Harley-Davidson, who left India, will have to pay 75 million to rebuild

Harley-Davidson, a US motorcycle manufacturer, is leaving India after working in the country for 11 years. This will cost them 75 million to restructure. The agency said in a statement.

 

Harley-Davidson said the company had agreed to additional restructuring action on the global dealer network, international markets, sales and construction shutdowns in India from August 8 this year. Harley announced two months ago that they want to walk the path of making more focused and profitable motorcycles as they capture the current market like the United States. Earlier this year, they said they wanted to reduce their product portfolio and exit the small market.

 

Of the 75 million restructuring cost they are expected to pay, 80 percent will go to cash, including about 3 million in one-time pricing costs, about 5 million in non-current asset adjustment and termination of contracts, and about other costs. They have to spend  67 million. Harley-Davidson estimates that their total reconstruction cost in 2020 will be 179 million. Of these, about 60 have been laid off in India. Harley said they do not see a profit in this country, less than 5 percent of their total sales are sold in this country. Since then, the company has suffered serious losses due to Corona. They want to complete all the work related to this restructuring within the next 12 months. For now, Harley wants to focus on North America, Europe and the Asia-Pacific region.