Arctic Cat Suspending Operations in St. Cloud, Thief River Falls
THIEF RIVER FALLS (WJON News) -- Arctic Cat's parent company has announced it is suspending its manufacturing operations indefinitely at its facilities in St. Cloud and Thief River Falls.
That will happen after the planned production in the first half of 2025 is complete.
Textron Inc. says this is in response to the ongoing business conditions facing the power sports industry.
In a statement released to WJON News, Arctic Cat says it remains open for business with respect to selling current inventory and providing aftermarket support and services to their existing customer base.
Arctic Cat will release its manufacturing employees at the St. Cloud and Thief River Falls facilities once they've completed their existing customer commitments.
Arctic Cat plans to monitor industry conditions throughout the suspension.
St. Cloud EDA Director Cathy Mehelich says according to city records, the St. Cloud plant has averaged between 40 and 50 employees over the years.
Brief Arctic Cat History:
Arctic Cat was formed in 1960 by Edgar Hetteen after he left his previous business Polaris Industries. The company made its first snowmobile in 1960.
It has produced a number of product lines over the years including snowblowers, generators, mini bikes, personal watercraft, helicopters, and two-wheel drive vehicles.
In January 2017 it was announced that Textron would acquire Arctic Cat for $247 million.
Textron Inc.'s 8-K filing with the U.S. Securities and Exchange Commission.
In response to the ongoing business conditions facing the powersports industry, Arctic Cat will suspend manufacturing operations indefinitely at our facilities in Thief River Falls and St. Cloud, Minnesota, after planned production in the first half of 2025 is complete.
Textron Inc. also announced that it is exploring strategic alternatives regarding the future of the powersports business. These actions are difficult but necessary as we have continued to experience softness in consumer end-market demand, resulting in a need to reduce costs.
Arctic Cat remains open for business with respect to selling current inventory and providing aftermarket support and services to our existing installed customer base. Our sales organization, customer service teams, aftermarket distribution centers, and other functions are ready to assist our dealers and loyal customers. We are committed to providing the service and support to keep our thousands of loyal customers riding and enjoying Arctic Cat vehicles.
We will resume production as planned after the new year to produce units under existing customer commitments. However, once that build is completed, we will suspend operations indefinitely, and will release our manufacturing employees at the Thief River Falls and St. Cloud facilities. Employees who work through their specific completion date will be offered severance benefits.
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