Large Scale Central

Guess all you guys know this already, eh?

But Silvergate transferred all their LGB assets to Walthers this last week.

I just wanted to see it in print.

The term ‘Poison chalice’ comes to mind…

tac

Actually “MONOPOLY” comes to my mind and I don’t mean the board game either!!! With all the past dealers dumping they’re inventory! Whooops no pun intended there either. hee hee

Silvergate had assets???

-Brian :stuck_out_tongue:

Na. They still have to compete with USAT, Aristo, Bachmann, Heartland, AMS, MTH, (who am I forgetting?).

TAC,

I think you hit the nail dead center!!

Hey tac, all depends what was listed as assets. :stuck_out_tongue: :lol:

Terry,
not so much ‘transfer of assets’, but a contractual requirement, apparently imposed by Marklin, to dispose of all LGB stock on hand by January 1st, 2009. I commented several days ago, that this contractual requirement may be the end of the long running LGB saga, dating from 2006. This then leaves Walthers as the only official distributor of LGB(Marklin) stock. I expressed concerns as to the duplicity of both Lehmann LGB stock and Marklin LGB stock on the dealers shelves at the same time. How does a dealer tell a customer that the ex-Lehmann stock does not have a warranty, nor is service available on the product? As a distributor apparently has no legal right to curtail other manufacturers stock appearing on dealers shelves (knowing the business practices of a particular company, one may doubt that), I feel the Lehmann/Marklin stock duplicity will be a real problem for months to come as, apart from the current firesale, Lehmann stock seems to have been a little hard to sell in the market, as evidenced by the number of dealers who still had large inventories.

Tim,

Märklin is selling Lehmann stock also! The first Märklin 2008 piece that I purchased was a Lehmann made and labeled RhB item. Of course, I suspected this possibility and it has been my one and only purchase. I did hate to pay ten times what Märklin probably paid for it!

Jack,
I believe that your Lehmann manufactured Marklin item would have been a grey import and not sourced through LGBoA… It was clear to all, that Marklin were using parts on hand, back in late 2007(?), to assemble ‘Marklin’ items, using already moulded Lehmann parts. However, much of what is available today on firesale and no doubt what was shifted by January 1st, was most likely Chinese sourced product and not Marklin items assembled in Nurnberg in the last month(s) of inhouse production (2007). The popular (less plentiful) RhB items sold out of inventory quite quickly in early/mid2008, except for the Chinese-sourced Lehmann European outline items. The disposal of stock, for me, signals the end of the long running ‘corporate rivalry’ that started back in late 2006.

   There will be a difference in wording on the similarly packaged ex-Lehmann items and the more recently manufactured Marklin stock.  Those few items assembled in Nurnberg,  I am not aware if Marklin used existing Lehmann sourced packaging,  or if Marklin had their own packaging manufactured at the time.   I am sure that the Marklin Nurnberg sourced items were not plentiful and would have sold out very quickly considering the demand for RhB/European prototype, at the time,  as production had ceased months before Marklin entered the Nurnberg premises and had existing stock parts assembled.  Is it possible that your Lehmann purchase was built from parts moulded in the 'strawman' production period?  Now that would stick in the throat of some detractors?

But, but, but Tim! :wink: :slight_smile: Only a true Kollektor would appreciate the rarity of a “Schöntag Period” EPL item. :lol:

Tim Brien said:
Jack, I believe that your Lehmann manufactured Marklin item would have been a grey import and not sourced through LGBoA.. It was clear to all, that Marklin were using parts on hand, back in late 2007(?), to assemble 'Marklin' items, using already moulded Lehmann parts. However, much of what is available today on firesale and no doubt what was shifted by January 1st, was most likely Chinese sourced product and not Marklin items assembled in Nurnberg in the last month(s) of inhouse production (2007). The popular (less plentiful) RhB items sold out of inventory quite quickly in early/mid2008, except for the Chinese-sourced Lehmann European outline items.
Tim, I believe my opening statement was "Märklin is also selling Lehmann made and labeled items". The item is neither grey or LGB0A sourced. This #36676 item was listed in the Märklin 2007/8 availability list with an availability date of 2008! (I can send you a copy?) The wagon was produced by Lehmann in Nürnberg in MARCH 2005!!!!!!!!! (O.K. sticker 001035)
Tim Brien said:
There will be a difference in wording on the similarly packaged ex-Lehmann items and the more recently manufactured Marklin stock. Those few items assembled in Nurnberg, I am not aware if Marklin used existing Lehmann sourced packaging, or if Marklin had their own packaging manufactured at the time. I am sure that the Marklin Nurnberg sourced items were not plentiful and would have sold out very quickly considering the demand for RhB/European prototype, at the time, as production had ceased months before Marklin entered the Nurnberg premises and had existing stock parts assembled. Is it possible that your Lehmann purchase was built from parts moulded in the 'strawman' production period? Now that would stick in the throat of some detractors?
A lot of words with a simple answer. You're wrong!

Won’t this just bring extra value to the true GERMAN made toys? I’ve got some old turnout rail joints with only a small hole drilled in them. $10.00 each to the first person to contact me.

Jack,
this was my original statement -

Quote: “I expressed concerns as to the duplicity of both Lehmann LGB stock and Marklin LGB stock on the dealers shelves at the same time. How does a dealer tell a customer that the ex-Lehmann stock does not have a warranty, nor is service available on the product?”

When Marklin resume production/distribution to America, then we will have a situation whereby similarly packaged red box items will be displayed on store shelves. Some items will be of Lehmann pre-2007 production and the rest will be Marklin produced/Walthers distributed items. One of the points I made, that you dismissed, is the wording difference on the packaging. Your item, as made in 2005, will be covered by the Marklin warranty as it was released as a Marklin product. Those items just released, as part of the Silvergate stock disposal, will not be so protected. How does the consumer protect himself? That was the intent of my statement.

I thankyou for explaining the OK sticker coding, as that was something that I was unaware of. In so far as a grey import, well you obviously purchased it from Europe. Any item not obtained through the approved distributor is what I term a grey import, as it bypasses the approved distributorship chain in your country of residence.

Tim,

I think you are missing my point. This item was listed by Märklin for sale in 2008. Märklin sold it to a dealer in Switzerland. (don’t know if the distributor in Switzerland was involved or not.) I purchased it in Oct. 2008.

“Grey” doesn’t matter, it was a Lehmann label sold by Märklin. That simple act makes them responsible this Lehmann product and probably all the product on the shelves, which is what I think they intended to do all along.

Märklin doesn’t use distributors in Germany (except for the chain stores) and the product is made in Hungary and China. Does that mean all MLGB sold in Germany is grey? :wink:

Jack,
Quote from my previous posting - “Your item, as made in 2005, will be covered by the Marklin warranty as it was released as a Marklin product.”

I did not miss your point and have stated as such in my quote. Your Lehmann manufactured item was listed and sold as a Marklin item. Therefore no warranty issues.

However, there is a lot of non-Marklin released, new old stock on the market now, as a result of the Silvergate disposal. My point, which you do keep overlooking, is that the Lehmann produced items, issued to LGBoA, at the time of the collapse (2006), were not connected to Marklin in any way at all and are now on the dealer shelves awaiting sale and are packaged in red boxes, seemingly identical to the soon to be released Marklin items, which will have fine print identifying Marklin as the registered trademark owner. I see a source of potential conflict in the market for consumers.

I’ve seen the lists Tim. It’s not that much stuff. Next to no Euro and Märklin doesn’t even have the first announced USA proto product yet. Could be a full year before we see any US items. There’s way more stuff out there on the shelves that didn’t go out recently.

Jack,
thanks for that. By the time Marklin release the American range then the stock on hand, at present, may be history.

Back to the original message.

OK TAC so what exactly was transferred? Was there a container full of non-material goodwill? :confused: :stuck_out_tongue: :slight_smile: Or did you read/hear about tangibles?

Here ya go- from a letter from a Silvergate rep last week - sorry, the rest is private …

LGB FAQs
What about LGB repairs, parts and customer service?

We have learned that Märklin, Inc., New Berlin, Wisconsion will provide marketing and product/technical suppoort to Walthers and the North American market.

For more information contact:

Brenda Hensleigh, Marketing Coordinator
Märklin, Inc.
P.O Box 510559
New Berlin, WI 53151
(800) 321-8811

Kevin Copsey, V.P. of Sales
Wm. K. Walthers, Inc.
5601 W. Florist Ave.
Milwaukee, WI 53218
(800) 487-2467

tac

Terry,
that email looks suspicously like the initial email released many months ago when it was announced that Walthers was handling Marklin distribution. At the time the specific issue of LGB distribution was not announced. Please confirm that this is indeed a recent email.