Discover the latest news trending on FoxBusiness.com.
A significant shareholder in Harley-Davidson is demanding major changes to the company’s board, insisting that CEO Jochen Zeitz and two other longstanding members should be replaced.
H Partners Management announced on Wednesday that it is urging other Harley-Davidson shareholders to issue “withhold” votes at the upcoming shareholder meeting in May, where the re-election of Zeitz and two board members, Thomas Linebarger and Sara Levinson, is slated for a vote.
The firm holds approximately 9.1% of the motorcycle company’s shares. Jared Doureville, one of its principals, served on Harley-Davidson’s board from February 2022 until recently when he resigned.
The Harley Davidson Motorcycles corporate logo is featured at their store in Disney Springs at Walt Disney World on June 1, 2024, in Orlando, Florida. (Photo by Gary Hershorn/Getty Images / Getty Images)
Voting “withhold” would send a “strong message to the Board that shareholders are unhappy with the current situation and that significant changes are needed,” the investment firm stated in a filing with the Securities and Exchange Commission (SEC).
In a publicly available letter, H Partners urged the Harley-Davidson board to “immediately replace” Zeitz with an interim CEO “until a permanent external CEO can be appointed.”
“An absentee CEO announcing his plans to retire should not be making decisions that affect the company’s long-term future,” the investment firm emphasized. “Furthermore, the current Board, which is heavily dominated by a few long-standing members, is not trustworthy when it comes to overseeing critical decisions, including those regarding CEO succession.”
Earlier this month, Harley-Davidson announced that it was in the process of finding a new CEO to succeed Zeitz, who indicated to the board late last year that he intended to retire.
H Partners claimed that the motorcycle company has suffered from “poor performance” due to an “inability to adjust course,” which it partially attributed to Zeitz and Linebarger.
A close-up view of a Harley-Davidson motorcycle captured on Whyte Avenue in Edmonton, Alberta, Canada, on Sept. 10, 2023. (Artur Widak/NurPhoto via Getty Images / Getty Images)
It further alleged that both Zeitz and Linebarger had not maintained transparency with the rest of the Board. Zeitz, Linebarger, and Levinson are described as “entrenched” and “unable to hold one another accountable for subpar performance.”
In its SEC filing, H Partners expressed “deep concern that if the Board remains as is, it will choose the new permanent CEO and continue the current strategic path, ultimately leading to further degradation of shareholder value.”
As of Wednesday, shares of Harley-Davidson have decreased by over 24% since the beginning of the year. In the past year, shares have fallen by 42.7%.
“It is crucial to appoint a leader who will mend relationships with dealers, connect with riders, honor and enhance the brand, improve corporate culture, restore the historic Milwaukee headquarters presence, and bring Harley-Davidson back to its former glory,” H Partners stated in their letter to shareholders.
FOX Business has reached out to Harley-Davidson for response.
Earlier in February, the company reported a revenue of $4.12 billion in 2024, marking a 14.9% decline from the previous year. Its annual net income also dropped to $455.36 million.
The Harley-Davidson logo is visible near a store in Krakow, Poland, on Jan. 24, 2024. (Jakub Porzycki/NurPhoto via Getty Images / Getty Images)
During that time, Zeitz noted that Harley-Davidson “saw our performance being greatly affected by the ongoing cyclical challenges for discretionary items, especially the high-interest rate environment impacting consumer confidence” in 2024.
Morgan Wallen has just treated himself to a motorcycle.
During an in-person guest spot on the This Past Weekend With Theo Von podcast, Wallen was seen wearing a Harley Davidson hat, leading the host to inquire about it.
Von recalled Wallen expressing his desire for a Harley, and now it appears he has fulfilled that wish.
“I got this amazing, vintage bike. I love it,” Wallen shares. “I’ve done a bit of dirt biking before — just enough to know my way around a bike already.”
Von humorously suggested that Wallen might need to attach a breathalyzer to his Harley to start it.
The country star chuckled at the notion, replying: “Honestly, I’m surprised I don’t have that on every vehicle I own. Shoutout to Davidson County.”
A year has passed since Wallen was arrested for disorderly conduct while intoxicated. Last April, the renowned artist threw a chair off Eric Church’s Nashville bar roof, which led to two felony charges later reduced to misdemeanors.
Wallen enjoys the Harley Davidson lifestyle for the same reason he likes hunting with friends: It allows him to go incognito.
“I love it because with the helmet on, nobody knows who you are,” the singer explains.
“It demands your attention — you’re not on your phone or doing anything else. You focus strictly on what you need to do on that bike. I really appreciate that part of it.”
Wallen often finds it challenging to be in the limelight, so being able to don a helmet and escape to the countryside is just what he needs right now. He values this time for himself as well.
“You can be riding, and then suddenly five hours have flown by, and you didn’t even notice,” he reflects.
12 Revealing Morgan Wallen Lyrics That Show the Dark Side of Fame
Morgan Wallen has produced a variety of party hits, drinking anthems, and classic country tunes, but he also has an abundance of poignant songs.
Time and again, Wallen has candidly shared his battles with fame and personal struggles through his lyrics. Check out the gallery below for a collection of Morgan Wallen songs that shed light on the more challenging aspects of his fame.
Although I haven’t ridden a Sportster in a while, I’m eager to take this one for a spin. My back issue has significantly improved, and this bike seems to be much more accommodating for it.
One of the major enhancements that Harley is promoting may sound unbelievable. The company has successfully increased the travel of the three-way adjustable rear shock by an astonishing 60 percent.
The enhanced rear suspension is expected to provide a much smoother ride.Harley-Davidson
In numerical terms, the travel has risen from two inches to 3.2 inches, without a notable difference in seat height. The seat height measures at 28.9 inches (when laden), which is quite remarkable for a sport bike.
This specific category usually has the second highest seat heights, trailing only behind off-road bikes. The latter requires taller seats for better ground clearance to handle uneven surfaces, while the sport bikes aim to maximize lean angles in turns.
This feature becomes increasingly crucial on the track. For casual riders, however, it’s not as significant.
Today, we have an exciting range of updates from various sectors of the Powersports industry:
CCM is gearing up for a global launch into new markets.
Yamaha is working on a V4 engine: Learn about its anticipated launch and the implications for future models in Yamaha’s lineup.
Harley-Davidson has lost a significant lawsuit and will be subject to a staggering 56% tax on HD motorcycle sales in Europe.
Ducati has capped its production at 200,000 units per year, and now we know the reason behind it.
Let’s kick things off with CCM, especially since that Harley lawsuit is quite the hot topic…
CCM Unveils Plans for International Expansion
A view of a CCM motorcycle. Media sourced from CCM.
…Featuring a “Three-Year Model Plan”
The last significant update on CCM was back in 2022 when they unveiled a titanium-framed Spitfire for their Golden Anniversary. Currently, it seems Clews’ Competition Motorcycles is keen to emulate Buell’s success, as they’ve recently announced ambitions for international growth, with their Managing Director sharing:
“In three years, we will definitely have new products and be present in multiple international markets. That’s our ultimate aim.”
It appears that CCM recognizes that its current 600cc engine does not meet Euro5+ standards and considers achieving compliance a “complex and challenging process.”
Currently, CCM utilizes the Motorcycle Single Vehicle Approval (MSVA) process to sell bikes in the UK. This lengthy process requires a thorough inspection from a DVSA examiner, which has limited CCM’s market reach (hence the company’s desire to innovate for its clientele).
The “new” offerings are expected to include a revamped engine within two years and the upcoming “Project X,” an adventure concept featuring their existing engine planned for a debut around Q2 next year (2025).
For those curious, the road-ready version of Project X is projected to be priced around £13,995 plus OTR. Specs will likely feature retro Dakar rally designs, including spoked wheels, a sizeable fuel tank, and a compact head fairing, complemented by a USD fork and long-travel rear suspension.
CCM expects this new adventure bike line to absorb about 50% of their production capabilities, with estimates of around 300 units per year, although this could increase as discussions of international market entry progress.
“An adventure bike fills a critical gap for us over the next two years. During this timeframe, we’ll launch a new product with a new engine and chassis, followed by an 18-month homologation period.”
Broome’s pragmatic approach offers realistic timelines and expectations for model success, especially considering the inherent risks associated with international expansion:
“We prefer not to set numeric limits because we don’t want to overpromise and underdeliver. Our production capacity for CCM bikes is about 300 per year, and we anticipate that about 50% of this will be allocated to the new model due to the resource demands.”
Would you like to see CCM’s single-cylinder Spitfire available in the U.S.?
Yamaha Sets the Stage for V4 Engine in MotoGP
Quartararo on Yamaha’s 2023 YZF-R1. Media sourced from GPOne.
Inline-Four Replacement Expected by 2025
The journey of a motorcycle typically includes various iterations, tweaks, and upgrades until inevitably it falls from favor or is withdrawn from the market due to economic challenges, regulatory shifts, or emissions demands.
Such is the fate of Yamaha’s R1, once touted as one of the finest supersport motorcycles ever created. While R1 enthusiasts continue to embrace it on the racetrack, markets lament the loss of the signature inline-four roar echoing on the country roads.
For those missing that sound, we bring you exciting developments around Yamaha’s potential inline-four replacement: a V4 engine poised for its debut on the MotoGP circuit.
Discussion surrounding this engine has circulated widely, but let’s rely on insights from Alex Rins (sourced from Visordown) for credible information:
Currently, Yamaha stands as the only manufacturer in MotoGP utilizing an inline-four engine.
The switch to a V4 configuration aims to enhance Yamaha’s competitive edge against rivals like Ducati, Aprilia, and KTM, who successfully employ similar engines.
Yamaha has recruited an array of talent, including engineers and technicians from Ducati, to fortify their MotoGP team.
Leading F1 engine consultant (Luca Morini), formerly associated with Aprilia, is among the new faces advocating for the transition to V4 power.
The unveiling of the new V4 engine was scheduled for Jerez but was delayed.
The V4 is now expected to make its first appearance at the Sepang Shakedown test in February 2025.
There’s a strong belief that this V4 engine will eventually lead to a street-ready bike capable of approximately 800cc’s. Transitioning from MotoGP to production often takes three to six years or more, so only time will reveal Yamaha’s production plans for the evolving V4.
How do you think Yamaha’s V4 will stack up against the previous inline-four?
Tariff Tribulations: Why Harley-Davidson Lost the Massive EU Lawsuit
Harley-Davidson’s 2024 Road Glide Limited. Media sourced from Harley-Davidson.
…And Why America’s Iconic Motorcycle Brand is Set for Price Hikes in Europe
“… relocating production to avoid punitive tariffs is unacceptable [and] such actions are clearly illegal under European law (Customs Code Article 59, and Implementation Act of 2015, Article 33).”
– Bernd Lange, European Union Trade Committee Chairman (RideApart)
Despite Harley-Davidson’s press release claims, we now know that, as of early December, the European Court of Justice is not permitting any company “to evade additional duties unless relocation is economically justified.”
With Harley’s recent attempt to offshore production to Thailand seen as unjustified, the company will now face a staggering +56% tax on each motorcycle they import into Europe.
“In June 2018, the Trump Administration imposed additional import tariffs of 25% on steel and 10% on aluminum. In response, the EU implemented countermeasures, including increased duties on motorcycles of US origin. According to a Form 8-K, Harley Davidson announced it would shift production of certain motorcycles destined for the EU from the US to its manufacturing facility in Thailand. This relocation was intended to grant the motorcycles Thai origin, exempting them from additional EU duties. Belgian customs authorities confirmed this with a binding origin information (BOI). However, the European Commission ordered Belgian customs to revoke the BOIs, stating that the relocation doesn’t grant Thai origin due to “anti-avoidance” measures outlined in Article 33 of the Delegated Act of the Union Customs Code (DA UCC).
According to Article 33 DA UCC, any processing or operations carried out in another country shall be deemed not to be economically justified if established based on available facts that the operation aimed to avoid additional import duties. Thus, the production fails to confer origin status, with additional duties on US motorcycles potentially still imposed based on the materials used.
Harley Davidson sought annulment of the decision to revoke the BOI, initially at the General Court and now on appeal at the Court of Justice. Following the General Court’s decision, the Court of Justice has dismissed the claim.”
The official appeal dismissal stated that Harley-Davidson failed to prove sufficient economic justification for their attempted production shift to Thailand, leading the EU Court of Justice to uphold the European Commission’s decision to deny Harley-Davidson’s request for lower tariffs.
Reports indicate that the General Court of the ECJ has also decided not to hear an appeal, making Harley’s unfortunate outcome final.
No reversing this means Harley bikes are on track to become very costly for our friends across the Atlantic. We’ll keep you updated on what this means for Harley-Davidson motorcycles heading to Europe; in the meantime, stay tuned… and don’t overlook your HOG, Americans!
What is the cost of riding a Harley bike in the EU?
Industry Insight: Why Ducati Capped Sales Below 200,000 Units Annually
A view of a Ducati Panigale V4. Media sourced from Ducati.
“The Message to Those Who See You Must Be Clear”
In a market where abundance reigns, Ducati champions the idea that exclusivity is paramount—especially for a prestigious motorcycle manufacturer.
Ducati’s longstanding CEO, Claudio Domenicali, shared his philosophy with MotoSprint:
“I prefer to think of us as a brand that doesn’t just produce motorcycles, but sells to the ‘Ducatisti’. Therefore, we cannot sell 200,000 motorcycles a year.
Other manufacturers have smaller bikes, but our entry-level model, the Monster, is 937cc.”
This ethos has benefitted Ducati, as they maintain hundreds of millions in sales, enabling them to support numerous specialized events, emphasizing what it means to be a “Ducatisti.”
For the Ducati brand, the power of restraint plays a critical role in market perception:
“It’s critical not only what a brand does, but what it refrains from doing to preserve its market position. Arriving atop a Ducati should convey a clear message.”
Recently, Ducati unveiled their 2025 Panigale V4, boasting the legendary Desmosedici Stradale V4 engine, delivering a robust 1,158cc of raw power, approximately 215.5 hp (160 kW) @ 13,000 rpm with torque ratings reaching 93.7 lb-ft (127 Nm) @ 9,500 rpm.
Congratulations to Ducati, and we eagerly anticipate what comes next!
