Winnipeg Free Press - PRINT EDITION

No room in town for two Harley dealers

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AFTER 18 years, Winnipeg is reverting back to a one-Harley Davidson dealership town.

Lone Star Harley-Davidson is closing in October after 18 years in operation.

Marge Danylchuk said the family, which also owns Peterbilt Truck dealerships in western Canada, is winding down the business and is searching for a tenant for the Oak Point Road building they own.

"There was really not enough business for two... there hasn't been enough business for two dealerships for a while," she said. "We're paying our bills but not much more than that."

A spokesman for Deeley Harley Davidson Canada said the company believes the customer base can be well served by the remaining dealership, Harley-Davidson Winnipeg.

"As a distributor representing the Harley-Davidson brand, we certainly have to be concerned about the profitability and profitability potential for our retailers," said Lawson Greer, retailer sales and support director at Deeley Harley-Davidson Canada. "As the Danylchuks have retired, we think the other dealer can handle the market for now. But we are open minded."

Danylchuk said changing demographics and a greater number of people shopping online and/or willing to travel to the U.S. to make purchases has cut into business.

But Greer said, "We certainly have great faith in the future of Harley-Davidson," he said, noting the 2014 models have been receiving very good reviews since they were released in August. "We believe firmly there is a lot more good news to come."

Republished from the Winnipeg Free Press print edition September 18, 2013 B6

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