EBR goes into receivership!

Erik Buell Racing has ceased production and has filed for receivership, according to a report in the Milwaukee Journal Sentinel.

"The turn we recently took, after we thought we were moving forward, was unexpected," the company's founder Erick Buell said in a statement. "We thought we had secured funding, but in the end, we were not able to get the funding in place. Therefore we need to do the best we can under the circumstances for all parties in interest.

"To say this setback is a disappointment does not begin to express what I
feel right now. I am personally grateful for the support of our
outstanding workers, customers and vendors. While this is a sad ending, I
personally hope for a new and better beginning."
After previous owner Harley-Davidson pulled the pin on Buell in 2009, Erik Buell set up EBR which also secured a $25 million, 49 per cent backing from Hero MotoCorp, the largest solo motorcycle manufacturer in the world.

That injection of funds also allowed the company to go world superbike racing, with this year's two-man team featuring Larry Pegram and Niccolo Canepa. It's not clear whether that team will compete at this weekend's round four at Assen.

A total of 126 employees are directly affected by the EBR's decision to go into court-appointed receivership, not to mention its network of American and international distributors, dealers and customers.  

Locally, EBR is distributed by Urban Moto Imports, which late today released this statement: "Whilst there are speculative news reports on EBR's current situation, we cannot report to you any official notifications of any changes. So until such time it is business as usual for EBR in Australia & New Zealand. We will update you immediately once we have news from EBR head office in the USA."

Meanwhile, Larry Pegrem, team manager for Team Hero EBR, in Assen for the Dutch round of the WorldSBK this weekend, has spoken about the future of the team: "For Team Hero EBR, nothing has really changed," Pegram said. "We are going to be racing this weekend and we plan to continue for the season. All indications are that we are going to be able to do that.

"There is obviously some restructuring and financial stuff going on in the USA, but we are over here in Assen and getting ready for a good weekend.”

Asked whether completing the 2015 season with two bikes is genuinely feasible, Pegram replied: "We are confident that everything is okay; we have got some assurance with that and we are looking forward to the rest of the season."