No offense taken.  I have been in Starbucks once in 18 months. We grind our own 
coffee, but the DR says don't drink it.   I do, twice a week.    I have not 
purchased an S car in 3 years.  I did buy a BTS  EBT Sn3 10 wheeler kit (on the 
Visa card).  His last one

I am basically a model builder, At least 150 architectural models around the 
world and 82 in FORTUNE Magazine.  This changed my model railroad interests. 
Having ridden 207 (non tourist) railroads I do not stick to one prototype too 
closely. Did you ever ride in the cab of a Mohawk?   Goose #5 in a blizzard? 
Eat in all the Grand Central restaurants?  or NYC, PRR, GN diners, or Marine 
troop trains? or TGV's ?
I'm bragging ,and love doing it in this world of diseasels

 Running trains in a circle is good for 15 minutes.  I did run trains on the 
Cuyahoga Valley scale layout (with my 2 Pennsy I-1s)  but the club had a very 
nasty split.  Almost all the trackwork and scenery was done in my basement. I'm 
back into interurbans and having fun.  The gon would fit in with traction 
interchange operation, but $3000 of medical and dental bills are staring at us..

Getting the project done in the US is great. Will it be sold thru dealers?

John Armstrong
  ----- Original Message ----- 
  From: Edward Loizeaux 
  To: List, S scale 
  Sent: Tuesday, November 09, 2010 6:21 PM
  Subject: {S-Scale List} Drop-bottom Gondola


    
  >> When I saw the price on that gon <snip> 

  >> I know costs, having been in industry, BUT double anything else?

  >> Is the Calfornia State Deficit included in the price?

  >> John 

  John..

  You are normally a rather astute person, but... 

  Compare our drop-bottom gondola kit to a kit from Jim King. Both are fine
  kits. Among the best. One comes painted and lettered and with twelve
  different prototypically correct numbers for a price that is CHEAPER than a
  similar kit from the competition that is unpainted. So compared to an
  equivalent kit from an different commercial producer, the drop-bottom
  gondola is not out of line at all. In fact, one might even say our kit
  prices are quite reasonable. 

  "Double anything else" is an interesting comparison. The newer SHS freight
  cars are running about $53. The DPH freight cars are running about $45-$56
  depending on the specific car. The AM gondola costs about $36, but has a
  LOT LESS detail. Comparing to the AM gondola is sort of an
  apples-to-bananas comparison -- like comparing a very nice toy to an
  authentic fully-detailed scale model. The two are not equivalent to each
  other. I'd bet the next production run of AM gons will be higher in price,
  but that is speculation on my part. The AM deluxe 40' box cars run about
  $44. Our RTR gondola is priced at $91 which is higher, but not quite double
  many other S scale freight cars. Why is that? 

  Our cars are manufactured, assembled, painted and lettered in Illinois.
  Without checking the specifics, I would surmise the other cars are made in
  an area where lower wages prevail. The company making our cars is a real
  business with offices, shops, employees, health benefits, computers,
  tooling, production machinery, etc. on the premises. They pay taxes, use
  consultants and are well known in the O scale world. Yep, they have already
  made an O scale gondola similar to the GS drop-bottom gondola we are
  selling. So, for better or worse, our labor costs are much higher than
  those of the honorable S competition. 

  The advantage of doing business in Illinois is that we can obtain much
  smaller production quantities without the cost of hard tooling. We do not
  need to buy huge quantities in order to have a new product for S scale.
  This project is within our reach and we are happy to offer it. We did talk
  to most of the existing S manufacturers/importers about this project, but
  could not work out satisfactory quantities, costs and timeframes for this
  particular car. One of the big hurdles was asking for both RTR cars and
  kits and scale and AF-compatible wheels. We wanted our cake and eat it too,
  but found that difficult to obtain from any single USA source. Sorry about
  that, but it just wasn't workable in 2010. 

  I guess the proof of the pudding is in the end result. If this drop-bottom
  gondola project is successful, there will be motivation for other similar
  future projects. If it is not successful, then you will just have to wait
  for some other firm to resume making new stuff for our favorite scale.
  Actually, it is my belief that we all can co-exist in harmony - some making
  kits, some making RTR and maybe some actually doing both. Now there is a
  thought!!

  Regarding California's budget crises, our new Governor Moonbeam says he will
  take care of the problem. I guess Arnold the Terminator was not strong
  enough. In the meantime, we do not charge any sales tax when the cars are
  shipped to an out of state address. Buy it here in California and there
  will be a sales tax of about 9% approx (forgot the exact percentage).

  Thanks for your message, John, it gave me an opportunity to explain our
  situation. I'd be willing to bet you can afford one kit merely by avoiding
  Starbucks for 25 weeks. After all, 25 weeks times $3 per cup equals $75.
  Just a thought to cogitate upon. After 25 weeks which would you rather
  have: a really nice new car on your layout or fond memories of flavored
  water? 

  Take care now... Much of this is meant in friendly jest and good humor.
  Please do not take offense.

  "S"incerely..Ed L.

  [Non-text portions of this message have been removed]



  

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