For now, Harley wants to focus on North America, Europe and the Asia-Pacific region.
Harley-Davidson, a US motorcycle manufacturer, is leaving
India after working in the country for 11 years. This will cost them 75
million to restructure. The agency said in a statement.
Harley-Davidson said the company had agreed to additional restructuring action
on the global dealer network, international markets, sales and construction
shutdowns in India from August 8 this year. Harley announced two months
ago that they want to walk the path of making more focused and profitable
motorcycles as they capture the current market like the United
States. Earlier this year, they said they wanted to reduce their product portfolio
and exit the small market.
Of the 75 million restructuring cost they are expected to pay, 80 percent will
go to cash, including about 3 million in one-time pricing costs, about 5
million in non-current asset adjustment and termination of contracts, and about
other costs. They have to spend 67
million. Harley-Davidson estimates that their total reconstruction cost in
2020 will be 179 million. Of these, about 60 have been laid off in
India. Harley said they do not see a profit in this country, less than 5
percent of their total sales are sold in this country. Since then, the
company has suffered serious losses due to Corona. They want to complete
all the work related to this restructuring within the next 12 months. For
now, Harley wants to focus on North America, Europe and the Asia-Pacific
region.
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