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Equipment Boards => Brunswick => Topic started by: milorafferty on July 17, 2014, 04:40:45 PM

Title: Brunswick is getting out of the Bowling business
Post by: milorafferty on July 17, 2014, 04:40:45 PM
http://amf.com/press-release-20140717 (http://amf.com/press-release-20140717)


http://www.bowlersjournal.com/?p=859...medium=twitter (http://www.bowlersjournal.com/?p=8591&utm_source=twitterfeed&utm_medium=twitter)



Bowling facilities, balls, shoes, everything it seems.
Title: Re: Brunswick is getting out of the Bowling business
Post by: Track_Fanatic on July 17, 2014, 05:16:17 PM
Here is a million dollar question that I'd like to find out the answer to.  For those who were lucky enough that have the covenant Lifetime Open Bowling from Brunswick, will it still be honored with the change?
Title: Re: Brunswick is getting out of the Bowling business
Post by: northface28 on July 17, 2014, 05:17:08 PM
The irony, a few people came from the local AMF to the local Brunswick and they were all notified that they will be relieved of their jobs. They can re-apply if they wish.
Title: Re: Brunswick is getting out of the Bowling business
Post by: northface28 on July 17, 2014, 05:19:57 PM
Where is BrunsNick when you need him?
Title: Re: Brunswick is getting out of the Bowling business
Post by: milorafferty on July 17, 2014, 05:33:31 PM

Received the following in an email from Luby Publishing.


Ignore the HTML tags, it was copy paste.





#820 - July 17, 2014

A Business-to-Business Report[/size][/font][/font][/color]

[/size][/font]Special breaking news from your friends at Bowlers Journal International.

Also check us out on the web at BowlersJournal.com. The Cyber Report is compiled by Jim Dressel. Please send news, tips or comments to:jrd33@earthlink.net. To ensure uninterrupted delivery of these business reports, add jrd33@earthlink.net to your "safe list."
Brunswick to Sell Retail Bowling Business to Bowlmor AMF
 
LAKE FOREST, Ill., July 17 - Brunswick Corporation today announced it has agreed to sell its Retail Bowling business to Bowlmor AMF for $270 million, contingent upon customary closing procedures. Brunswick anticipates completing this transaction in approximately 90 days.
 
In connection with its decision to sell its bowling centers, Brunswick also announced its intention to divest its Bowling Products business. Brunswick is targeting to complete that sales process by the end of 2014, during which time the company will continue to operate the business. Brunswick will retain its legacy and namesake Billiards business.
 
Brunswick stated that it had found the Bowlmor AMF offer, which was unsolicited, to be a unique opportunity to transfer ownership of this business at an attractive valuation. "Brunswick Retail Bowling has long been a solid contributor to our Company, and last year had approximately $187 million in sales. After careful consideration, however, we concluded that this transaction is in the best interests of our shareholders and the Retail Bowling business," explained Brunswick Chairman and CEO Dustan E. McCoy.
 
"The bowling industry has been evolving as center counts decline and the customer mix shifts from predominately league bowling to casual bowlers seeking an entertainment-oriented experience. For Brunswick to drive growth in this business, it would take continual development of new entertainment concepts and significant additional investment to implement these new concepts at new properties or to convert existing centers. We believe directing investments into select portions of our core Marine operations as well as our Fitness business provide better opportunities for greater returns. In 2013, the Marine and Fitness businesses together accounted for 92 percent of Brunswick's net revenues," McCoy continued.
 
"Conversely, Bowlmor AMF's primary strategic objective is to invest in and grow its retail bowling business, which includes proven entertainment concepts in certain of its centers. With the addition of the Brunswick locations, Bowlmor AMF will increase its center count to 343 in North America, and, will add some of the most dedicated and talented people in retail bowling.
 
"Finally, due to our exit from the Retail Bowling business, combined with similar market dynamics, we have retained Lazard to seek a suitable buyer for our Bowling Products business," McCoy concluded.
 
Brunswick stated its current plan assumes that the eventual purchaser will retain both the manufacturing operations and the talented workforce of Bowling Products. During the sale process, Bowling Products will maintain ongoing operations and conduct business-as-usual, while keeping its employees, distribution network and customer base informed of the sale's progress.
 
As a result of the Company's announced sale of its Retail Bowling business and its intention to sell its Bowling Products business, beginning with the third quarter of 2014, Brunswick will report the results of these businesses, which were previously reported in the Bowling & Billiards segment, as discontinued operations. In addition, the results of the Billiards business will be included in the Company's Fitness segment.
 
As a result of these divestitures and associated discontinued operations treatment, Brunswick estimates the dilution to EPS from continuing operations, on both a GAAP and as adjusted basis, to be approximately $0.20 per diluted share for the full-year 2014. Further, Brunswick estimates that for 2014, the free cash flow from continuing operations will be lower by $35 million to $40 million.
 
The Company continues to believe it can achieve the long-term financial targets included in its three-year plan. Therefore, the Company maintains its original base case target of $3.00 to $3.40 earnings per diluted share in 2016.
 
"Going forward, we anticipate net proceeds from both these divestitures and associated actions, which reflect our current estimates for
taxes (http://r20.rs6.net/tn.jsp?f=001ZCQ-7Wmc8DPSlxm69TR1JfZiKllzZ9g6NNnsA2CYyurou-fcXW8Ie71dajz1IknUKjDEmEW2DAoKYpibkNAJGQI458XQ1KqmORlf1or18FaYccqZpppJY-5BTAfq38PMGR1bkhoSyZsOW3NbRHkUpy7hXLhe_jhB81IZxc4Ai2GtzNLEV0nu8A7UXRit3OKGVR_mpcDXd7h5yqEeJgtGEg==&c=rJ7Ww9G1TjOeXbcqZlvpuERd8MCj3myW5JULN2eodkfX8lfgIiBjag==&ch=FDaIoaQcicsh9tUBIi9JvgooJ2SkmYgtuOfkbUKd3A3TfOI9kHi1xw==) and liabilities to be paid, to approximate $270 million to $290 million," McCoy explained. "We believe our best opportunity to increase shareholder value is to use these net proceeds to strengthen our Marine and Fitness segments. Further, we plan to consider the following: increasing the quarterly dividend, accelerating contributions to the Company's underfunded pension plans as part of our de-risking strategy, and establishing a share repurchase program.
 
"Our highest priority will be to target investment opportunities in segments such as marine parts and accessories along with those in Fitness. Brunswick already has completed one such investment by acquiring Whale, a leading marine parts and accessories provider, and we anticipate additional acquisition activity in this area."
Title: Re: Brunswick is getting out of the Bowling business
Post by: milorafferty on July 17, 2014, 05:38:16 PM
If Bowlmor is able to buy out Brunswick, it seems their bowling centers(and way of doing business) must be pretty darn successful.

That, or they have one hell of a big line of credit.
Title: Re: Brunswick is getting out of the Bowling business
Post by: Steven on July 17, 2014, 05:52:16 PM

For those who want some insight to AMF/Bowlmor's CEO Tom Shannon, here is the very short version:
 

And for those with a real attention span, the long version:



No matter how you slice it, the conclusion isn't pretty for Brunswick bowling centers.



Title: Re: Brunswick is getting out of the Bowling business
Post by: bradl on July 17, 2014, 06:18:57 PM

For those who want some insight to AMF/Bowlmor's CEO Tom Shannon, here is the very short version:
 

And for those with a real attention span, the long version:


Absolute idiot, this guy. complete, total idiot.

And in the 2nd clip, at the 3:00 mark, they are talking about the bowling alley in NYC.

I wonder why they totally omitted the fact that they closed their oldest bowling alley, also in NYC (http://hosted.ap.org/dynamic/stories/N/NY_HISTORIC_BOWLING_ALLEY_CLOSES_BAOL-?SITE=NYMID&SECTION=HOME&TEMPLATE=DEFAULT), after 76 years of being open.

this guy has no respect for the history of the sport, let alone those who put countless hours of their lives into a sport they love.

BL.
Title: Re: Brunswick is getting out of the Bowling business
Post by: Ratt_bowling on July 17, 2014, 06:20:27 PM
Seems like a good opportunity for Nike to get into the bowling equipment business.
Title: Re: Brunswick is getting out of the Bowling business
Post by: milorafferty on July 17, 2014, 06:22:57 PM
Seems like a good opportunity for Nike to get into the bowling equipment business.

I've always thought that as well. Shoes and other equipment for millions of bowlers. Seems like there should be a profit in there somewhere.
Title: Re: Brunswick is getting out of the Bowling business
Post by: bradl on July 17, 2014, 06:33:49 PM

Now that I think about it, this may prove Bowlmor's true mettle with the sport in this country.

Last year's USBC Masters was at Carolier in N. Brunswick last year. With that pretty much being the 'home' to Bohn and Petraglia, and as big as that tournament is, this change in ownership of the house will now have the PBA's eyes on it. If Bowlmor screws this up, they are going to lose a good chunk of their repeat customers, which are the league bowlers.

Speaking of Bohn, Petraglia, etc., I wonder how this will affect their Brunswick's regional and professional staffers? This may not bode well for them.

BL.
Title: Re: Brunswick is getting out of the Bowling business
Post by: kidlost2000 on July 17, 2014, 07:22:03 PM
I am a huge fan of Brunswick equipment. I've primarily used it since I started bowling as a teen in 1996.

It is a huge disappointment for sure. I will be looking at something else when they are finally done and under the AMF umbrella.

This also says something else to me about bowling. It is changing, has been changing for some time, and likely not for the better. There are more companies then the market can likely continue to sustain. The number of league bowlers is continuing a steady decline. Bowling centers will still continue closing. It is interesting and disappointing.
Title: Re: Brunswick is getting out of the Bowling business
Post by: itsallaboutme on July 17, 2014, 07:23:55 PM
Consumer products is so good Etonic was in pretty deep and got out.  Nike was in about 25 years ago and got out.  The last place a company like Nike is going to jump into is a dying game like bowling.

Tom Shannon must be able to sell ice to Eskimos if he got the investors to put up money for more bowling centers.
Title: Re: Brunswick is getting out of the Bowling business
Post by: nocarey on July 17, 2014, 07:46:28 PM
 :o shocking
Title: Re: Brunswick is getting out of the Bowling business
Post by: suhoney24 on July 17, 2014, 08:35:43 PM
so does this mean brunswick is done period? no more balls being made or products?
Title: Re: Brunswick is getting out of the Bowling business
Post by: kidlost2000 on July 17, 2014, 08:37:24 PM
According to the article they have hired a firm to buy their bowling products business as a whole. (products,personnel, ect)
Title: Re: Brunswick is getting out of the Bowling business
Post by: nocarey on July 17, 2014, 08:49:49 PM
I think Brunswick owned about 85 centers in the US
Title: Re: Brunswick is getting out of the Bowling business
Post by: northface28 on July 17, 2014, 08:52:46 PM
so does this mean brunswick is done period? no more balls being made or products?

Thats how I understood it, they are getting out of bowling completely.
Title: Re: Brunswick is getting out of the Bowling business
Post by: nocarey on July 17, 2014, 08:57:54 PM
the 30 second version. . .

What the CEO of Bowlmor thinks of league bowlers: http://youtu.be/DTuMd6O3rMc
Title: Re: Brunswick is getting out of the Bowling business
Post by: northface28 on July 17, 2014, 09:02:01 PM
the 30 second version. . .

What the CEO of Bowlmor thinks of league bowlers: http://youtu.be/DTuMd6O3rMc

Everytime I see that I can't help to think I cannot allow myself to spend money at an establishment this man owns and/or plays a part in.
Title: Re: Brunswick is getting out of the Bowling business
Post by: svengali on July 17, 2014, 10:10:02 PM
Brunswick getting out of the bowling business is like Coca-Cola getting out of the soft drink business. This is a sad day for bowling.
Title: Re: Brunswick is getting out of the Bowling business
Post by: St. Croix on July 17, 2014, 10:43:02 PM
I suffered through the entire 21 minute interview: cruel and unusual punishment at its worst. Bloomberg should have selected a person with at least some bowling knowledge to conduct the interview. Instead, they chose a complete Airhead who has a voice that sounded like the scraping of fingernails across a blackboard. What a moron! She said that bowling is experiencing " a major turnaround" and has "universal appeal." So much for her credibility.

Shannon could care less about the people who post on this forum: the league bowler. He is in the business of "manufacturing happiness." Shannon is going to spend a lot of $$$ turning bowling establishments into "entertainment centers." At 14:15, Shannon asked the critical question: "How much more is the customer willing to pay for that design?" The answer will be: a lot less than he thinks.
 
I am really worried. My favorite and primary house is Brunswick Fair Lawn Lanes. What will become of Brunswick Carolier Lanes where the Masters has played for the past several years? I am not sure that anybody knows the answers.
Title: Re: Brunswick is getting out of the Bowling business
Post by: Steven on July 17, 2014, 11:12:47 PM
The 11th Frame has a nice analysis of the purchase:
 
http://www.11thframe.com/news/article/6758
Title: Re: Brunswick is getting out of the Bowling business
Post by: St. Croix on July 17, 2014, 11:51:39 PM
The 11th Frame has a nice analysis of the purchase:
 
http://www.11thframe.com/news/article/6758

Steven, thanks for the link. It is hard to be optimistic that Shannon cares anything for the "serious" bowler. Did you see him attempt to bowl at the end of that interview? LOL
Title: Re: Brunswick is getting out of the Bowling business
Post by: tipgrinder on July 17, 2014, 11:59:10 PM
Well I guess that's it then.
First thing I need to do tomorrow morning is to call the Pro shop and cancel my order for a new IQ. I wish I would have believed the rumors that were swirling around my center ( Brunswick ) the last couple of weeks that this was in the works. I just bought my wife a new Hyroad for her birthday and she won't have anywhere to throw it.
I bowl in my Brunswick center 4 days a week. Three morning leagues and one day of practice. I bowl mornings because I work evenings. So, if our house follows the same hours of operation that the rest of the AMF houses in our area, my days of bowling are over.
I drive 7 miles to bowl in my center even though there is an AMF center less then 2 miles from my house.
Brunswicks staff consists mostly of friendly, Knowledgable bowling people and I've come to be very close to many of them. It is a sad day for them, a sad day for bowling and the end of my participation in a sport I love.
Title: Re: Brunswick is getting out of the Bowling business
Post by: Steven on July 18, 2014, 12:04:43 AM
St. Croix, you are a better man than me -- I couldn't stomach getting through the entire 21 minutes of that interview. Knowing he tried to bowl at the end is all the more reason for me pass on finishing it.  ;)
 
I've witnessed Bowlmor slowly destroy our local AMF center with their 'entertainment' concept. Most of the established leagues are fed up and looking to move elsewhere. It's sad given the proud history of the house.
 
I hope the Brunswick centers you referenced fair better. But I'm not hopeful.
Title: Re: Brunswick is getting out of the Bowling business
Post by: suhoney24 on July 18, 2014, 01:27:09 AM
so does this mean brunswick is done period? no more balls being made or products?

Thats how I understood it, they are getting out of bowling completely.
well that totally sucks....guess I'm going to have to bite the bullet and pick up a few Brunswick balls I was looking at before it's to late
Title: Re: Brunswick is getting out of the Bowling business
Post by: coach2500 on July 18, 2014, 01:44:04 AM
so brunswick will not make any more balls? and will this effect dv8 ? if so im going to have to go to a different ball company
Title: Re: Brunswick is getting out of the Bowling business
Post by: Perfect Approach Pro Shop on July 18, 2014, 07:53:54 AM
Hopefully it is a firm to bring pouring back to U.S. Bowling is slowly fading away and this does not help. We could use these jobs back.
Title: Re: Brunswick is getting out of the Bowling business
Post by: Ratt_bowling on July 18, 2014, 08:52:45 AM
I'm sure the plant will stay in Mexico, I'm no expert though.  Brunswick had to be making a bigger profit per ball because of the cheaper labor.  I believe they only recently, 10 years?, moved there too.  I could see where Nike, Adidas, Under Armour, or Warrior might be interested in broadening their offerings considering this is a global sport.  It should be relatively cheap to buy-in compared to other sports. 

I'm not sure what they would do with the lane equipment stuff though, maybe it will be sold to a different group like Murrey or Heddon.
Title: Re: Brunswick is getting out of the Bowling business
Post by: Mongo on July 18, 2014, 09:06:55 AM
The sad thing is that this just craps all over any excitement over Junior Golds pulling a ridiculous number of 2770 entrants.

Only bright spot is, like Richgels said, its gives the independent proprietor a huge chance.  Problem is, how many proprietors understand/want to deal with the opportunity that still lies with the sport of bowling.
Title: Re: Brunswick is getting out of the Bowling business
Post by: bradl on July 18, 2014, 01:10:58 PM
The sad thing is that this just craps all over any excitement over Junior Golds pulling a ridiculous number of 2770 entrants.

Only bright spot is, like Richgels said, its gives the independent proprietor a huge chance.  Problem is, how many proprietors understand/want to deal with the opportunity that still lies with the sport of bowling.

We definitely don't know the answer to that, but to be honest, the proprietors that would deal with it would do it simply for the love of the sport. It's pretty much public knowledge that Shannon is only in this to make money and if it takes destroying the sport to do it, so be it. But those that don't cater to his model (read: league/tournament bowlers) will want/need someplace to go, especially if they view quitting as not an option. That's where the independents will come in and keep that going.

Local story: Here in Sacramento, there are already 2 - 3 alleys that have Bowlmor's business model. Last year, one of those realized what was going on, and while keeping that same entertainment model (they also offer Laser Tag), offered to bring in every league that wanted to get out of Bowlmor houses, because they realized the importance of leagues and repeat customers. It's caused them to up and rethink their game. Any other independents may do the same and like Riggs said, may find themselves in a better position.

BL.
Title: Re: Brunswick is getting out of the Bowling business
Post by: milorafferty on July 18, 2014, 01:18:49 PM
The sad thing is that this just craps all over any excitement over Junior Golds pulling a ridiculous number of 2770 entrants.

Only bright spot is, like Richgels said, its gives the independent proprietor a huge chance.  Problem is, how many proprietors understand/want to deal with the opportunity that still lies with the sport of bowling.

We definitely don't know the answer to that, but to be honest, the proprietors that would deal with it would do it simply for the love of the sport. It's pretty much public knowledge that Shannon is only in this to make money and if it takes destroying the sport to do it, so be it. But those that don't cater to his model (read: league/tournament bowlers) will want/need someplace to go, especially if they view quitting as not an option. That's where the independents will come in and keep that going.

Local story: Here in Sacramento, there are already 2 - 3 alleys that have Bowlmor's business model. Last year, one of those realized what was going on, and while keeping that same entertainment model (they also offer Laser Tag), offered to bring in every league that wanted to get out of Bowlmor houses, because they realized the importance of leagues and repeat customers. It's caused them to up and rethink their game. Any other independents may do the same and like Riggs said, may find themselves in a better position.

BL.


Is that Strikes in Elk Grove?
Title: Re: Brunswick is getting out of the Bowling business
Post by: northface28 on July 18, 2014, 01:19:47 PM
The sad thing is that this just craps all over any excitement over Junior Golds pulling a ridiculous number of 2770 entrants.

Only bright spot is, like Richgels said, its gives the independent proprietor a huge chance.  Problem is, how many proprietors understand/want to deal with the opportunity that still lies with the sport of bowling.

We definitely don't know the answer to that, but to be honest, the proprietors that would deal with it would do it simply for the love of the sport. It's pretty much public knowledge that Shannon is only in this to make money and if it takes destroying the sport to do it, so be it. But those that don't cater to his model (read: league/tournament bowlers) will want/need someplace to go, especially if they view quitting as not an option. That's where the independents will come in and keep that going.

Local story: Here in Sacramento, there are already 2 - 3 alleys that have Bowlmor's business model. Last year, one of those realized what was going on, and while keeping that same entertainment model (they also offer Laser Tag), offered to bring in every league that wanted to get out of Bowlmor houses, because they realized the importance of leagues and repeat customers. It's caused them to up and rethink their game. Any other independents may do the same and like Riggs said, may find themselves in a better position.

BL.


Lose the emotion and think logically, please. Of course Shannon is in it to make to money, last I checked thats what business is about, making money. If bowling gets "destroyed" it won't be Shannons fault, bowling has been on the path for sometime and I could see that 12 years ago when I started bowling. I know you're upset, so am I, but take it easy.
Title: Re: Brunswick is getting out of the Bowling business
Post by: bradl on July 18, 2014, 01:34:57 PM
The sad thing is that this just craps all over any excitement over Junior Golds pulling a ridiculous number of 2770 entrants.

Only bright spot is, like Richgels said, its gives the independent proprietor a huge chance.  Problem is, how many proprietors understand/want to deal with the opportunity that still lies with the sport of bowling.

We definitely don't know the answer to that, but to be honest, the proprietors that would deal with it would do it simply for the love of the sport. It's pretty much public knowledge that Shannon is only in this to make money and if it takes destroying the sport to do it, so be it. But those that don't cater to his model (read: league/tournament bowlers) will want/need someplace to go, especially if they view quitting as not an option. That's where the independents will come in and keep that going.

Local story: Here in Sacramento, there are already 2 - 3 alleys that have Bowlmor's business model. Last year, one of those realized what was going on, and while keeping that same entertainment model (they also offer Laser Tag), offered to bring in every league that wanted to get out of Bowlmor houses, because they realized the importance of leagues and repeat customers. It's caused them to up and rethink their game. Any other independents may do the same and like Riggs said, may find themselves in a better position.

BL.


Is that Strikes in Elk Grove?

I was actually thinking Country Club. Though Strikes in Elk Grove and Rocklin were the other two I was thinking of.

BL.
Title: Re: Brunswick is getting out of the Bowling business
Post by: twocentsless on July 18, 2014, 01:37:01 PM
A little different perspective -- I've been a league bowler and a Brunswick ball customer for over four decades, but I know a lot more about the marine/recreational boating business, and if you think bowling has been on a decline, it is nothing compared to the drop in sales and profits of the boating market since 2006.  Brunswick/Mercury Marine is still the big dog in the industry but it is a much smaller dog than it used to be.  Sales in their cash cow product (inboard/sterndrives) is down over 80%.  Outboards are doing better but their boat companies suck -- Bayliner is no longer #1 (by a long shot) and Sea Ray (yacht sales are good, but family runabouts under 26' are dead). Not sure what Dusty is thinking, but the long term outlook for their recreational boating market isn't bright -- way too many governmental (EPA, CARB, E-85 gas, etc.) regulations heading this way, escalating raw material costs, new marine reserves being established restricting boaters, fishing restrictions, and the invasion of aquatic invasive species (zebra and quagga mussels) closing fresh water lakes to boaters isn't a pretty picture for the future.  Maybe bowling balls and bowling alleys don't look so bad afterall.
Title: Re: Brunswick is getting out of the Bowling business
Post by: milorafferty on July 18, 2014, 01:45:40 PM
The sad thing is that this just craps all over any excitement over Junior Golds pulling a ridiculous number of 2770 entrants.

Only bright spot is, like Richgels said, its gives the independent proprietor a huge chance.  Problem is, how many proprietors understand/want to deal with the opportunity that still lies with the sport of bowling.

We definitely don't know the answer to that, but to be honest, the proprietors that would deal with it would do it simply for the love of the sport. It's pretty much public knowledge that Shannon is only in this to make money and if it takes destroying the sport to do it, so be it. But those that don't cater to his model (read: league/tournament bowlers) will want/need someplace to go, especially if they view quitting as not an option. That's where the independents will come in and keep that going.

Local story: Here in Sacramento, there are already 2 - 3 alleys that have Bowlmor's business model. Last year, one of those realized what was going on, and while keeping that same entertainment model (they also offer Laser Tag), offered to bring in every league that wanted to get out of Bowlmor houses, because they realized the importance of leagues and repeat customers. It's caused them to up and rethink their game. Any other independents may do the same and like Riggs said, may find themselves in a better position.

BL.


Is that Strikes in Elk Grove?

I was actually thinking Country Club. Though Strikes in Elk Grove and Rocklin were the other two I was thinking of.

BL.


Ah ok. I always thought CC was an AMF house.
Title: Re: Brunswick is getting out of the Bowling business
Post by: Impending Doom on July 18, 2014, 02:23:27 PM
Bill @ Storm might be licking his chops over this...
Title: Re: Brunswick is getting out of the Bowling business
Post by: Good Times Good Times on July 18, 2014, 02:32:59 PM
Bill @ Storm might be licking his chops over this...

Perhaps it is just me......but it seems like they could do some type of promo or sale or SOMETHING that would market to Brunswick equipment users and get them switched over.  JMO.
Title: Re: Brunswick is getting out of the Bowling business
Post by: bradl on July 18, 2014, 02:36:14 PM
Bill @ Storm might be licking his chops over this...

Perhaps it is just me......but it seems like they could do some type of promo or sale or SOMETHING that would market to Brunswick equipment users and get them switched over.  JMO.

I would think every other ball company would want to do the same, especially being a little more than a month out from the start of the fall season.

BL.
Title: Re: Brunswick is getting out of the Bowling business
Post by: JustRico on July 18, 2014, 02:59:42 PM
BowlMor/AMF/Brunswick will consist of 350 centers which translates to less than 10% of the established bowling centers...so ya apparently the sky is falling.
Bowling is NOT broken...too many beat this horse to glue....there is no SPORT, it is a athletic competition...it is NOT a sport, a sport does have the outcome dictated by the playing field...it's the new cool catch-phrase to worry about the 'sport' of bowling...try worrying abt bowling as a whole...there's 70mil rec bowlers and 1.7mil sanctioned bowlers...who do you go after as a SMART business owner?
Too many have personal agendas of a game player years ago...it is NO longer 1975 or 85 for that matters...times change as do SMART businesses...AMF bankrupted 3 times...4 was not going to happen...get over yourselves or buy a bowl
Title: Re: Brunswick is getting out of the Bowling business
Post by: spencerwatts on July 18, 2014, 03:25:57 PM
Here's my situation: I was away from bowling for 18, nearly 19 years when I returned to it in January. Part of my goal in my return was to get my game back to where I would bowl PBA regionals and other scratch events. I feel I've gotten my game back to that level, and I'm now eyeing a few events this fall to shoot, if not sooner.

The PBA says we have to use product-registered stuff, which includes bowling balls. My older equipment is a Fab Blue Hammer, Fab Burgundy Hammer, a Track Sensor II, and a Columbia Pearl Gold Dot. But all of new pieces I've purchased -- 12 in all -- were Brunswick/Radical. So I'm now wondering what will happen in about a year or so? Let's say Brunswick doesn't find a buyer for its bowling ball manufacturing stuff. Are those of us who have gone the Brunswick route out of luck and will be forced at some point to buy Storm, Ebonite (Columbia, Track, Hammer) or Motiv stuff? Or because it was Brunswick, the PBA would make an exception?

As for Bowlmor's CEO, he's a bone head. But his mindset about bowling is par for the course when compared to the general populace.
Title: Re: Brunswick is getting out of the Bowling business
Post by: xrayjay on July 18, 2014, 03:46:19 PM
70 million rec bowlers vs. 1.7 million sanctioned bowlers......that's a no brain'r....

I'm pretty sure that some of these 70 million rec bowlers will join a league or two one day.

it does work. I did a fun night  about 1.5 yrs ago with the staff and one returned to leagues and she got her sons into bowling leagues too. because of my FB and my history with bowling since 84', my sisters and their adult kids started bowling 2 or 3 years ago. also relatives who started just rec bowling with friends and coworkers have joined a summer league. Lastly, my brother in law is moving to norcal. He wants to start bowling again after 20 years away.....

so do your part to promote bowling, rec or leagues....

(how do you think I got rid of a lot of my old stuff lol)



Title: Re: Brunswick is getting out of the Bowling business
Post by: Impending Doom on July 18, 2014, 03:47:17 PM
Someone will buy Brunswick. There is no doubt.
Title: Re: Brunswick is getting out of the Bowling business
Post by: tuckinfenpin on July 18, 2014, 03:53:55 PM
Spencerwatts - I would not be concerned, especially at this time. It's way too early and too many speculations from people who are not in the know.

About your current equipment: I do not know if the USBC has ever "unapproved" a ball. I think once a ball is approved and manufactured within those guidelines it is good to use. I certain someone will chime in to tell me how wrong I am with this statement.
Title: Re: Brunswick is getting out of the Bowling business
Post by: batbowler on July 18, 2014, 06:17:15 PM
I was told they are being sold and there is a buyer for the bowling products side of the business!
Title: Re: Brunswick is getting out of the Bowling business
Post by: JustRico on July 18, 2014, 06:33:35 PM
Of course you were
Title: Re: Brunswick is getting out of the Bowling business
Post by: northface28 on July 18, 2014, 07:55:39 PM
I was told they are being sold and there is a buyer for the bowling products side of the business!

Id refrain from speculating unless you have hard evidence, in the other thread you stated that Brunswick "bailed out" Radical until newguy had to come and correct you.
Title: Re: Brunswick is getting out of the Bowling business
Post by: JustRico on July 18, 2014, 07:58:31 PM
They are publicly traded that would be considered insider trading as well
Title: Re: Brunswick is getting out of the Bowling business
Post by: 12XSECH on July 18, 2014, 09:24:13 PM
Brunswickis out of the bowling business...centers ....balls...everything
Title: Re: Brunswick is getting out of the Bowling business
Post by: batbowler on July 18, 2014, 11:56:52 PM
Brunswick Corporation

Announced agreement to sell its retail bowling centers to Bowlmor AMF for $270 million. Anticipate completing transaction in approximately 90 days

Decision to exit the bowling products business - - sales process has commenced, with target completion by year-end

Anticipate net proceeds from both divestitures and associated actions to approximate $270 million to $290 million

Billiards business to remain part of Company

Certain restated financial information attached to today’s news release
4 July 2014
Summary of Bowling & Billiards Segment Announcement
Title: Re: Brunswick is getting out of the Bowling business
Post by: Mongo on July 19, 2014, 06:25:42 AM
Wonder about the products division?  Go to the source.

Quote from: Mo Pinel
The information I've been told is to continue business as usual. Don't cut back on R & D or product development. We had a great 1st half of the year. The bowling division is just for sale and they have some suitors. Our brand, Radical, is a positive part of the consumer products dividion of Brunswick.

Full speed ahead. The glass is half full.
Title: Re: Brunswick is getting out of the Bowling business
Post by: JustRico on July 19, 2014, 06:26:47 AM
That says NOTHING about a buyer being in place
Title: Re: Brunswick is getting out of the Bowling business
Post by: Mongo on July 19, 2014, 06:30:53 AM
Overall, this is just a bump in the road.  I'm more concerned about the products side than I am the 85 Brunswick centers.

Brunswick/DV8/Radical is as good as anything out there.  Despite Storm's constant PR campaign, they have some real competition.  I just hope someone purchases the products division and keeps the same R&D group.  I would hate to see the momentum they've built over the last 3-4 years get flushed down the toilet.
Title: Re: Brunswick is getting out of the Bowling business
Post by: nocarey on July 19, 2014, 08:03:04 AM
more spin. . .
http://youtu.be/CfJAeXdMUWc
Title: Re: Brunswick is getting out of the Bowling business
Post by: Steven on July 19, 2014, 08:28:46 AM
more spin. . .
http://youtu.be/CfJAeXdMUWc (http://youtu.be/CfJAeXdMUWc)

I don't know. I've been through a few major corporate buyout/restructures during my career, and that kind of communication to affected employees is usually welcome, especially when it comes so early in the process.
 
Sure, there are all kinds of 'Sunshine and Lollipops' in that video. And who knows how much if they'll carry through on. For the benefit of bowling as a whole, let's hope they're successful.
Title: Re: Brunswick is getting out of the Bowling business
Post by: St. Croix on July 19, 2014, 08:44:44 AM
more spin. . .
http://youtube/CfJAeXdMUWc

Thanks for the link.

Brunswick Fair Lawn Lanes is a very well run establishment which has been part of the community for 40 + years. You will find courteous staff, a clean environment, and good equipment including overhead monitors that are actually easy to operate. The management has provided a nice mix of "entertainment" and league bowling for the "serious" bowler. There is "cosmic bowling" on weekends and on most summer nights together with an arcade area.

This house ain't broke, so it does not need a fix. Mr. Shannon can best serve the staff at Brunswick Fair Lawn Lanes and the public by leaving the establishment alone.
Title: Re: Brunswick is getting out of the Bowling business
Post by: nocarey on July 19, 2014, 09:45:58 AM
I know AMF has been gutted in the Midwest the past 15 years.  I just hope they decide to take bowling seriuosly.  It's not an arcade game.  Peoples lives depend on it.
Title: Re: Brunswick is getting out of the Bowling business
Post by: Mongo on July 19, 2014, 11:44:20 AM
Says that they're going to keep the Brunswick name and run them separately. 

Possibly run Brunswick as the competitive side and AMF as cosmic land? 
Title: Re: Brunswick is getting out of the Bowling business
Post by: charlest on July 19, 2014, 03:15:53 PM
more spin. . .
http://youtube/CfJAeXdMUWc

Thanks for the link.

Brunswick Fair Lawn Lanes is a very well run establishment which has been part of the community for 40 + years. You will find courteous staff, a clean environment, and good equipment including overhead monitors that are actually easy to operate. The management has provided a nice mix of "entertainment" and league bowling for the "serious" bowler. There is "cosmic bowling" on weekends and on most summer nights together with an arcade area.

This house ain't broke, so it does not need a fix. Mr. Shannon can best serve the staff at Brunswick Fair Lawn Lanes and the public by leaving the establishment alone.

From your mouth to God's ear!!
I wish you luck; I pray he leaves Carolier alone also. I really do PRAY!!
Title: Re: Brunswick is getting out of the Bowling business
Post by: Ratt_bowling on July 19, 2014, 09:07:43 PM
Might be interesting if ABS bought them and started releasing some of their Japanese recipes here.
Title: Re: Brunswick is getting out of the Bowling business
Post by: Balldoctor on July 20, 2014, 07:40:31 PM
Hoping for the best for my Friends that work for Brunswick in the ball and capitol equipment side.
 
Title: Re: Brunswick is getting out of the Bowling business
Post by: Jorge300 on July 21, 2014, 10:05:29 AM
This would be a very welcome idea to a lot of bowlers, and center employees. It makes some sense. I have to think that Mr. Shannon knows what is said about him and his company. I am sure they know that many serious bowlers are upset with the changes they have made at centers. This may give them an opportunity to appease these folk.

Obviously, the Bowlmor concept works though, otherwise they wouldn't have had the ability to make this deal. Even if most of the cash comes from loans, the lending establishments must see it as profitable in order to fund this venture. We will have to wait and see I guess.


Says that they're going to keep the Brunswick name and run them separately. 

Possibly run Brunswick as the competitive side and AMF as cosmic land? 
Title: Re: Brunswick is getting out of the Bowling business
Post by: St. Croix on July 21, 2014, 11:13:26 AM
This would be a very welcome idea to a lot of bowlers, and center employees. It makes some sense. I have to think that Mr. Shannon knows what is said about him and his company. I am sure they know that many serious bowlers are upset with the changes they have made at centers. This may give them an opportunity to appease these folk.

Obviously, the Bowlmor concept works though, otherwise they wouldn't have had the ability to make this deal. Even if most of the cash comes from loans, the lending establishments must see it as profitable in order to fund this venture. We will have to wait and see I guess.


Says that they're going to keep the Brunswick name and run them separately. 

Possibly run Brunswick as the competitive side and AMF as cosmic land? 

Jorge, good advice. On the day after the Brunswick announcement, I spoke with the manager (Judy) of Brunswick Fair Lawn Lanes. A Bowlmor representative told her that there would be "no changes for a year" and that there probably would be "no changes" at all.

I am not buying the "no changes" statement, but we have to wait and see. If Bowlmor carefully evaluates each establishment and implements its plan on a house-by-house basis, well run facilities like Fair Lawn Lanes and Carolier Lanes should be OK. If not, Charlest, several other posters on Ball Reviews, and I will be league bowling in different places in the future.
Title: Re: Brunswick is getting out of the Bowling business
Post by: Steven on July 21, 2014, 11:42:59 AM

Jorge, good advice. On the day after the Brunswick announcement, I spoke with the manager (Judy) of Brunswick Fair Lawn Lanes. A Bowlmor representative told her that there would be "no changes for a year" and that there probably would be "no changes" at all.

I am not buying the "no changes" statement, but we have to wait and see. If Bowlmor carefully evaluates each establishment and implements its plan on a house-by-house basis, well run facilities like Fair Lawn Lanes and Carolier Lanes should be OK. If not, Charlest, several other posters on Ball Reviews, and I will be league bowling in different places in the future.

With buyouts, 'wait and see' is always the operative phrase. But you're wise to be wary of the 'no changes' statement. Companies rarely pay top dollar to buy others with the intent of leaving everything as-is. They're either looking for economies of scale by eliminating overlap (management, service, product), or an opportunity to expand the reach of their strategic vision. After watching the full length video of Tom Shannon, I'm guessing it's mostly the later.
 
He appears to be a smart dude who's able to learn from his AMF mistakes. Here's to hoping he sees more value in achieving a healthier balance between recreational and league bowling.
Title: Re: Brunswick is getting out of the Bowling business
Post by: St. Croix on July 21, 2014, 01:44:29 PM
Steven, I do think that there will be no changes at our local facilities for 6-12 months mainly because Shannon cannot do everything at once. It is the statement of "no changes at all" that I do not believe. I agree with you; Shannon's group would not have spent the $$$ to maintain the status quo.

I hope that Bowlmor tries to maintain the balance that you described. The USBC Masters Tournament has been at Brunswick Carolier Lanes for at least the last 2 years. I attended the Tournament both years and really enjoyed watching the event. I hope that Carolier Lanes will continue to host The Masters for many years.
Title: Re: Brunswick is getting out of the Bowling business
Post by: JustRico on July 21, 2014, 01:47:32 PM
The status quo for that div was a money maker...it was the primary reason the remainder of the div stayed afloat...it was a cash cow and still is...thus if he's smart he doesn't make any huge changes or he break something that doesn't need to be fixed...plain & simple
The remaining div are a different story tho
Title: Re: Brunswick is getting out of the Bowling business
Post by: itsallaboutme on July 21, 2014, 02:20:30 PM
Gee, is someone with former inside knowledge saying that making and selling bowling balls isn't as lucrative as some here would want to believe?
Title: Re: Brunswick is getting out of the Bowling business
Post by: JustRico on July 21, 2014, 04:31:56 PM
Don't know what you mean...
Title: Re: Brunswick is getting out of the Bowling business
Post by: bradl on July 21, 2014, 04:46:32 PM
This house ain't broke, so it does not need a fix. Mr. Shannon can best serve the staff at Brunswick Fair Lawn Lanes and the public by leaving the establishment bowling alone.

Fixed that for you.

BL.
Title: Re: Brunswick is getting out of the Bowling business
Post by: JustRico on July 21, 2014, 05:05:25 PM
What continues to crack me up is the mentality that Bowl/AMFWick is hurting bowling when the amount of centers owned is less than 10% of centers in North America....bowling is NOT broken...it's the mentality of certain bowlers that make it seem that it is
Title: Re: Brunswick is getting out of the Bowling business
Post by: spmcgivern on July 22, 2014, 09:58:53 AM
What continues to crack me up is the mentality that Bowl/AMFWick is hurting bowling when the amount of centers owned is less than 10% of centers in North America....bowling is NOT broken...it's the mentality of certain bowlers that make it seem that it is

I keep saying this to bowlers.  AMF/Bowlmor owns 343 centers now.  There are around 4800 centers in the nation (just over 7%).  If bowlers want competitive bowling to be successful, then they need to take ownership of that goal.  You don't have to have the answer to the national bowling problem.  Start with local and see what happens.

We have bowlers here in Houston all up in arms about AMF/Bowlmor buying these centers and you know what, there isn't a single Brunswick center here.  Go figure.