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American LaFrance exhibits at FDIC, discusses bankruptcy recovery

By Jamie Thompson
FireRescue1 News Editor


Photo Jamie Thompson
Michael Gordon, director of fire product marketing for American LaFrance, on the show floor at FDIC.

INDIANAPOLIS — With American LaFrance’s current financial troubles, some had wondered whether there would be a large void where the company exhibits every year at FDIC in Indianapolis.

But bosses at the fire truck manufacturer said there was never any doubt about its appearance at the industry’s largest conference and expo this year — and reiterated that it’s on course to exit bankruptcy.

At the start of the month, it was reported that the manufacturer had reached an agreement with its main creditors over how it plans to repay its debts. It means it will be able to return to full production.

Speaking from the exhibition floor at FDIC, Michael Gordon, ALF director of fire product marketing, said, “People came here to validate. They came here hoping and expecting, and when they saw the booth they saw we had trucks that are new deliveries.

“It helped to validate in their mind that American LaFrance truly is on the road to correction.”

In January, ALF filed for Chapter 11 bankruptcy protection, with management saying it would allow the company to “reorganize itself so it can correct its financial problems.”

Gordon said the company should come out of bankruptcy at the end of this month, when remaining creditors are expected to approve the restructuring plan.

Goodwill created
As one of the oldest fire truck manufacturers in the world — it celebrated its 175th anniversary last year — it’s fair to say the company has built up a lot of goodwill and respect in the fire service.

But Gordon admitted its recent problems, which have left departments across the country suffering lengthy delays in receiving apparatus, means ALF has a lot of work to do to win back confidence.

He said there has been a two-fold impact on the company’s customers.

“For the customers that we have failed to deliver their trucks to on time, there’s been the impact in the real sense, that they don’t have a truck,” he said.

The second has been an emotional impact, Gordon said. “The passion our customers have for our product is very high. Even though it’s not their personal vehicle, they take things very personally; the fit, the finish, all the things associated with the fire truck.

“That has been the most difficult for customers, letting them down.”

In addition, Gordon said ALF has a lot of work to do in repairing relations with dealers and creditors.

But the support from other manufacturers during the tumultuous recent period of the company’s history has helped, according to Gordon.

“Among manufacturers, there’s a high degree of camaraderie even though we’re competitors and do compete fiercely,” he said.

“No competitor I’m aware of is wishing ill will on American LaFrance.”