IMPORTANT ANNOUNCEMENT----CURRENT STATUS AT GAS GAS / OSSA
June 2nd , 2015
Having just returned from a whirlwind visit to Spain we thought we would update everyone on the current GAS GAS / OSSA situation as we understand it.
One thing was very clear to us and that is that NO one at this point really knows what the final outcome of the situation will be, however there is a lot of speculation from a LOT of different people which leads to the same conclusions.
Gas Gas is now officially in Chapter 11 bankruptcy as of May the 18th with what appears to be a consolidated debt exceeding 45 million Euro !! (this figure seems to be changing on a weekly basis !!) The court has appointed a Trustee who will (as early as this week) begin the process of analyzing the accounting records, employee contracts, supplier debts etc. This could be a fairly lengthy process with some people hoping it would take a few months and others believing it could take six months or more !!.
Meanwhile at the factory the doors are somewhat open and a few people are still working as far as Spare Parts supplies and some office staff .
The majority of people we spoke to believe as we do that when the time is right a new buyer of the company will emerge. Apparently they are already lining up and once the Court Trustee has figured out the situation the process of selling the business and assets would begin. For the remaining employees of the company, many are hoping this is sooner than later.
Gas Gas / OSSA Importers around the world have now been without bikes for over 5 months and for most this will have had a negative financial impact and just as we have, will have to make changes to “weather the storm”.
The same can be said for the hundreds of suppliers around Spain and Europe who also supplied parts to Gas Gas who could very well be owed money but will also see a reduction in their overall business sales.
We also learned last week that all of the Race team support was cut off. This was a big blow for the Enduro Teams as well as the Trials Teams including Adam Raga who is now hoping to finish the current WTC as a privateer with the help of individual importers. Obviously this lack of factory support / incentives etc. eventually trickles down to many, many riders of all levels because of the cut backs national and local dealers will be making.
Sixteen months ago OSSA merged with Gas Gas. At the time the consolidation of these two brands seemed to make sense. OSSA had outgrown their production facility and needed a larger more organized production and administration structure to meet the growing demand, some government funding was also made available if both companies merged and worked together.
Now OSSA is aggressively seeking a legal way to remove itself from the Gas Gas situation, however this would also have to be reviewed and approved by the Trustee. Again, many opinions differ as to when and if this may happen with some people saying a few months and others saying much longer. As with Gas Gas we remain positive that eventually OSSA will produce bikes again.
As the OSSA USA importer we remain committed to providing service to the customers who decided that OSSA was the best choice for them. Whilst we were in the factory last week we went around spares dept as well as all of the production line and picked out a substantial quantity of spare parts which we should be receiving in the next few weeks. When we combine this new shipment with the large amount of spares we already stock we believe this will sustain us for a prolonged period of time as we wait for more news.
We are trying to stay positive during these awkward times and again would like to thank all of our Lewisport USA and OSSA USA customers for your continued support and if you need anything please do not hesitate to call/ email us !!!
Adrian and Mandy Lewis
) is the goal to achieve more events,better riders,better competition,successful dealers,profitable manufacturers,lucrative factory teams & then more development & R&D.
