GE Capital Provides Updated Outlook On Canadian Marine, RV and Motorsports Industries


GE Capital, Commercial Distribution Finance (CDF) today released its outlook for the Canadian recreational boating, motorsports and recreational vehicle industries. Thanks largely in part to business conducted in the west, wholesale levels in the marine segment increased by double digits through the end of May, compared to the same period in 2011.

Reflecting these higher order levels, the overall inventory of aluminum and fiberglass units has reached three-year highs. And, while inventory-aging levels are starting to increase across the country, they're still within an acceptable range, says GE.

"We know that dealers practice a delicate balancing act when it comes to stocking levels,' said Howard Shiebler, President and CEO of CDF in Canada. "We work with manufacturers and their dealer customers to help them make the most of Canada's short selling season to ensure that they have enough credit capacity to have the right product mix on hand. And of course we'll continue to share performance benchmarks and strategies on budget management to help dealers across the country be as productive as possible.'
 
The overall outlook for the RV and motorsports segments is also up. RV dealers increased their orders for new product, with inventory aged over one year representing just 16 percent of stock nationally. Despite product holdovers from snow-sport related vehicles that did not sell over the winter, the outlook for the motor sports industry also remains positive.

GE Capital, Commercial Distribution Finance provided nearly $32 billion in financing for more than 30,000 manufacturers, dealers and distributors across Canada and the US in 2011, including inventory and accounts receivable financing, asset-based lending, private label financing, collateral management and related financial products.