Saleen in Trouble

Discussion in 'OT Driven' started by TriShield, Feb 4, 2009.

  1. TriShield

    TriShield Super Moderator® Super Moderator

    Joined:
    Jul 6, 2001
    Messages:
    132,806
    Likes Received:
    1,704
    Location:
    PRESIDENTIAL TOWER, GREAT AGAIN, NY
    Saleen, Inc. sells off most of its assets

    [​IMG]

    Irvine, California, February 2, 2009 -- After announcing it was looking for a buyer in early November, Saleen Incorporated announced today that MJ Acquistions has acquired certain assets of America's premier automotive lifestyle brand, relating to Saleen's supercharger, aftermarket and high performance street vehicle businesses.

    The transaction reportedly was finalized last Friday, which left all of the employees (including Saleen Inc. CEO Chris Theodore) with the legal formality of being without jobs -- at least temporarily. Some hirebacks have already taken place as the transition progresses.

    While the terms of the deal were not disclosed, the purchase does not include the assets associated with the supercar (S7 or S5 Raptor vehicles) or the paint operations, which will remain with Saleen Incorporated.

    The ownership of MJ Acquisitions controls a family of companies which provide full service engineering, design, manufacturing, assembly and control systems for the automotive industry. It's affilitated companies include Cyltec, LLC, Power-Tec Engineering, LLC, Arrow Racing Engines, LLC, and Control-Tec, LLC.

    "MJ Acquisitions and its affiliates are a group of true car professionals with vast experience in the engineering, production, assembly and distribution of performance and racing vehicles" said Theodore in a press release. "This influx of new life into the Saleen, RaceCraft and SpeedLab brands is a win-win situation."

    Theodore noted loyal Saleen customers, dealers and enthusiasts can look forward to an exciting transition period.

    "We moved on this purchase quickly to ensure that the process of delivering high-quality automobiles and components to the consumers is not disrupted," said Mike Shields, President and CEO of MJ Acquisitions. "We are working with the talented team from Saleen and our own experts to continue the quality, delivery, and performance the customer base and delalership network have come to expect from the Saleen brand. I am particularly excited about Saleen's supercharger experience and its synergies with Power-Tec's development of the next generation of superchargers."

    Immediate plans are to roll out the 2010 version of the newly designed Mustang for the Racecraft brand and commence other Racecraft designs for additional vehicles. The new Mustang is shipping from Ford later this month. Additionally, the Saleen brand will have a new design of the flagship S-Line that is already in the works and scheduled for release in the third quarter of 2009.

    While this announcement may provide more questions than answers for some, Saleen owners should be assured that key warranty and sales staff are still at the company to serve dealers and owners, with more hirebacks likely coming in the days ahead.

    MJ Acquistions does plan to work with the dealer network and others to establish the future product line. A company spokesperson said more announcements will be forthcoming, so stay tuned.
     
  2. Shiva Chaos

    Shiva Chaos i see boobies!

    Joined:
    Aug 6, 2002
    Messages:
    106,187
    Likes Received:
    0
    Location:
    Under your bed
    i wouldn't be surprised.
     
  3. TriShield

    TriShield Super Moderator® Super Moderator

    Joined:
    Jul 6, 2001
    Messages:
    132,806
    Likes Received:
    1,704
    Location:
    PRESIDENTIAL TOWER, GREAT AGAIN, NY
    Saleen Warranties Dissolve As Former Owner Ceases Operations

    Saleen Inc., amidst financial distress, ceases operations and leaves Saleen vehicles and its owners without warranties

    Breaking News -- March 06, 2009
    by Jim Dvorak, Saleen Owners and Enthusiasts Club, www.soec.org

    Today, all certified Saleen and Racecraft dealers were sent a letter from MJ Acquisitions, Inc., the new caretakers of the Saleen brand.

    And like most stories these days, there is often good news and bad news -- and this story is no different.

    The Good News

    MJ Acquisitions, consisting of an experienced and energetic staff who are very familiar with the Saleen brand, will continue to provide service parts, performance parts, accessories and letters of authentication to support Saleen and Racecraft vehicle owners well into the future.

    The Bad News

    Those Saleen and Racecraft owners needing dealer-provided in-warranty repairs of Saleen components are likely to incur an unforeseen out-of-pocket cost that my not be reimbursed, due to unfortunate circumstances with the financial condition of the brand's former owners, Saleen, Inc.

    Bad News Backgrounder

    After announcing it was seeking a buyer last Fall due to the recent and current economic conditions, Saleen, Inc. -- a company majority-owned by Hancock Park Associates -- was on a direct path to cease all operations for public business as of February 01, 2009. After a brief period of negotiations, MJ Acquisitions stepped-in as a bailout action and purchased certain assets of Saleen, Inc. on January 30, 2009. This transaction was an effort to keep the brand from becoming completely extinct.

    The now-former owner of the brand, Saleen, Inc., has just announced it has ceased all operations. Saleen, Inc. is responsible for warranties existing before February 2, 2009, and thus regrettably it has been announced that they are now unable to honor any warranties on any of its parts, services, and vehicles including cars, trucks, and aftermarket parts prior to this date. All inquiries regarding these and other financial claims for Saleen, Inc. should go to Jaimee L. Witten of Bodman LLP at (313) 392-1045.

    Furthermore, it has been stated that Saleen, Inc. is responsible for parts and labor costs on all vehicles with a remaining Saleen, Inc.-backed factory warranty – those currently in the hands of owners, as well as those that may remain on showroom floors.

    MJ Acquisitions, the “new Saleen,” will continue to sell parts to the certified dealers, at a discount, to allow dealers to service their existing inventory and customer vehicles. It will, however, be the dealer's responsibility to contact the representative of Saleen, Inc. at the number above to obtain any reimbursement for parts and labor costs associated with the repair of a Saleen or Racecraft vehicle manufactured by Saleen, Inc.

    It was further emphasized in the letter to dealers:
    "MJ Acquisitions, Inc. is not responsible or obligated to cover warranties and/or any financial liabilities of Saleen, Inc."
    It was also expressed that the team at MJ Acquisitions does apologize for the hardship this places on its valued customers, and they understand that this will impact all parties, as it would with any automotive manufacturer closing its doors.

    A Little More Good News

    Parts purchased from MJ Acquisitions, on or after February 2, 2009, will have a 12 month/12,000 mile limited warranty against manufacturer defects.

    MJ Acquisitions, Inc., as the new caretakers of the Saleen brand, has a dedicated staff of “Saleen-bred” professionals who are knowledgeable about Saleen, Racecraft, and Mustang products, and are eager to help.

    And the balance of your Ford-covered components and their related warranty remains intact.

    How to reach MJ Acquisitions and Saleen Speedlab

    To order parts or authentication letters, call Speedlab at 1-800-888-8945, option 2
    Many parts, accessories, and apparel are available on the Speedlab eBay store at: http://stores.shop.ebay.com/SALEEN-SPEEDLAB
    For technical assistance, call 1-800-888-8945, option 4

    An Optimistic Future

    The team at MJ Acquistions asked that the Saleen Owners and Enthusiasts Club help spread the word that the existing Saleen, Racecraft and Speedlab product line will continue to be supported, and new product development is already underway. Market testing is being done on future vehicles, and news on future plans and products will be forthcoming.

    http://saleenforums.soec.org/showthread.php?t=4720
     
  4. you know me

    you know me OT where the douchbags play

    Joined:
    Dec 7, 2001
    Messages:
    84,671
    Likes Received:
    17
    good fuck saleen...I just wish that douchebag steve went down with it.
     
  5. CJPA

    CJPA New Member

    Joined:
    Jan 14, 2002
    Messages:
    114,304
    Likes Received:
    0
    Location:
    AZ, USA
    Glad I don't own a Saleen, in that case.
     
  6. TriShield

    TriShield Super Moderator® Super Moderator

    Joined:
    Jul 6, 2001
    Messages:
    132,806
    Likes Received:
    1,704
    Location:
    PRESIDENTIAL TOWER, GREAT AGAIN, NY
    Steve M. Saleen and SMS Supercars Extends Warranty Support To Loyal Customers

    [​IMG]

    “If any Saleen customer in the United States who purchased a Saleen Inc. product up until February 2, 2009, has a warranty claim, they can directly contact my new company, SMS Supercars. We will honor their remaining warranties as if they were SMS Supercars warranties.”

    -- Steve Mark Saleen, Chairman and CEO, SMS Supercars

    Dear SOEC Members,

    As I am very sure you are aware of the most recent announcements from MJ Acquisitions, Inc., the company that purchased some of the remaining Saleen, Inc., assets, about their take on customer warranty. For me, leaving my former (and hopefully future) clients out in the cold is unacceptable. I have therefore authorized the warranty department of SMS Supercars, my own and only company, to handle existing warranties on Saleen products sold up until February 2, 2009.

    We have released a statement to that effect to the press today, and I am attaching it for your information and use among the Saleen Owners and Enthusiasts Club. We have designed an easy procedure to support this initiative. Customers owning Saleen products with existing warranties should contact SMS Supercars’ warranty department at [email protected]. They will be asked to provide us with some necessary information concerning their warranty status or claim. We will then refer them to authorized dealers for the potential warranty work, which will be processed in accordance with SMS Supercars’ warranty policy. We will authorize the dealers to perform covered warranty work through a formal purchase order, and will be billed directly for that service without the customer having to pay expenses.

    As you know, SMS Supercars or myself legally have no obligation to do this, as SMS Supercars is the only company I endorse and the only company that carries my signature on its products. However, in order to protect my good name, and as a token of my appreciation to all my loyal customers over the past 25 years, making sure that my customers and their vehicles receive the care they deserve is well worth the cost.

    Sincerely,
    Steve Saleen

    Breaking News by SOEC Staff -- Orange County, California -- April 2, 2009 -- In an unusual step, SMS Supercars Chairman and CEO, Steve M. Saleen, announced to Saleen Owners and Enthusiasts Club members a new and bold measure today with regards to customer warranties on products produced by his former company, Saleen, Inc.

    Recently Saleen Inc. announced it has ceased all operations, claims it has sold certain assets to MJ Acquisitions, Inc., and has even changed its name. In a statement made on March 6, 2009 to all Saleen dealers, MJ Acquisitions announced that while “regrettably, Saleen, Inc. is unable to honor any warranties,” MJ Acquisitions will “not be responsible or obligated to cover warranties and/or financial liabilities of Saleen, Inc.”

    “I was saddened about the way the current owners of the proud company I founded, and which held onto my name after my departure two years ago, have now dealt with my loyal and longtime customers,” said Mr. Saleen, who founded Saleen over 25 years ago. Mr. Saleen remained the company’s CEO until 2006, and left the company completely in the spring of 2007. Since then Mr. Saleen has had no control of, or operational role with, his former company, its operations or its current shareholders, Hancock Park Associates.

    “The ones who have been left out in the cold are the loyal customers of Saleen products,” continued Mr. Saleen, “While my new company, SMS Supercars, has no legal or moral obligation to take up any of the warranty claims against Saleen, Inc. or MJ Acquisitions, Inc., I would like to make a bold statement on the right way to treat customers.”

    “If any Saleen customer in the United States who purchased a Saleen, Inc. product up until February 2, 2009, has a warranty claim, they can directly contact my new company, SMS Supercars,” continued Mr. Saleen. “We will honor their remaining warranties as if they were SMS Supercars warranties.” SMS Supercars’ warranty terms will apply.

    “This unusual step in these uncertain times is a measure to assure that my past and future customers, as well as Saleen and Ford dealers around the United States, continue to have faith in products bearing my name”, said Mr. Saleen, who went on to say, “Customers who have bought a Saleen product in the past will receive the attention and care they and the Saleen products deserve.”

    “Despite claims from any other company,” continues Mr. Saleen, “SMS Supercars is the only company that today offers products endorsed by Steve Saleen.”

    SMS Supercars, based in Orange County, California, is a manufacturer of high-end lifestyle performance vehicles. As his first new product, Steve Saleen launched the new SMS 570 Challenger in Newport Beach, California, on January 21, 2009. The world premiere of the new SMS 570X Challenger is scheduled for April 9, 2009, at 1.30 p.m. at the New York International Auto Show.

    Customers with warranty claims can contact the SMS Supercars warranty department at (714) 400-2121, [email protected] or visit www.smssupercars.com.
     
  7. TriShield

    TriShield Super Moderator® Super Moderator

    Joined:
    Jul 6, 2001
    Messages:
    132,806
    Likes Received:
    1,704
    Location:
    PRESIDENTIAL TOWER, GREAT AGAIN, NY
    Steve steps up. :cool:
     
  8. CJPA

    CJPA New Member

    Joined:
    Jan 14, 2002
    Messages:
    114,304
    Likes Received:
    0
    Location:
    AZ, USA
    That is pretty bad-ass.

    Sucks for those vehicles sitting unsold on dealer lots, though--but I won't be buying one so I DGAF
     
  9. murderer

    murderer ****** by ***** *********s

    Joined:
    Oct 15, 2006
    Messages:
    2,733
    Likes Received:
    0
    That's fucking awesome. I'm buying an SMS car someday because of him.
     
  10. Boomdart

    Boomdart New Member

    Joined:
    Apr 28, 2005
    Messages:
    40,093
    Likes Received:
    0
    I guess when you make a car that only very, very few people can afford you can't expect to stay in business too long :dunno:

    edit: yeah, these cars might cost as much as some luxury cars, but that's different. You can drive a luxury car any day you want anywhere you want... you wouldn't really want to drive a saleen everyday :o
     
    Last edited: Apr 14, 2009
  11. Pussysmith

    Pussysmith Banned

    Joined:
    Oct 23, 2004
    Messages:
    429
    Likes Received:
    0
    I feel like the buyer of Saleen should have the one to warranty the vehicles no? So wouldn't SMS just really doing what they may have bargained out of their sale to the current buyer of Saleen?
     
  12. Bernout

    Bernout OT Supporter

    Joined:
    Jan 8, 2002
    Messages:
    20,687
    Likes Received:
    0
    Location:
    San Francisco, CA
    Yeah, sounds like a real douchebag. :ugh2:

    “If any Saleen customer in the United States who purchased a Saleen Inc. product up until February 2, 2009, has a warranty claim, they can directly contact my new company, SMS Supercars. We will honor their remaining warranties as if they were SMS Supercars warranties.”

    -- Steve Mark Saleen, Chairman and CEO, SMS Supercars
    :cool:
     
  13. art_VW_shark

    art_VW_shark OT Supporter

    Joined:
    Oct 23, 2005
    Messages:
    156,737
    Likes Received:
    202
    Location:
    Bosstown
    I am surprised aftermarket OEMs like Hennessy , Saleen, Steeda, etc and the bit have turn-key ops. how many of each do you actually see? I've seen so few Rousch/Saleen 'Stangs, I am surprised they break even on turn key
     

Share This Page