FarmTrac Troubles

[SESS]

Just to let you all know our dealership, just received Press Release from Montana Looking alot Better. Waiting to see what is going to actually happen.

Farmtrac dealers received a fax from Farmtrac headquaters in October or November I believe it was stating that business was good and thanking the dealers for all their hard work in 2007 and to keep up the good work-obviously that was just smoke up our nose because look at where we (they) are now!

 

[SHIFTY]

Here is alittle info

Press Release

March 6, 2008


SPRINGDALE, Arkansas - Montana Tractors announced today that members of its ownership group had just returned from New Delhi, India where it had meetings with the owners and executive management team of Escorts, Ltd. the parent company of Farmtrac North America. “The meetings were held to discuss the possible business options available between the two companies”, stated Ted Wade, Vice-Chairman and Co-Owner of Montana Tractors. Wade said, “We have been in discussions with Escorts off and on for the better part of two years. We had not prior to these meetings been able to find a definition to the scope of what a relationship would mean between our two companies today and or in the future. We now feel we are close to bringing closure to these discussions. Montana Tractors plans on being very aggressive in growing its market share in what is going to be a very challenging compact tractor market this year. We felt we could not finalize our business plans for this year without bringing some closure to these conversations.”

Exclusive of these conversations, Montana Tractors has announced it will provide parts/service through its network on all LS tractors sold through the Farmtrac network, as long as the dealer is an existing Montana Dealer or becomes a Montana Dealer in the future.

Wade commented, “The Montana Tractor Brand and our Dealer Network have been and shall remain the main focus of our future business strategy. We will continue to look at opportunities to grow our business both internally and externally as value add business opportunities present themselves. At this juncture, we continue to emphasize our commitment to all our Associates, Dealers and Customers.”

Montana Tractors is a privately-held corporation, located in Springdale, Arkansas, and distributes compact and utility tractors throughout its dealer base in North America. It is the fastest growing brand of compact and utility tractors with models ranging from 23-to-70 horsepower. Montana Tractors currently employs approximately 70 personnel and assembles product at their plant in Springdale, as well as holds a distribution network of over 250 dealers in North America.

Farmtrac North America had been a distributor of compact and utility tractors in the U.S. until it ceased business operations in late January. Its operation in Tarboro, North Carolina was placed in receivership by a North Carolina court last week.

Ted Wade
Vice-Chairman and Co-Owner

 

[Robert_in_NY]

Is Escort the one that owns the old Ford line? If so I wonder if Montana is looking at buying that line more so than Farmtrac itself. I can not see any value in the Farmtrac name anymore and Montana already has the LS tractors so except for the old Fords what value is there for Montana in Farmtrac?

 

[bluechip]

Montana's offer to provide parts and service (warranty?) on LS made tractors could benefit them. Possibly preventing LS (formerly LG) from finding another importer to market thier tractors to replace farmtrac, and also requires the farmtrac dealer to be or to become a montana dealer. Perhaps they want to capture a portion of the Farmtrac dealer network without actually committing to invest in all or some of the assets of Farmtrac NA. Just my thoughts, I have NO inside information (outside info is also sparse). I read it that conversations are continuing and the offer to service LS tractors is made whether or not they acquire any assets from Farmtrac. No mention of the future of the old Ford style tractors from Escorts is made in this press release.

 

[SHIFTY]

I also wonder if they will take over Farmtrac's Loader and backhoe mfg faciality. Id have to agree with Bluechip that it would make sense to lock in LS line as well. I hope they have a large spray booth or new decals Maybe they will hyphenate the name as MontanaTrac

 

[MessickFarmEqu]

Just to add to the thread about tractor company troubles. I just found out that Agco has discontinued its compact tractor line. Those machines are still probably sold under their other brands, Massy and such. You won't see Agco branded machines any longer.

 

[slowzuki]

I think they are the little cat's too.

Local dealer won't like that, they sell more compacts since all the local farmland is getting chopped up into 5 acres play acreages.

Just to add to the thread about tractor company troubles. I just found out that Agco has discontinued its compact tractor line. Those machines are still probably sold under their other brands, Massy and such. You won't see Agco branded machines any longer.

 

[Robert_in_NY]

Just to add to the thread about tractor company troubles. I just found out that Agco has discontinued its compact tractor line. Those machines are still probably sold under their other brands, Massy and such. You won't see Agco branded machines any longer.

Neil, it is my understanding that Agco is discontinuing all Agco branded tractors. Basically, they are doing away with the orange tractors and keeping the Massey and Challanger lines (why the Challanger line is beyond me but this is Agco we are talking about). They will also keep the Valtra and Fendt lines but in the future Agco is only going to be their parts network name.

I personally think it is a mistake to drop the orange tractors in the US. I would rather they have painted the Cats orange and Red and went that route instead of killing Orange again

 

[Tractech]

I too was told at a farm show that since the AGCO branded product line was only being offered in the U.S. they were going to drop that line. The branding just has not really worked for them very well. But then again neither has anything else AGCO touches. I am just waiting to see how long it takes the to totally ruin the Valtra line.

 

[JerryG]

Just to add to the thread about tractor company troubles. I just found out that Agco has discontinued its compact tractor line. Those machines are still probably sold under their other brands, Massy and such. You won't see Agco branded machines any longer.

Doing away with the AGCO line. About time, it was a waste of money to have a line with their name just for the sake of a name. Now they can put their money where it belongs.