Fairmont Homes, Inc.Nappanee, IN, United States

RV Makers Face Mounting Problems - RV manufacturers are experiencing tough times as waning consumer confidence, a tight credit market, falling home values, and high fuel prices are making consumers second-guess purchases of big ticket items. Large companies like Coachmen Industries expect to weather the current downturn, but others, like National RV Holdings, have filed for bankruptcy, and still others, like Western RV and Alfa Leisure, have gone out of business. Despite the grim outlook, the Recreational Vehicle Industry Association says that the RV business tends to lead the way into, and out of, tough economic times.

Study Shows RV Vacations Most Affordable - A PKF Consulting study shows that, despite high fuel prices, RV vacations are still less expensive than the other types. RV family vacations are, on average, about 27 to 61 percent less expensive, as avoiding spending for air travel, hotels, and restaurants offsets higher fuel costs. RV trips are cheaper even when the costs of RV ownership are factored in, according to the study.

RV Makers Raise Cash Amid Downturn - Faced with skittish consumers and slow sales, RV manufacturers are struggling to raise operating cash and ride out the trough of the cyclical RV market. RV maker Fleetwood Enterprises, which saw fiscal fourth quarter RV sales fall more than 30 percent, has sold its California corporate office and 12 million shares of common stock to raise cash. Fleetwood competitor Coachman Industries has borrowed against the value of the life insurance policies of its employees and retirees.