Specialist
Former SVP at Navistar International Corp
Agenda
- Implications of coronavirus pandemic and potential economic downturn on truck manufacturing
- Competitive landscape – key players' ability to manage and respond to headwinds
- Supply and demand dynamics, and 2020-21 outlook
Questions
1.
How are the different areas of the US truck manufacturing and distribution business being impacted by coronavirus? What is happening to the OEMs, the parts business, the engine manufacturers and distributors?
2.
How much time do the loans you mentioned buy for truck companies, given that, as you said, it might take 3-5 years to recover?
3.
With regards to the deliveries on orders that have already been placed, you mentioned some clients are seeking to cancel orders. What are the penalties for cancelling and how much deposit are they at risk of losing?
4.
How should we think about pricing with regards to excess inventory? What sort of discount might we expect? How will that trend in the next few years?
5.
You mentioned that you expect a stretched-out U-shaped recovery, but have we reached the bottom of the U yet?
6.
Which OEMs do you think are best- and worst-positioned?
7.
How should we think about OEMs’ margin profiles, especially with such low orders and deliveries? What might the margin profiles be like for them in the next few years?
