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Harley-Davidson Plans Expansion

14 June 2001


Harley-Davidson Motor Co. is planning to expand facilities as it reacts to growing demand for its motorcycles. The company last month projected a 16th consecutive year of record earnings and sales growth, despite an economic slowdown.

Harley plans a significant expansion of its Wauwatosa product development center, just four years after opening the facility. The addition would allow Harley-Davidson to double the number of testing cells it uses to evaluate engine powertrains, adding 140,000 square feet to its 218,000-square-foot building. A 75,000-square-foot office building for engineering and product development and a 65,000-square-foot expansion of its engine and cycle testing laboratory also are planned. Company projections call for spending between $200 million and $250 million this year on capital projects, compared with $204 million last year and $166 million in 1999. In Tomahawk, Harley plans to construct a new building to enable the company's fiberglass-finishing and painting operation to meet demand.

The company last year shipped 200,000 motorcycles for the first time.