West Marine Closing

[Jay Greer]

In a recient trade paper article, it was noted that West Marine will soon be closing 36 to 40 stores due to a decrease in sales over the last fiscal year.

Since most wooden boat owners are hard pressed to find much in the way of wooden boat essentials in their stores, the store closings are not expected to have much impact on the classic boat market. West Marine bought out US Boat several years ago and these may be the stores that are being eliminated. Certainly that is one way of eliminating competition!
JG

[donald branscom]

Good.

[rbgarr]

At the same time, they are experimenting with better service in other areas:

"West Marine Maritime Electronics is part of West Marine's Boat Services, which provides high quality, dependable, professional electronics installations for the boaters in select locations in California and Florida.* Its certified, professional technicians take the hassle out of installation and service requirements. West Marine's Boat Services goes through the installation procedure with the customer, provides an estimate, and upon authorization, professional installers perform the job, guaranteed for the life of the product."

[James River Rat]

Mine isn't closing. So far....

Said it was smaller volume stores or duplicate stores. Good!!!

Then I price matched them on a wash down pump. $140 down to $79....

Just trying to keep them honest.

Of course you save that much you buy a bunch of other stuff, so they still get your money.

As much as people complain about them, I have to say my boating experience wouldn't be as good without them. Not like Richmond VA has ANY other real boating stores around.

Ric

[Ken Hutchins]

They are actually opening more new stores as well.

[paladin]

Defender Industries and Jamestown distributors are cheaper and fast delivery and carry stock....:D

[nedL]

Oh, West Marine isn't just the result of the "US Boat" buyout. West marine also bought out "E&B marine", which had previously bought out "Goldberg Marine" and the old "James Bliss Marine" of Boston heritage.

[Spokaloo]

Hm, I use their price matching policy to great advantage. Just find the same product online, bring in the info, and poof, no shipping, stuff in hand when you leave for the same price.

E

[Sailman58]

It had to happen. There must be at least 6 West stores within 30 minutes of where I live.

Ron

[Donn]

A few snippets from their latest 10Q:

Net sales attributable to our Stores division increased $13.0 million to $235.8 million in the second quarter of 2006, a 5.8% increase compared to the second quarter of 2005, primarily due to new store openings, as well as higher sales in stores open for more than a year. Comparable store sales increased 2.3% in the second quarter of 2006 compared to the same period a year ago, mainly due to increases in sales of discretionary items, especially boating lifestyle products, as well as improved weather in the highly seasonal northeast, mid-Atlantic and Great Lakes areas throughout most of the second quarter, offset by the impact of heavy rainfall and flooding in the northeast and mid-Atlantic areas during the month of June. Wholesale (Port Supply) net sales through our distribution centers decreased $2.2 million, or 14.0%, to $13.4 million in the second quarter of 2006 compared with 2005, primarily because wholesale customers purchased more merchandise through our store locations, which are included in Stores sales. Direct Sales net sales increased $0.2 million, or 1.3% to $15.3 million in the second quarter of 2006 compared with 2005, primarily due to improvements in our Internet shopping website, offset by reduced sales from the Boat U.S.-branded catalog.

We opened 24 stores and closed 10 stores during the last six months of 2005, and opened seven stores and closed one store in the first six months of 2006.

On August 4, 2006, our board of directors approved management’s recommendation to close between 30 and 40 stores that management identified as having no reasonable expectation of significant positive cash flow over the near term.

Our research indicates that the U.S. boating industry could remain flat or perhaps decline slightly, at least in the near term. In addition, the boating supplies market is heavily influenced by uncontrollable external events, such as fuel prices, weather and other factors. In light of business trends and market characteristics, and in order to sustain an acceptable level of earnings and grow shareholder value over the long-term, we intend to close between 30 and 40 unprofitable stores and reduce operating expenses during the remainder of 2006.

[Ron Carter]

Apparently the store here in Ludington MI is on the block. Less than a year old. Not in a strip mall but across the street from the biggest marina in the area. Was an experiment which didn't pan out. Will miss them as Wal Mart is the next best marine store within 60 miles which tells you about the local market. Jamestown and Duckworks are my main suppliers anyway.

[Don Olney]

http://chart.finance.yahoo.com/c/2y/w/wmar

[Figment]

It had to happen. There must be at least 6 West stores within 30 minutes of where I live.

Ron

Same here. And a few have a "Boater's World" parked across the street.

[capt jake]

Interesting as I just received a Gand Opening sale ad in the mail today. Doesn't say where the new store is, but our local store is having a sale.

[Meadowlarker]

In Melbourne Florida they would price match but would include the shipping since you would have had to pay that too. Could I force them to honor prices and not include shipping?

[ken_nyus]

The nearest store to me, in Riverhead, closed about a month back. Have to drive farther now, and can't just go by to browse a little.

[Pernicious Atavist]

the new store is in orlando. the cognicenti at hq figured the s.e. stores should celebrate....whatever....

meadow...you can't 'force' anyone to do anything...they do it because they want to.

oh--in the interest of 'full disclosure,' i'm an asst. mngr for wm.

[Old Sailor]

Is Marshalls in Port Washington LI still in business?
Old Sailor

[Sea Smoke]

Several years ago, I sailed into SW Harbor, Maine and WM was getting ready to open a store there. Does anyone know if it survived?

[Pernicious Atavist]

it does (207) 244-0300

[High C]

Hurricane Katrina put about 5 feet of water in our West Marine store. They're not coming back.