Atlas to acquire BLMA
#1
Quote:Atlas Model Railroad Co. Agrees to Purchase BLMA Models Inc.

HILLSIDE, New Jersey: Effective immediately, Atlas Model Railroad Co., has agreed to purchase BLMA Models Inc., of Fullerton, California. Founded in 2000, BLMA manufactures quality HO, N, and Z scale rolling stock and accessories. Upon completion of the acquisition, Atlas will own and release all current tooling, inventory, and will continue with production plans outlined by BLMA, prior to the sale.

Full press release: <!-- m --><a class="postlink" href="http://www.atlasrr.com/News/blma-purchase.htm">http://www.atlasrr.com/News/blma-purchase.htm</a><!-- m -->
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#2
Good that the line will continue. We're going to end up with only one or two major producers of anything at this rate.
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#3
MountainMan Wrote:Good that the line will continue. We're going to end up with only one or two major producers of anything at this rate.

What companies were lost to merger or acquisition in 2015?
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#4
You might as well concider Intermountain as lost since they can't seem to deliver product on the advertised.
Johnathan (Catt) Edwards
"The Ol Furrball"

"I'm old school,I still believe in respect"
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#5
All the manufacturers seem to have the same problem. The Chinese can't meet their promised completion dates. Including Atlas.
Robert
Modeling the Canadian National prairie region in 1959.
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#6
Catt Wrote:You might as well concider Intermountain as lost since they can't seem to deliver product on the advertised.

John,I would not be surprise if IM will be the next fallen flag bought out by either Atlas or Horizon/Athearn. Walthers might be in the running for buying IM as well.
Larry
Engineman

Summerset Ry

Make Safety your first thought, Not your last!  Safety First!
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#7
railohio Wrote:
MountainMan Wrote:Good that the line will continue. We're going to end up with only one or two major producers of anything at this rate.

What companies were lost to merger or acquisition in 2015?

A few dropped out, most notably the outfit producing model paints, but I'm pointing out the inevitable trend over time for everything to end up under one or two manufacturers.

How many major modellers still make locomotives in America, for example? They're all Chinese and South Korean, and now that China is getting out of the industrial type of economy, probably Thailand or someone similar will take that over.

If you have back issues of modelling mags, go back a decade or two and count the number of advertisers, and then count which ones are still around today. It's highly reminiscent of the American automotive manufacturers starting in the 70's. You see any Nash's, Plymouths, DeSotos or Studebakers in dealer showrooms these days? Or any of a dozen or so other cars I could name? Assimilation is the name of the game, just as it is for the rail lines themselves. How many "fallen flags" in American rail history, and how many lines still around but merged into mega-corporations under people like Warren Buffet?

Same thing is happening in the modelling world.
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#8
I am going to miss BLMA, not because of their product, as it was mostly out of my era, but because of their innovations they added in the hobby. It is nice that their products may continue to be made, but I fear that there will not be any new items from Atlas at the level BLMA has produced other then the projects BLMA is already bringing to the table. Atlas seems to have peaked in the early 2000's and have not been able to produce anything of significant importance in years. Even their "newly " tooled items look like things that were done 10 and 20 years ago.

The only companies I know that are 'Major' and are all or mostly built in the USA are Micro Engineering, MicroTrains and Kadee, everything else is done all or in-part overseas. There are still a range of cottage industry companies in the USA that produce items either all or in-part in the USA. This shift for the major companies to go overseas happened over 20 years ago, so it is not really news. I will say that I think we are going to see many of the smaller detail companies fade out as people move more towards rapid prototyping.

We have gained to larger companies in the past couple of years including Exactrail and now SacleTrains.com. Many of these companies start as side projects, or hobby companies and blow up to these large companies that become work. I think people like Craig has decided to step back and try something new. I wouldn't be surprised if he comes back in some capacity at another company or starts his own after his time with Atlas.

I again just hope Atlas is better about BLMA then they have been with Brachlines products.
Be Wise Beware Be Safe
"Mountain Goat" Greg


https://www.facebook.com/mountaingoatgreg/
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#9
Craig has another company making metal business cards. They are very expensive compared to paper, but apparently they are selling well enough for him to go in that direction.

I heard that the problem that manufacturers are having with China is that there are three companies doing model railroad products, and the largest of those has been virtually taken over by Bachmann leaving every body else scrambling to try to get their products made by the other two factories.
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#10
It is my understanding that Sando Kahn (a member of the Chinese Kader corporation) was a subcontractor for many US and European model railroad company. That changed dramatically when Sando Kahn bought Bachmann. Sando Kahn became the model railroad company and Bachmann became the international sales branch of Sando Kahn. Sando Kahn reserved large quantities of it's manufacturing capacities to push it's own Bachmann products.
At the same time did Sando Kahn cancel, delay or renegotiate it's old contract with the other US and European model railroad companies. That resulted in the well known product shortage (e.g. Atlas tracks). Some could renegotiate reasonable contracts with Sando Kahn other had to find other Chinese contractors with the delays of tools transfer, production line setup, riding the learning curve etc.
Reinhard
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#11
I think I also read that a few months after Sando Kahn bought Bachmann, and sent other manufacturers scurrying to find other factories, that another major player in Chinese manufacturing went bankrupt. Under Chinese law, any molds, products, or machinery still in the possession of th ebankrupt plant became property of the bankrupt company and subject to distribution to creditors. The model railroad companies that were caught out by that bankruptcy had to go through a lot of red tape and delays to get their molds back and find other factories to make their products.
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#12
Hi all ,there is an interesting blog on the Hornby site that is worth a read about production / supply problems.
Bring back the Blue box kits, made in the usa? 35

Don.
What its Monday!! Again !!
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#13
gwyn68 Wrote:....blog on the Hornby site ....
Did you got a link for us, please?

ps. I see Corgy automobile models belong to Hornby too. They had a special 50 years anniversary edition of the James Bond Aston Martin car. I have been in the transition between a "boy" and a "teenager" when that model was offered and never got it. I was a no-go wanting a toy and start looking after the girls. It was a complicated time 357
Reinhard
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#14
faraway Wrote:I have been in the transition between a "boy" and a "teenager" when that model was offered and never got it. I was a no-go wanting a toy and start looking after the girls. It was a complicated time 357
Rienhard, it was so good for us the trains won in the end. Goldth
Charlie
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