(Image source from: Carandbike.com)
Harley Davidson to Discontinue Operations in India:- Harley Davidson decided to discontinue the sales and manufacturing operations in the country. The iconic American brand decided to step down in India after the additional restructuring costs mounted to be 75 million USD in 2020. Jochen Zeitz, President, Chairman and CEO of Harley-Davidson introduced the strategy of 'The Rewire' amount of 168 million USD this year. The restructing actions from August are said to be completed in the next 12 months that will optimise the global dealer network. All the sales of Harley Davidson will be discontinued in the country and the manufacturing would be kept on hold.
Harley Davidson will also reduce the workforce in the country by 70 employees. Harley Davidson issued a statement informing about the restructuring costs. 80% of them are cash expenditures said Harley Davidson. The one-time termination benefits of Harley Davidson are said to be 3 million USD and the non-current asset adjustments are said to be 5 million USD. The other costs including the contract termination will be around 67 million USD and the total reached 169 million USD. The restructuring activities of Harley Davidson are expected to complete in the next 12 months. The sales of Harley Davidson in the country slowed down and it just sold 2500 units last year.