press release said:

BRIGGS & STRATTON CORPORATION ANNOUNCES CLOSING OF
ITS PORT WASHINGTON, WISCONSIN FACILITY

MILWAUKEE, WISCONSIN Â June 22, 2007- Briggs & Stratton announced today that it would discontinue operations at its Port Washington, Wisconsin facility. The facility manufactures riding lawn mowers and snowthrowers for the outdoor power equipment industry. The Company will move production from its Port Washington location to other company-owned U.S. facilities.

"We cannot possibly describe to our employees or people in the Port Washington area how difficult this decision was for us," said Vince Shiely, President Briggs & Stratton Yard Power Products Group. "We appreciate all the help we have received from various government agencies including the City of Port Washington and Ozaukee County during this decision-making process. In the end, the issue was not whether we should invest more in this facility to make it competitive. The issue was that our business has excess manufacturing capacity and we concluded that folding the Port Washington production into our other operations was the most appropriate business decision."

The Company has notified District No. 10 of the International Association of Machinists and Aerospace Workers, AFL-CIOÂLocal 1430 that it will honor the work commitments required in the current agreement with the bargaining unit that runs through October 15, 2008. Products will continue to be built in the Port Washington facility through this date.

Approximately 325 employees at the Port Washington location will be affected. Shiely stated that the Company is working closely with employees to provide assistance benefits and outplacement services.

Am i the only one who can see why this happening? Is everybody blind to the fact that the company won't have to pay high union wages? Will they pay chinese workers the same wages? I don't think so!
I used to buy Ertl model toys, back when they were made in the US of A, but when they said they were going to be made outside of the US, i quit buying them! And now, ya can't seem to buy parts for our American made cars and trucks!
Is any American working? And, what are the jobs Americans won't take?
Well, i'm still using my American made tractors, my American made push mowers, etc. Hope they last until i'm gone! Then my kids can clean everything out, and scrap it, whereby the scrap will go to China, to be made into inferior tractors for the USA!

......as I write this on my cheap PC made in China.......

Such a shame to see this happen to a company that makes such nice stuff.

Don't read any more into this announcement than is there; nowhere is there any mention of taking any of this production offshore. Simplicity already builds some of their products at both the Ferris plant in New York (mostly the ZTR's) and the Snapper plant in Georgia.

Whether it was part of the purchase of the bankrupt Murray company or not (I'm not sure) apparently there's a HUGE unused production facility available to Briggs to move some of this production to. So, other than the tragic loss of jobs in Port (by Oct. 2008), the Simplicity, Snapper, AGCO and Massey Ferguson brands should remain as quality, USA-built tractors.

FJ

Thanks FJ, that's what I wanted to hear. The thing that worried me most is that there is NO mention of Simplicity/ Snapper, or Ferris on Brigss's web site. If I owned quality L&G Manufacturers like those, I would be telling the World about it. You'd think they would at least have a link to the Simp./Snapper/Ferris web sites, but no, at least none that I can find.
steve

When B&S aquired Murray didn't that include the huge Murray factory in Tennessee? AFAIK not much is going on there presently. Just thinking out loud.

I think that Hippy caused a stir when he said that Briggs would be the first to fade into the history books...

Just thinking out loud.

Sounds like Simplicity is getting closer to Walmart then Yardman is now.Maybe there will even be a Nascar deck dragger in the near future?

I wouldn't be surprised if Briggs' next move is to develop a cheap box store line of LTs for the Simplicity brand , after they kick out all the decently paid union workers in favor of lower cost U.S. and foreign labor . It's all about making more profit than the previous year with these big multi-national companies . Oh well , at least those buying Simplicitys now won't have to worry about buying another machine for a long , long time given their reliability .

From looking at the B&S financial statements filed with the SEC (I am a CPA) the company appears to be doing well enough and has adequate capital. It sounds like they are trying to maximize profitability.

So in other words Briggs is being excessively greedy at the expense of the american worker ? Why am I not sursprised ! Fire the loyal american workers to fatten the pockets of the stockholders , it's the american way these days !

Don't feel to sorry for us. It's just another case of big company looking to make the most they can. We went to Briggs and offered talk for consessions and the state of Wi showed up to see what the could offer them to help them stay in Port Washington. They declined every attempt. Briggs can't make engines how they gonna make a decent tractor? They have 450,000 or so recalled engines from 2000-07 because they can start on fire. So get your simplicty tractor now. I can say they are going to use thinner steel and really cheapon our products up and turn them into throw aways.

I've worked for AGCO/Allis Chalmers for 30+ years now. What's happened to Simplicity is going on everywhere. Thank our government and Corporate America for that. Briggs is going to dummy down and cheapen up as much as they can get away with. I see it in our equipment every day, with all the offshore outsourcing. I hate seeing another great name like Simplicity get turned into garbage. Remember when we used to refer to Japanese products as cheap junk?

Perhaps Briggs has paid attention to the plights of GM and Ford and doesn't wish to proceed down the same path? Let's face it, union labor is awfully expensive, and it isn't getting any cheaper. Maybe Briggs intends to cheapen the product, or maybe they intend to build the same machines using less expensive labor and make them more competitive price-wise. Frankly nobody here knows, unless they're in the upper echelon of Briggs management. If Briggs does decide to cheapen the product they will do so to the extent that the market allows them. IOW, if people simply rely on the Simplicity = Quality equation and don't do a thorough evaluation of the product, they will likely get away with cheapening the product for a long time.

MTD has owned Cub Cadet for what, 20+ years now? Does anyone truly believe that MTD is trying to pass off cheap junk under the CC badge rather than attempting to build a quality product at an affordable price? Some may, but I'm willing to bet that most would say otherwise. The Briggs folks may actually "get it" and do with Simp/Snap what MTD has with CC. Like canguy said, the market for high end OPE isn't really growing. So, if Briggs can build the same quality machine in TN as it can in WI, and pass that savings on to the consumer in return for a greater share of that stagnant market, it behooves them to do so.

People referred to Japanese products as "cheap junk" decades ago. Now a Japanese company is the biggest automaker in the world and Japanese makes are the quality benchmarks for all the other automakers. Are they infallible? Not by any stretch, but they're far from cheap junk.

It isn't the working man that is the cause of these plants moving off shore. It's time to put the blame where it belongs - corporate greed. The talking heads have been blaming the hourly wage earner for far too long.

The talking heads have been spouting off class warfare rhetoric like "corporate greed" for far too long. bogey123 alluded to the fact that Briggs is trying to maximize profitability. The ultimate goal of a business, any business, from behemoths like Microsoft and Wal-Mart, all the way down to the two person startup in the garage down the street, is to maximize profitability.

Dr. Thomas Sowell wrote a wonderful book called "Basic Economics". Many folks here (and elsewhere) would do well to pick up a copy.

My dad retired from Simplicity with 37 years of service. I currently have almost 9. Simplicity was and still was a great money makeing machine when Briggs bought us. It was a company that made a higher end product that you paid for what you got. Simplicity always made money and a lot of CEO's reeped the benifits. The employess reeped it only enough to stay and average 20 years of employment while the "big wigs" could reep it faster. Now when is enough, enough? You don't need to compete with the Big Box when you have a nich market on what you make and are proud of it. We were happy the way we were at Simplicity. Thanks to Briggs(I will include Rolla Missouri and many more others) They truley only thought of themselves and how to get more toys for all the big wigs. If you like the Simplicity tractors I can only Imagine what kind of junk they will produce in the future.
P.S. Hi Dave W. Go Garretssssssssssssssss

I am not going to get into a debate over shareholders vs employees but johnsinva is correct. A public company's primary duty is to its shareholders (owners) but it also has a duty to treat its employees with respect and fairness. If there is an issue with unjust enrichment on behalf of the executives then I can understand why some employees might be upset.

Didn't Simplicity used to be owned by a Private Equity Fund who sold the Company to B&S? If I am correct on this the employees should have seen the writing on the wall a long time ago.

I can't rell you how sad im makes me to know that so many good local jobs 20 minutes from my home are going away. The fine people that built simplicity products have my respect. I am hording many of their finest tractors and plan on keeping them alive as long as I am.

My last posting seems unclear with regards to Rolla. I feel bad for them also and all the others Briggs has affected with cutting their jobs. That is what I meant to mean.

johnsinva - If you think the brands like CC , Troybuilt , Bolens , Yardman , and the rest have the same quality as those made before the MTD takeover , then you may be the only person on the board or even the country who thinks that . Even Consumer Reports says the MTD brands have the highest repair rate . And I don't know where you're getting Japan from when Briggs is threatening to move engine production to China - big difference between quality from U.S./Japan compared to that of China .

No one has anything against maximizing profits , it's EXCESSIVE GREED that the common worker has a promblem with . Since Briggs has aquired Simplicity they have put a lesser engine in the Regent and raised prices across the rest of the model line and now the closure of their main manufacturing plant , a profitable one no less . Sometimes excessive greed combined with corporate mismanagement can kill a company when quality plummets like it did with McCulloch and their move to Mexico . Can't maximize profit when their is no profit or company !

The allusion to Japan had nothing to do with Briggs, only the implication that everything produced overseas is junk. Read the entire thread for context.

I made no mention of Troybuilt, Bolens, or Yardman in my post, so I'm not really certain why you've brought them up. As far as CC goes, an MTD built CC might not pass your muster, but I defy you to tell me that MTD has cheapened the machines with the CC name as they have those wearing Bolens and TB. Who else sells a shaft driven GT for $6K with hydraulics? Greed and mismanagement will kill just about anything, but don't you think it's just a tad early to start screaming mismanagement when the effects of these decisions on the product line have even yet to be seen? A lot of folks are reading things into this announcement that simply aren't there.

Since when does Cub sell their garden tractors in the box stores ? Big difference in quality between the two , the lower end box store CC LTs being among the highest for repairs according to CR . Yes it does remain to be seen what the long term effects on the Simplicity brand will be , but from what they have done in a few short years I wouldn't be too optimistic .

Hmm, this scenario and discussion sounds alot like what happened to the steel industry 25 years ago. You can thank Ronnie.

I've worked in manufacturing for the last 35 years, and the fact is- those jobs are going away. This country is rapidly becoming a two class society: low paid menial labor that can't be out-sourced, and very well paid execs who profit off of cheap labor both here and abroad. Even white collar jobs like engineering are being out-sourced. Scarier even then the disappearance of the middle class is the fact that China will soon have the lion's share of money, manufacturing knowledge, and manpower, and they DON'T LIKE US! If they ever make a try for world domination, how are we going to manufacture the weapons to defend ourselves? Everyone seems to have forgotten the huge war effort of WWII, when all the factories were converted over to the war effort. Can't do that if there ARE no factories, or skilled people to work in them. Hopefully, I'll be dead by then...

Just keeping this thread noticed

Well, I for one think the unions are what's driving the manufacturing offshore and not greedy execs. You simply cannot compete with global manufacturing anymore paying union wages and benefits. Sure it hurts those particular workers that get laid off, but it might be the only way to keep the company afloat.

aesanders,

You would agree to sweat shops also I would presume? I think you would like to see big execs get more and more. A couple of more nice homes on some lakes, maybe a few old cars to store. Maybe your a CEO yourself. I know I'm not greedy and have none of the above. I know I have to find a new job. You hiring?

Simplicityworker,

You sure do like to make stuff up it seems like. Where did you come up with half of what you said. All that I said is what I believe is the truth. Manufacturing in the U.S. just cannot compete paying high union wages and benefits. I'm far from being a CEO. Just an ordinary guy. I currently work for a technology manufactuing company myself, and use to work for a manufacturing company that made construction equipment. Neither are Union employers and both are leaders in their field. Both can compete price wise and quality wise with anyone.

I like Simplicity as much as anyone and own one. But their market is not really growing anymore with more and more people buying ZTR's. They are also priced on the high side. To compete and stay in business I beleive they most likely needed to cut costs. You could either cut the quality or cut labor costs. I think they decided to cut the labor costs. Many of the Simplicity products (like the ZTR's) were already produced at the Ferris plant anyway. Why not make the tractors there as well if they can reduce their labor costs. What's the harm? Maybe Briggs makes more money? That is what they are in business for I presume.

I'm sorry that you lost your job. I truely am. But thats business and it's nothing personnel. I was laid off too from a company cutting back. It was the first job I had out of college. I thought I'd work their my whole life, but it just wasn't meant to be. I've got nothing bad to say about them. They gave me a decent salary for several years, but they needed to make business decisions to keep them going.

Unions have very little pull today save for the teachers and other public employees unions . Most places closing or moving offshore today don't even have them , but they always make a good scapegoat for companies mismanaged into financial difficulty or excessive corporate greed for the ones that do . I once belonged to the Teamsters at one job and they did very little for the workers in ways of benefits or wages . They actually benefitted the company more by offering medical and dental benefits through the union .

Of the three places I used to work at that closed , one had a union and the other two didn't . Places close due to many different situations and circumstances , but it's ridiculous to only blame unions , especially in situations where company profits are high . The better companies offer job relocation to other production facilities for their most senior employees , hopefully Briggs will do right by the Port Washington employees and do the same .

I don't think teachers and public employee unions have that much pull. I don't know any "overpaid" teachers or public service employees.

Back in from my new career in full time landscaping - formerly a Mfg. Engineer with a ag. equipment manufacturer.
Folks you all got it backwards - It aint't the people that bought the company - It's the people that sold the company.
They took the money from the sale and invested it elsewhere. The people that bought it is just trying to make a profit from what is left -

So a company that makes mostly mediocre and disposable products bought a company that makes expensive high quality items. What did everyone expect would happen?

Mark me down as not surprised...

Briggs makes very good stuff. Sure they have some lower end products speced out for the Wally world buyers, but overal the engines are good.

machiem - Some kindergarten teachers here in NJ make 80k a year , cops average around 75k . The retiring police chief in my small township gets over 100k a year and is taking his last year off at full pay from accumilated sick days and retiring at 50 with a generous pension and fully paid health benefits . Maybe you make six figures or are a millionaire , but early retirement with great benefits sounds pretty darn good to me ! None of that if their unions didn't have any power .

nine7xbam,
Sounds like you need to become a kindergarten teacher (educator) or a cop (police officer).
I retired earlier than I expected (at 64 yrs with 27yrs+) at my last employer as a mfg. engineer. Now to old to obtain employement at that career, I switched to being my own employeer. Now I have a different freedom but still answer to whom is paying me. Maybe I should join a union, will they pay me? or would I still need to find someone else to pay me?

I'm not defending the public worker unions , just stating that they are one of the few left with any real power . NJ is 5 billion in debt and the pensions of public employees are a large part of that problem , not to mention contributing to the highest property taxes in the country . The wimp governor refuses to address the issue and actually once dated a union bigwig , giving her over 6 million from his personal fortune . He's as corrupt as politcians come , but NJ would vote in Charlie Manson if he were running as a democrat . Myself I'm about 14 years away from retirement and 6 years from moving to PA .