FarmTrac Troubles

[redneckford]

tommybr----you have not seen a major loss----just keep playing their game and see who has all the marbles after the hammer comes down. $50,000.00 loss today is better than losing it all. Take the offers and send the iou's to textron----the longer you holdem the harder it becomes to foldem. They are playing hard ball poker and they can not give until they are pushed. I firmly believe that Textron as a company fully understands the situation but are powerless to be able to do something cause they have to answer to the "stock" holders. Sell the darn tractors for what they are worth "today" send the money to textron and take your chances in court "your local court" with litigation from Textron. Do you really think they will spend good money after bad and go after a poor struggling tractor dealer on their home court and have "all" the facts brought into evidence for all the world to see. They will be calling wanting to borrow my pots to cook some employee's alive cause they know they can't lie under oath everything else is fair game!!!

 

[bluechip]

These tractors are selling, they are a bargain and it is not necessary that they go to half price to sell. I have sold 3 of the 8 I had when this started. Yes I lost money but not near what would happen at half price. Textron is supplying a warranty through their insurance company. I feel confident parts will be available. The Factory is still in production and in fact doing well worldwide. The importer went under. Similar things have happened with TYM, KUJE, and I cant tell you how many Jinma, KAMA and other chinese importers have come and gone. I'd hate for you to miss out on a great deal on a tractor while you wait to get one for half price. That said there are dealers who refuse to sell or cannot afford to take the loss necessary to move the tractors. these units could end up being repossessed by the floor plan company eventually. I would expect if they sell for 50c on the dollar, they will be sold to dealers and once the dealers add some profit... no more half price tractors. This is just how I see it. If you need a tractor, and like the LS or Ford designs. now may well be the BEST time to get a deal. Once the parts shelves are full again, and dealers are offering parts and service as normal, there will not be a reason to take less. Keep in mind these were imported prior to the big drops in the USD over foreign currencies so in that aspect alone, they offer a great savings....

 

[case1570]

The used iron jockeys are already starting to pick the units up. They know the prices will and are coming back. Should these dealers sell for less and risk more. Wait to long and buy from the jockeys for dealer net, and with no support. Help the dealers, don't be to greedy, yes GREEDY for that 1/2 price tractor or you may be without the great tractor you want.
Case

 

[Suburban600]

I visited Agricredit.com to get some pricing ideas for used tractors.Here is an 86 hour 2006 Farmtrac 555 with a 5320 loader in TX ... buy it now for a bit over $9000. The starting bid is $6K.

Here is another with 286 hours on it located in VA.

There are no bids on either tractor.

Oh yea, I'm a Farmtrac 60 owner. Here is a link to a video of my tractor being driven around by my Son and his buddy during a recent visit. All the clearing back to the house was done with a chainsaw and my tractor, along with a small pond and a little road work.

I've used my tractor in some pretty rough conditions and it has never let me down. The only real problem I have had is the left side steering arm loosening on the left front axle. I just keep tightening it up. 360 +/- hours on the tractor, full set of manuals and self maintained IAW maintenance schedules.

Looks like someone will be getting a good deal.

 

[Dargo]

I went there and looked at all of the tractors they have listed "for sale". I don't think they plan on selling many, if any. It seems apparent that they are trying to get what someone must owe on the tractors rather than what they are worth. For 90% or more of their tractors being what are considered 'off brand' tractors, they are out of sight on what they are trying to get out of them. Thanks for the link though. I'll check back with them in 6 or 8 months and see what the prices are for these same tractors then.

It seems as if they are going through what car dealerships who are heavily stocked with full sized SUVs and full sized pickups are going through; they seem to have far more money wrapped up in their items for sale than what the current market value is for them. Call me what you will, but I'm looking for a deal and not something way over market value. I just went to an auction a local credit union had to try to sell about two dozen SUVs and full sized pickups. It was a complete waste of time for me and everyone else who bothered to show up. Not one single vehicle sold and the closest offer to any vehicle was still over $5000 lower than what they would accept.

 

[tommybr]

The Farmtrac dealers cannot be expected to lose their shirts on these tractors...........they need deeper discounts from Textron ..............or else they just have to take a beating on a sale of these tractors...............don't blame the dealers............to take a beating like this would drive most out of business and into bankruptcy.

 

[longtrman]

I won't be bitten twice by the same dog. What did NC419N say, even Farmtrac dealers "look at me like I have the plague" when he talks about trading his FT. When even FT dealers don't want one in trade, that should tell you something about what they will bring.

It ain't fair, and it's really a shame, but that's about the way it is.

"Time will tell" - - - - - -does that mean the blue tractors will sit out another year before something will happen?

That blue tractor did not bite you---a few corrupt Indians at Tarboro bit you. You are not buying an Indian you are buying a tractor. Be realistic how could a Farmtrac dealer give you 50% of new price on a used tractor when you won't give 50% on a new tractor. My local JD dealer has advertized a Farmtrac 60 with loader for $14500 for most of this year--I hope he gets it. I personnaly think that is too much for a 5 year old tractor.

 

[Suburban600]

The first time I ever saw a Long was in a tobacco field in about 1976. When it came to buying a tractor, why not buy from a company which had been in business since I was a kid. So, I bought my FT 60 with the 5320 loader. And...I like it.

What I don't like is the losses each of us affiliated with this mess has suffered. I don't understand why, I am not sure who and I don't know what if any thing there is I can do as an individual tractor owner. Perhaps dealers and concerned owners should write the NC congressional delegation? They might be interested in understanding how America's small farmers, small business and the State of NC have been hurt by this travesty.

Right now there is a FT 60 without a loader on sale on ebay. The tractor has about 700 more hours on it than mine but all new tires.

I figure that I can add about $2K (for the loader) to the final sale price and have a pretty fair price?

I'm just an owner trying to keep tabs on the value of one of my assets.

 

[tommybr]

I have a 1999 model Farmtrac 60 for my personal tractor..............I'm going to keep mine and drive it till the wheels fall off.................and if it holds up the next nine years like it has the past nine years.............well, I guess you can say I got my money's worth out of it............it's not my tractor's fault that all this happened......

 

[NewToy]

I have a 1999 model Farmtrac 60 for my personal tractor..............I'm going to keep mine and drive it till the wheels fall off.................and if it holds up the next nine years like it has the past nine years.............well, I guess you can say I got my money's worth out of it............it's not my tractor's fault that all this happened......

There you go, the only way you'll get hurt is freak out and dump it for 50% of what it's worth. Or worry yourself to death about the potential for a financial whippin' on resale. Everyone seems to agree they are good tractors and parts availability shouldn't be an issue, so run it and run it until it just won't run no more and you can't get hurt. I was never really concerned about FT going belly up as far as the value of my tractor or parts were concerned. I hate it for the dealers and anyone else who got hurt but it is a non issue for me since I ain't selling my tractor.

John

 

[Dargo]

Right now there is a FT 60 without a loader on sale on ebay. The tractor has about 700 more hours on it than mine but all new tires.

Yup, that one is on my "watch" list on eBay.

 

[bluechip]

Market value is the price a willing buyer will pay AND a willing seller will sell for with neither under duress.... There are a lot of buyers wanting to get a bargain and that is understandable, but what is offered does not establish market value. What the dealers have to do is find people who NEED a tractor and can afford a FAIR price, taking into account all the facts. I could see fire sale prices if the manufacturer was shut down and there would not be parts manufactured for these (or old fords for that matter). but that is not the case. We will have some inconvenience and some dealers have already had to shutter their operations, leaving their customers without support. This does negatively impact value. If sellers agree to sell for as little as 50 percent, they will end up with deficencey judgements from the
floor plan company. It might be just as well to let them have it all. Many dealers couln't take a hit for 20 to 30 percent of our Farmtrac inventories and survive. For many it will probably make more sense to "get judgement proof" and let the floor plan company have and liquidate them. Of course then there is NO dealer support at all... This is a real mess and no real solution. Perhaps a charity could benifit by buying these at 70c on the dollar and ship them to third world farmers somewhere... I don't know.

 

[Ryan03]

I cannot speak for the entire farmtrac line, however I broke my 270 yesterday, [my own negligence] and had to go to my local dealer to hopefuly get what I needed. I was very concerned that I would have a real hard time finding a front wheel due to the current Farmtrac situation. My dealer was still able to check warehouse stock online, and ended up having the wheel , tire, and lug bolts, nuts, and studs in stock. He was originaly exclusively a Farmtrac dealer, and a large one at that. He now carries Montana, as well as his remaining Farmtracs. He explained to me that my 270 is made by LS Cable, and once you take off the sheetmetal , is the same as the Montana 2740, and also a Mcormic and recently introduced Bobcat brand cut. He explained to me that he now stocks his parts dept through Montana, and as I found today, Parts suply is no problem, at least for my 270.

 

[tommybr]

I think that we all need to be reminded that Farmtrac is, as of now, still technically in business. It is operating under the North Carolina Recievership laws. The parts department is still open. The parts department is running and we are told that there are plans to "replentish the shelves" in the parts department. We are also told that there are potential buyers, investors, etc. who are interested in it. Don't count Farmtrac out just yet. The reciever has indicated that his preferred outcome would be for Farmtrac to survive as on ongoing business. Textron, the lagest creditor of Farmtrac, has indicated that liquidation of Farmtrac is not their preffered outcome either. We are all just waiting to see what happens. In the meantime..........these are still good tractors!

 

[blueliner]

I think that we all need to be reminded that Farmtrac is, as of now, still technically in business. It is operating under the North Carolina Recievership laws. The parts department is still open. The parts department is running and we are told that there are plans to "replentish the shelves" in the parts department. We are also told that there are potential buyers, investors, etc. who are interested in it. Don't count Farmtrac out just yet. The reciever has indicated that his preferred outcome would be for Farmtrac to survive as on ongoing business. Textron, the lagest creditor of Farmtrac, has indicated that liquidation of Farmtrac is not their preffered outcome either. We are all just waiting to see what happens. In the meantime..........these are still good tractors!

Tommy -- I'd hope the customers keep the basics in mind:
- Farmtrac is a very good product (despite a distorted portrayal on WRAL) and lots of customers swear by them,
- Farmtrac parts are mostly common commodities (other brands use the same stuff!),
- Farmtrac dealers are highly loyal to their customers (they care for customers without regard of headquarters issues).

Here's an endorsement for continue purchasing "big blue" with confidence.

--blueliner

 

[blueliner]

ATTENTION FARMTRAC DEALERS and NOT-EVEN-ZERO REBATE CUSTOMERS:

The LEGISLATIVE HOTSEAT IS SADDLING UP... AND ABOUT TO MAKE ITS ROUNDS.

The time has come for legislators to take the Farmtrac situation seriously -- or be held accountable for their failure to act.

Yes, it is time for dealers and customers to stop being shoved around -- and time for them to shove back. By sharing your information, you will help the media expose legislators who are not taking care of their constituents -- you!

Any dealers or rebate customers who have contacted a state or federal senator or representative, please contact me:
by e-mail: bob_benedetti@hotmail.com or
by fax: (623) 687-9467

Include the following information:
Your name,
your state,
your contact information (phone, e-mail, etc),
legislator name,
legislator title (senator, representative),
legislator contact info,
details on what type of response you received (please include documentation whenever possible).

***
C'mon now, we need EVERYONE's help... in all 23 states Farmtrac dealers are licensed, and wherever in North America that customers are located.

***
Need help figuring out who your legislators are?
Send an e-mail or fax (see above) and ask!

Thank you in advance for your time and effort.

More than 280 Farmtrac dealers across the continent and customers fleeced for $2.9 million thank you.

--blueliner

 

[tommybr]

You are right, Blueliner....................Farmtrac suffered from extremely poor management....................this whole thing is a management issue, not a product issue.............and certainly not a DEALER ISSUE. The Farmtrac dealers have done valiantly well in trying to keep their customers tractors serviced and running "up to speed".............this in spite of the enormous pressure placed upon them by the "powers that be" .........

"We have done so much with so little for so long................we can do almost anything with nothing !!!!!"

 

[redneckford]

I bet the dealers children are not starting school with new shoes. Everyone needs to send remember who is really taking the brount of this the DEALERS AND THEIR FAMILIES!!!!! Try and make an 8 year old understand why Daddy/Mommy is working all the time and don't have time or money for them right now!!!!

 

[DavesTractor]

Perhaps a charity could benifit by buying these at 70c on the dollar and ship them to third world farmers somewhere... I don't know.

I don't know what the dealers pay for these (I am a Mahindra dealer), but at a certain discount point other dealers like myself would pay cash for a few of them. They are a good tractor and in my opinion a better option than a gray market (good quality but parts and safety issues) or a Jinma (new, but not the same quality as FT). At the right price, perhaps a couple hundred dealers across the USA could buy a handful each and ease the burden a little on the FT dealers. They would not be easy to sell as the customer would have to be told the story, but there are always the bargain hunters out there.

I feel for you guys. A few years ago I could have very well taken on FT instead of Mahindra and I'd be in the same boat through no fault of my own. I admire the group here and the support you give each other.

 

[SESS]

The main problem the dealers are facing right now is that the tractors currently on their lot are floorplanned and the floor plan company is not offering any sizable discounts to get the units moving. $500-$1000 for several year old models are not discounts! People ARE VERY interested in buying the Farmtracs BUT each dealer is responsible for paying the floor plan company for invoice amount. A majority of the dealers cannot bare the weight of offering their own discount program, just to get the tractors gone. It requires a shared loss from both the floor plan company and the dealers. Our dealership sold 2 tractors and it cost us $4,000. Dealers did not get into the busy to loose money on each sale! VERY difficult to stay in business when you are paying for people to buy your inventory!!!
Another major obstacle facing the dealers is financing. The previous finance companies that have been used in the past REFUSE to finance a new Farmtrac because their is no manufacturer to stand behind the product for the previously sold units who lost their warranty when Farmtrac closed, questionable parts base (that issue is very soon to be resolved-HOPEFULLY!) and the new warranty plan has not been tested enough to have the confidence from the dealers to use it! For the customers to find private financing is cost 7-11% interest. The customer would rather pay a little more for another brand to get better financing, manufacturer behind its product, parts and warranty to go with it. Who wouldn't do that! LG Cable, Escorts and SAME needs to stand behind their warranty for these customers!
Dealers have been offered to buy surplus Farmtrac tractors not currently floordplanned on their account-who has the money to do that when we have been loosing our behinds since Jan.???!!!
Redneckford-my kids got new "sale" shoes for school today-no cloths though! Not only is our dealership being penalized for this Farmtrac mess NOT created by ourselves, but your absolutely right-our families are paying the price and our children. Children do not understand-heck adults do not understand either!