Model Railroading > No comments on Micro Engineering?

According to an ad in the December Model Railroader, Micro Engineering (track, switches and other items) is up for sale at $500,000.  Time for the hobby market experts to step forward.  Seems like Walthers missed an opportunity.

Walthers doesn't have money to make a purchase like that anymore. We should start taking odds how long it is until Walthers goes up for sale.

Interesting for sure. I wonder which way this will go, either picked up or completely dropped. 

Mike ONeill
Parker, CO

If some buyer could get a loan at 7% interest for a ten year note they would have to come up with about $22,000 for debt service/retirement every year.
That is a huge hill to climb to my mind.
I wonder if Micro Engineering has roughed out a business plan of their gross sales, operating costs, etc.

pull your claws in !

I wouldn't buy it if they couldn't come up with some real numbers.

Victor

railstiesballast Wrote:
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> 
> I wonder if Micro Engineering has roughed out a
> business plan of their gross sales, operating
> costs, etc.

Thanks for the info, had not seen this before. I had tried a handful of ME switches this past couple of years, they seem to have their faithful supporters. Biggest problems I had was finding them in stock, next was waiting for them as backordered. They have a number of good ideas, seem to be rugged. Worked just fine after some care and tweeking. Sorry to see another hobby vendor exiting the market, would be nice if somebody was able to pick up the product line. To be honest I don't see how any of these guys can make a buck.

Should add their bridge kits were a very welcome addition to the hobby years ago. That could be a problem.



Edited 1 time(s). Last edit at 11/04/21 16:01 by TCnR.

How much of their product is made here in the U.S? It is my understanding that the track is made here in the U.S. If it is all made here, perhaps somone could buy the business and outsource to you know where. Sad, but that might be the business model that will make it work. It would be my luck that I'd make such an investment and we get into a military skirmish with China with no product.

Victor



Edited 3 time(s). Last edit at 11/04/21 16:48 by wabash2800.

Walthers was smart and decided to do their own new track design, which as far as I am concerned is far superior.  

ME is nice track, but is so finicky. You need to completely rebuild them before you use them!

I will be using Walthers or Peco from here on out.

It's sad to hear about this. It's survival of the fittest in today's market,sad but reality does bite hard!

Steve

The ad doesn't say they're asking $500,000, only that their machinery is valued at that price.

Sorry to be ignorant . Are the microtrain couplers part of this or is that a different company ?

Jon Fink
Schenectady, NY

No. Micro Engineering is a different company and has nothing to do with couplers. Micro Enginnering makes turnouts, flex track, detail parts and bridges for model railroaders in N and HO.

Victor

Highhood Wrote:
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> Sorry to be ignorant . Are the microtrain couplers
> part of this or is that a different company ?

Highhood Wrote:
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> Sorry to be ignorant . Are the microtrain couplers
> part of this or is that a different company ?

Microtrain couplers are made by Kadee Manufacturing Co.

PHall Wrote:
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> Highhood Wrote:
> --------------------------------------------------
> -----
> > Sorry to be ignorant . Are the microtrain
> couplers
> > part of this or is that a different company ?
>
> Microtrain couplers are made by Kadee
> Manufacturing Co.

Perhaps at one time, but Kadee and Microtrains are two separate companies for over 25 years now.

https://en.wikipedia.org/wiki/Kadee

From the wiki: "In the early 1990s, the Edwards brothers had a falling out and parted ways. Dale took Kadee which is based in White City, Oregon. The business is in the hands of his son-in-law, Alan Vezzani. When the brothers split, Keith established Micro-Trains Line in Talent, Oregon, about 30 mi (48 km) from White City. Micro-Trains specialized in N scale products, expanding later to include Nn3 and Z scale.["

Micro Engineering switches are not very durable and over time all mine failed. I would never buy one of their switches again and I do not like their flex track. Very hard to work with but the weathered version does look good. The new #5 ladder switch system is quite ingenious. There are many other superior products to their track and no one wants to get into the manufacturing business in the states. The new Walthers switches are very well made and look great. They did a nice job with them.  Bruce

I mentioned this thread to a friend that knows the owner of ME and he said the owner never said a thing to him about it. First he has heard this. Ill fill you guys in when i hear more.
 

What about the ad in Model Railroader?  The owner didn't post that?

A copy of the ad was posted over at MRH forums, but I've copied it here.

https://model-railroad-hobbyist.com/node/43829

 



Edited 1 time(s). Last edit at 11/07/21 12:08 by SPDRGWfan.

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No N scale products on the kadee.com site.  If they do make them, they don't seem to be the people actually marketing them.

trackplanner Wrote:
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> The ad doesn't say they're asking $500,000, only
> that their machinery is valued at that price.

I wonder what the equipment is ? Does ME do its own injection molding in house?