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April 4, 2005 – Distributor Report

The support center operated by American Honda Motor Co., Inc., Torrance Calif., has been honored as one of the best in the country. Honda received HDI Support Center Certification (HDI SCC), one of the industry’s leading certification programs for support centers. HDI is one of the world’s largest membership associations for IT service and support professionals and a leading certification body for the industry.

Honda’s Interactive Network Support Center (iNSC) provides Best-in-Class business application and technical support to over 5,000 auto, motorcycle and power equipment dealers nationwide.

Introduced in 2000, the HDI Support Center Certification program is the only open industry standards program for the certification of support center operations. HDI Support Center Certification is designed to improve the effectiveness of the support services industry and support organizations by providing a reference quality model, industry standards that are recognized worldwide, and an accompanying certification program. To become an HDI Certified Support Center, a support center must complete an on-site audit and achieve minimum scores as defined by the standards committee. HDI Support Center Certification standards and statements can be found on the HDI Web site at http://www.thinkhdi.com/certification/sitecertification.

Eastern PowerSports Expands Auction Facility
Eastern PowerSports, an affiliate of Southern Auto Auction in East Windsor, Ct., has expanded to a newly renovated 95,000-sq.-ft. facility. Pre-auction activities such as vehicle storage, write-up, repair, and reconditioning are also performed inside the facility.

“The same reasons that have brought buyers and sellers to Southern Auto Auction for the past 58 years will bring them here to do powersports business,” says Larry Tribble, owner of Southern Auto Auction.

Powersports consignors include dealers from throughout New England and institutional consignors such as GE Consumer Finance, Sheffield Financial, Bombardier Capital, and E*Trade Consumer Finance.

Tom Corbin, son of founder and CEO Mike Corbin, has been named chief operations officer of seat specialist Corbin, Hollister, Calif. As COO, Corbin is responsible for much of the daily operations of the factory he has co-managed for the last two years. He will also be taking on the tasks of business development and fulfillment in the future. Tom has recently been accepted into Harvard Business School, Owner President Management program.

Market Services International (MSI) is no longer the sales and marketing arm for Zeus Helmet America.

The move was effective March 2, 2005, according to Butch Whittington, president of MSI, which has represented Zeus Helmets since September 1999. Whittington said the venture has been successful for both parties, however, his partnership with Brian Cornelius and the demands created by their joint venture in Paragon Powersports made the move necessary.

Zeus is expected to continue doing business through its current distribution network and is expected to have a representative from the Zeus factory direct the sales and marketing in North America.

Motorcycle Industry Jobs.com (MIJ), San Diego, a job board built specifically for the powersports industry, has expanded its Web site features at www.MotorcycleIndustryJobs.com.

The company added resume posting and resume viewing to its classified ad-style online job board. Job seekers can now search for jobs as well as upload their resume into the MIJ database
for perspective employers to view — all free for the job seeker.

Also new, employers now have the ability to save money by purchasing job packs valid for one full year. Employers will also now be able to sort and view a database of resumes to find qualified candidates (for a nominal fee). Powersports companies can instantly contact job candidates that posses talents that match their open positions.

LeoVince USA says its LeoVince SBK exhaust systems for sportbikes will be represented in AMA, Formula USA and WERA national road race championships, while LeoVince X3 systems will be used in the AMA Supercross, Motocross, Supermoto and Flat Track series, as well as AMA Four-Stroke, GNCC and WORCS series races.

“LeoVince is going racing in a big way this year in the U.S.,” said Tim Calhoun, sales and marketing manager for LeoVince USA. “We’ve partnered with a lot of great teams and riders, and we’re working with them to design and develop products specifically for the American market. We’re relatively new to the U.S., but we want racers and fans alike to experience the performance and quality that’s made LeoVince SBK the premier exhaust system manufacturer in Europe for over 50 years.”

LeoVince is a division of Sito Gruppo Industriale based in Monticello d’Alba, Italy. Sito claims to be the largest exhaust manufacturer in Europe. LeoVince USA brands — SBK for sportbikes, Silvertail for cruisers, Scoot for scooters, and X3 for off-road and ATVs — is distributed by Western Power Sports.

In addition to directly supported teams, LeoVince USA has posted over $460,000 in contingency awards in Flat Track, Motocross, Road Race, Supercross and SuperMoto series across the country for riders using LeoVince exhaust systems.

Carlisle Companies Incorporated (NYSE:CSL), Charlotte, N.C., reported income from continuing operations of $21.4 million, or 69 cents per diluted share in the fourth quarter 2004, compared to $19.6 million or 63 cents per diluted share from continuing operations in the fourth quarter 2003. Net sales of $549.1 million in the fourth quarter 2004 were 16% over fourth quarter 2003 net sales of $474.1 million. Organic net sales growth of $70.0 million, or 15% in the fourth quarter 2004, accounted for most of the increase over the fourth quarter 2003. (Carlisle’s so-called “organic growth” figures exclude acquisitions, discontinued operations and divestitures made within the most recent 12 months.) Fourth quarter sales included $3.6 million of favorable changes in foreign currency rates. The impact of foreign currency rates on income was negligible. Net sales of $2.23 billion in 2004 were 18% above 2003 net sales of $1.89 billion. Organic sales growth of $326.4 million, or 17%, included $17.1 million of favorable changes in foreign currency rates. The impact of foreign currency rates on income was negligible.

Income of $118.3 million, or $3.77 per diluted share from continuing operations in 2004, was 34% above the $88.5 million, or $2.87 per diluted share, from continuing operations in 2003.

Income from continuing operations in the fourth quarter 2004 included a 2 cent per diluted share charge related to disposal activities, compared to a 3 cents per diluted share charge in the fourth quarter 2003. Income from continuing operations for the full year 2004 included a 6 cents per diluted share charge tied to disposal activities, compared to an 11 cents per diluted share charge for the full year 2003.

The full year 2004 income from continuing operations was reduced by unrecovered raw material costs of 29 cents per share.

Black Widow ATV Works, Inc., a company founded in 2002 to support ATV racers with custom engines, has introduced what it calls its flagship ATV engine, the 625cc “Redhead.”

“The Redhead has been designed from the ground up to be the fastest, strongest, smoothest single-cylinder two-stroke production engine ever put in an ATV,” said Blackwidow founder Brad Oakley. “Finally, a serious racer will be able to buy a complete engine that will beat the competition right out of the box, without having to spend a fortune in upgrades just to compete.”

Equipped with Power Valve Technology, the engine features a single, counterbalanced 100mm Wiseco piston, a 79mm stroke, variable compression ratios, a five-speed wide-ratio transmission (close-ratio optional), a forward kick-starting system and a 7500 RPM redline.

Oakley says the engine is in the final testing phase. He says Blackwidow plans to begin delivering engines in May.

For more information, call Oakley at 801/302-9288.

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