Polaris Inc. · NYSE:PII
Polaris — Polaris Industries — Corporate Update (September 2004)
11 slides from Polaris's corporate update, Sep 2, 2004
Slide 1: Polaris Exits Marine Business Today
Polaris Exits Marine Business Today (September 2, 2004) Polaris announced that the Company plans to cease manufacturing marine products effective immediately. Form 8-K Exhibits From conference call September 2,2004
Slide 2: History of the industry and Polaris' marine division
Polaris Exits Marine Business History of the industry and Polaris’ marine division Polaris marine division began producing personal watercraft (PWC) in 1992 and selling sport boats in 2002 Decision to enter the PVC market in 1992 stemmed from a desire to further diversify the product line In 1996 th
Slide 3: History of the industry and Polaris' marine division, con't
Polaris Exits Marine Business History of the industry and Polaris' marine division, con't Sales of Polaris' marine division peaked in 1996 at $171 million dollars and steadily declined over the subsequent years In 2003, sales of Polaris marine division were $53.5 million, which represents only 3 per
Slide 4: Minimal impact on employment levels
Polaris Exits Marine Business Minimal impact on employment levels The decision to exit the marine business will have minimal impact on our employment level at our manufacturing facilities Current seasonally-shared PWC/ATV assembly line in Spirit Lake will be converted to assemble ATVs full time All
Slide 5: Positive impact on remaining business
Polaris Exits Marine Business Positive impact on remaining business The exiting of the marine business will allow the Company to focus resources on core products including ATVs, utility vehicles, snowmobiles, PG&A, Victory motorcycles and on expanding international operations Spent $7 million in new
Slide 6: Marine Dealer base will be supported
Polaris Exits Marine Business Marine Dealer base will be supported Less than 25 percent of North American Polaris dealers (fewer than 500) actively sell Polaris marine products today Polaris will continue to provide replacement parts, service and warranty to our dealers and customers Worldwide, appr
Slide 7: Loss on Disposal of Discontinued Operations
Polaris Exits Marine Business Loss on Disposal of Discontinued Operations The Company expects to record a loss on disposal of discontinued operations of approximately $36 million, or $24 million after tax, during the third quarter 2004 Represents a $0.53 per diluted share charge The loss includes ap
Slide 8: Dealer Assistance / Consumer Incentives
Polaris Exits Marine Business Dealer Assistance / Consumer Incentives A number of programs will be available to assist dealers in selling their remaining inventory including: Extended warranties for consumers Various rebates and dealer salesman incentives Special retail financing offers for consumer
Slide 9: Sales Guidance
Polaris Exits Marine Business Sales Guidance Percentage growth guidance for sales from continuing operations remains unchanged for the third quarter 2004 and full year 2004 Third quarter sales from continuing operations are expected to increase 5 to 8 percent over the comparable $444.4 million in th
Slide 10: Earnings Per Share Guidance
Polaris Exits Marine Business Earnings Per Share Guidance For the third quarter 2004, our guidance for earnings per share from continuing operations is $0.94 to $0.98 per diluted share This represents the separation from continuing operations of an anticipated loss of approximately $0.04 per share f
Slide 11: Exhibits
Polaris Exits Marine Business Exhibits Exhibit A Reclassified statements of income for the results of continuing operations for the year 2003 and first six months of 2004 by quarter Exhibit B Statements of income (loss) for the operations of the discontinued marine business for the year 2003 and fir
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