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Is Hobbico going out of Business?

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Old 01-16-2018, 01:05 PM
  #51  
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Originally Posted by Halcyon66 View Post
Futaba is probably going to take a huge hit on the $$ Hobbico owes them, Hobbico announced it has over 100 mil in debt and it is mostly unsecured. The problem with these collapses is it is just not one company that goes under, all the guys that Hobbico owes money to could have a very rough time.
And if you owe Hobbico (as in LHS), don't pay them until subpoeaned. ;-)
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Old 01-16-2018, 01:07 PM
  #52  
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Default Futaba not taking a big hit...

Originally Posted by Halcyon66 View Post
Futaba is probably going to take a huge hit on the $$ Hobbico owes them, Hobbico announced it has over 100 mil in debt and it is mostly unsecured. The problem with these collapses is it is just not one company that goes under, all the guys that Hobbico owes money to could have a very rough time.

Don't forget about the employees that probably had retirement and stock that will take a hit as well.

All not good

Regards,
Bankruptcy documents online show Hobbico owes Futaba roughly $2.2 million, a mere drop in the bucket for Futaba. Most of you have no idea how large a company Futaba is and the RC segment is just a tiny portion of their company.

$2.2 million is probably one shipment of product to Hobbico. New Futaba systems coming into stock at Tower indicates to me Futaba is not concerned about the Hobbico situation at this time. The top 30 vendor/debts are probably not concerned either as they undoubtedly have had a strong working relationship with Hobbico and will work with them for delayed payment. If Hobbico unlikely closes shop, those large vendors will move on. Small vendors will feel the hit hardest.
Attached Thumbnails petition-3 Hobbico 22.pdf   petition-3 Hobbico 23.pdf   petition-3 Hobbico 24.pdf  
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Old 01-16-2018, 01:11 PM
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Wow, that’s awesome for Futaba that hobbico is a mere pebble in their shoe!

Probably every other R/C business that took a 2.2 million dollar loss would be badly shaken.
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Old 01-16-2018, 01:41 PM
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Futaba (traded as KK) had a 2013 revenue of $625.24 million.
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Old 01-16-2018, 03:14 PM
  #55  
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hey Secret did you get my last PM? just wanted to check since I know sometimes pms dont go through
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Old 01-16-2018, 03:19 PM
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Just responded to it brother! Yes, I'm in! Thanks.
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Old 01-16-2018, 04:03 PM
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Originally Posted by SECRET AGENT View Post
Just responded to it brother! Yes, I'm in! Thanks.
Pm sent
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Old 01-16-2018, 09:59 PM
  #58  
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Click image for larger version

Name:	eir.pdf
Views:	77
Size:	1.78 MB
ID:	2251412

2017 financials, never about revenues all about gross margins and debt loading.

You could go throught the report yet you can never really tell, not saying anything either way yet the industry is obviously in the middle of a major shake up so anything is possible.

http://www.futaba.co.jp/en/index.html

Regards,

Last edited by Halcyon66; 01-16-2018 at 11:44 PM.
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Old 01-17-2018, 06:05 AM
  #59  
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You keep forgetting that hobby stuff is a small part of what Futaba actually does.
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Old 01-17-2018, 06:19 AM
  #60  
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Don’t forget that in big businesses like Futaba, every division is financially “isolated” from each others, that mean that if Futaba Hobby is in trouble, they may think to close it even if the whole thing is doing great. But as Arthur Dent (in "The Hitchhiker's Guide to the Galaxy" from Douglas Adams) said : DON'T PANIC... ;-)
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Old 01-17-2018, 06:51 AM
  #61  
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Hobbico is looking for a buyer, which is interesting...who would be big enough to do so? That would be telling for the future... Having been a part of an employee owned company, I feel for them the most as they have the most to loose and will, in some fashion.
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Old 01-17-2018, 11:08 AM
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Most companies in bankruptcy, especially those with multiple divisions or child companies, do look for buyers. Generally interested buyers want to pick off the smaller ones to restart them as independent businesses. A buyer for the whole of Hobbico is unlikely as assuming the debt and strengthening the employee shares is costly. Hobbico will come out of bankruptcy leaner as smaller entities are sold off. They will probably hold onto their exclusive lines (Great Planes, Topflite, Tactic, etc.) and probably Futaba/O.S. unless individual offers are too sweet to pass up.
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Old 01-17-2018, 12:58 PM
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Originally Posted by Dave Wilshere View Post
Drones have killed the hobby...Instant gratification. No skill needed to assemble or operate. People loved helicopters as you generally assembled (mechanic) and it took time to set up and learn to operate. This is why many people got into the hobby...and what kept them in it. It used to be interesting for a long period, I have friends who keep buying the latest drone and wonder why 3 weeks later. Kids get bored really quickly. Guys get bored really quickly and since we don't really build models anymore, there is little pride at the field...listening to your mates praise your work.

Throw away world with impatience (all brought about by the evil of the internet) we all seem to have instant access.
I agree with Dave and he said it all with this statement: "Drones have killed the hobby...Instant gratification. No skill needed to assemble or operate."

Once they have been flown and break it, they move on to the next thing that catches their attention. They never experience the joy of building it (start to finish), then the amplified gratification of seeing it actually take flight (built by them), followed by the experience of landing it and keeping it flying.
It never becomes pride and joy, just more throw away junk.
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Old 01-17-2018, 01:39 PM
  #64  
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Originally Posted by skunkwurk View Post
I agree with Dave and he said it all with this statement: "Drones have killed the hobby...Instant gratification. No skill needed to assemble or operate."

Once they have been flown and break it, they move on to the next thing that catches their attention. They never experience the joy of building it (start to finish), then the amplified gratification of seeing it actually take flight (built by them), followed by the experience of landing it and keeping it flying.
It never becomes pride and joy, just more throw away junk.
So are you actually saying ARFs have killed the hobby? The description is the same.
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Old 01-17-2018, 01:50 PM
  #65  
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Things change. I have been flying RC ALL my life but could see how it might come to an end if you look at the past.
RC killed U-control
Turbines killed ducted fans
Electric is killing glow
ARF's are killing kit building
etc., etc., etc.
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Old 01-17-2018, 08:21 PM
  #66  
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Originally Posted by causeitflies View Post
So are you actually saying ARFs have killed the hobby? The description is the same.
Except ARFs don't go from the box to the sky in the time it takes to charge a battery and then fly on autopilot with no skill required.
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Old 01-17-2018, 10:08 PM
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Originally Posted by Auburn02 View Post
Except ARFs don't go from the box to the sky in the time it takes to charge a battery and then fly on autopilot with no skill required.
The skill part is true and most ARFs require quite a bit of work. But it seems the next big thing is plug-n-play or bind and fly and I'm surprised how many guys buy turn key jets and have never actually built one or even assembled an ARF.
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Old 01-18-2018, 01:29 PM
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Originally Posted by causeitflies View Post
So are you actually saying ARFs have killed the hobby? .................
I think ARF's are partly the cause of the death of the local hobby shops. The real money that kept them open was on all the "Stuff" needed to build a kit. The highest profit was on Hardware, Glues, and covering.

Also... when I was a teen, and working at hobby shack (La Habra, Hawthorn, Back to La Habra, and then Fountain Valley)... the original ARF's (The EZ kits) came out of Japan, and were expensive. A typical 20 sized ARF was $299 or more. Well... in the 80's... I could buy a 20 sized kit for $30... and have another $50 into materials, and maybe $100 in some extra S128 servos. (The store made more on me building a kit, than buying that ARF)

And finally... since the new ARF's are changing all the time... it's hard for the local store to know how many to buy. I know one of the local shops was always shocked when I would let them know that some ARF was $30 or $40 cheaper on Horizon's site because it was now discontinued.


What I need to do now is talk with a local hardware store to carry Zap glues and basic DuBro hardware.

Last edited by Dr Honda; 01-18-2018 at 01:34 PM.
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Old 01-18-2018, 03:58 PM
  #69  
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After the talks I have had it seems its just our market, the overseas markets are booming. Asia seems to be selling more RC jets to itself than exporting, this is what killed the A-6 project I was helping develop.
The only way to get it to market would be come up with 30k it would be a reality but thats just how it goes.
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Old 01-24-2018, 06:08 PM
  #70  
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Bummer...

But how many of you true modelers can deny the lamentation you felt when you saw Top Gun open up to ARF's? Or on all of the fawning and genuflecting guys on this site do for guys that come on with their ARF 'builds' and when challenged, they say 'HEY! I airbrushed the weathering! I DO deserve a Top Gun trophy!"

?

That development was another nail in the coffin of this hobby IMO.
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Old 01-24-2018, 07:40 PM
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Originally Posted by Shaun Evans View Post
Bummer...

But how many of you true modelers can deny the lamentation you felt when you saw Top Gun open up to ARF's? Or on all of the fawning and genuflecting guys on this site do for guys that come on with their ARF 'builds' and when challenged, they say 'HEY! I airbrushed the weathering! I DO deserve a Top Gun trophy!"

?

That development was another nail in the coffin of this hobby IMO.
To be honest, as a newbie to the hobby, comments like this make me less likely to get into it and get involved. As a someone who is just learning about the possibilities and needing somewhere to start, having someone be condescending because I didnít start with a scratch build is not going to make me want to get involved with the local and online scene. I am more likely to start with a rtf or arf and go from there. Learn to paint, replace a few parts, eventually try a kit build. Iím just scared to mention this because the online rc airplane community seems unfriendly and elitist. Not everyone but it seems that way sometimes when I start browsing through the airplane forums.

Iím not trying to stir up trouble. I just see a lot of talk about why this hobby is struggling and I just wanted to give an outsiders view.
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Old 01-25-2018, 03:35 AM
  #72  
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Jonbass great to see you get involved dont let the ďexpertsĒ deter you from enjoying a great hobby. Everyone has to start somewhere. Do what makes you comfortable and have fun!
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Old 01-25-2018, 03:35 AM
  #73  
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"Jonbass" you should understand Mr. Evans comment related to this own forum section devoted to highly experts jet models. If you read him again you even will notice he writes about Top Gun competition which is USA top scale competition.

There is just no mention to ARF/RTF trainers but hey!, if most of 40s and olders here got to the hobby building our own trainer models -which surely were not as pretty as nowadays available ARF/RTF- surely anyone even today may go ahead building any modern trainer kit.


Best Regards,
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Old 01-25-2018, 04:32 AM
  #74  
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Originally Posted by Jonbass View Post
To be honest, as a newbie to the hobby, comments like this make me less likely to get into it and get involved. As a someone who is just learning about the possibilities and needing somewhere to start, having someone be condescending because I didnít start with a scratch build is not going to make me want to get involved with the local and online scene. I am more likely to start with a rtf or arf and go from there. Learn to paint, replace a few parts, eventually try a kit build. Iím just scared to mention this because the online rc airplane community seems unfriendly and elitist. Not everyone but it seems that way sometimes when I start browsing through the airplane forums.

Iím not trying to stir up trouble. I just see a lot of talk about why this hobby is struggling and I just wanted to give an outsiders view.

Jonbass,

None of what I said is meant to make you (or any other newbie) feel discouraged. I spent a good portion of my life cultivating new hobbyists and teaching newbies to build and fly. In fact, some of the most cherished and fondest memories of my life involve time I spent building planes with my nephews.. then later my son... or with a buddy cord connecting me to 'the future of our hobby' in the form of some excited kid watching his very own model airplane fly.

All that having been said, I TOTALLY stand by every word of what I wrote previously. There was no such thing as a jet ARF when I first attended a jet meet. Instead, there were not only scores of dedicated and life-long modelers, but also dozens of manufacturers (large and small) with healthy businesses represented. Nowadays, ARF's are the rule and anything 'built' is the exception. If you perceive that as me casting condescension upon jet pilots who fly ARF's, the best I can do is explain that that's not what I'm trying to say. I've owned and continue to fly many ARF's, but as far as I'm concerned it's the Chinese ARF industry that has basically made the model airplane KIT industry extinct in the U.S. That's my opinion.
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Old 01-25-2018, 06:56 AM
  #75  
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Default Is R/C modeling dying?

I started modeling in 1952 with control line but wanted remote control from the start. At that time you had to build your model and if you wanted the latest in radios you had to build that too. I purchased my first commercial built radio in 1965 because it was better than I could build. I moved to Denver in 1960 and joined a group of approx 20 modelers flying on the south side of town. In 1961 we formed a model club and then there were 2 clubs in Denver with about 50 total members. Now there are 6 clubs in the metro area with approx. 820 members.

Is the hobby dying? It is certainly changing rapidly. When I started R/C I was lucky if I could build 2 planes a year. Now I see guys who buy 1-2 per month. I still build because a certain model I want is not produced commercially.
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