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UPDATE 1-Harley-Davidson cuts 2017 shipments forecast

(Adds details, shares)

July 18 (Reuters) - Harley-Davidson Inc on Tuesday cut its full-year motorcycle shipments forecast, underscoring slowing demand as the company's loyal baby boomer customer base ages.

The company's shares were down 7.8 percent at $47.96 in premarket trading.

The Milwaukee-based motorcycle maker, which previously forecast "flat to down modestly" full-year shipments, said it expects to ship 241,000 to 246,000 motorcycles in 2017, compared with 262,221 a year earlier.

Demand for Harley's motorcycles is slowing as the baby boomer demographic ages and rivals such as the Indian brand bike maker Polaris Industries Inc and Japan's Honda Motor Co Ltd offer competitive discounts.

Harley said its share in the U.S. big-bike market fell to 48.5 percent in the second quarter ended June 25, from 49.5 percent a year earlier.

Retail motorcycle sales fell 9.3 percent in the United States, its biggest market, while they declined 6.7 percent globally.

The company said net income fell to $258.9 million, or $1.48 per share, in the quarter, from $280.4 million, or $1.55 per share, a year earlier.

Revenue from motorcycles and related products fell to $1.58 billion from $1.67 billion.

(Reporting by Ankit Ajmera in Bengaluru; Editing by Sriraj Kalluvila)