GO
Loading...

Harley-Davidson Says Strike is Taking Toll on Production

Harley-Davidson said first-quarter motorcycle shipments will not meet earlier forecasts because of a six-day-old strike at its biggest assembly plant, sending shares down as much as 2.5%.

Harley will fall short of its shipment target of 82,000 to 84,000 motorcycles in the first quarter and said it is not prepared to offer a revised forecast.

The company also said it not prepared to predict whether the strike will affect the company's full-year financial forecast.

About 2,800 union workers walked off the job on Feb. 2 at Harley's plant in York, Pennsylvania, after their contract expired. Harley is seeking a variety of concessions from the workers, who are represented by the International Association of Machinists and Aerospace Workers.

A spokesman for Federal mediators said no talks were scheduled for today. Mediators met with the company and the union on Wednesday with no agreement.

Harley said it will begin layoffs next week at plants in Wisconsin that make motorcycle components. Initial layoffs will be voluntary, with involuntary layoffs possibly introduced later.

Contact U.S. News

  • CNBC NEWSLETTERS

    Get the best of CNBC in your inbox

    To learn more about how we use your information,
    please read our Privacy Policy.
    › Learn More

Don't Miss

U.S. Video

  • This video is 90 seconds of cyber attacks happening around the globe, courtesy of Norse Norse is a technology company that bills itself as the "global leader in live attack intelligence." The company offers continuously "updated and unique Internet and darknet intel that helps organizations detect and block attacks that other systems miss."

  • Is this breakout story on your radar? Mad Money host Jim Cramer is about to put it there.

  • Paul Hickey, Bespoke Investment co-founder, discusses the huge divergence between the S&P 500 and the energy sector.