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Estes Sells out!

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hilltopper

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I know but alot of people never look in the vendor forum section unless they have a vendor question / issue.
 

Peartree

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No problem, I just wanted to link this discussion to that one so folks could see what was being said.
 

bobkrech

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Hobbico, based in Champaign, Ill., which owns many different radio-control and model hobby brands, such as Revell, Monogram, and Great Planes, among others, has acquired Penrose, Colo.-based Estes-Cox, storied maker of flying model rockets.

Founded in 1958 by Vern Estes, Estes bought out Cox, known for miniature glow airplane engines, in 1996. Other brands that come to Hobbico from the Estes-Cox purchase include Hi-Flier kites and R/C names, Pica Products and Sterling Models.
Your title "Estes Sells Out" isn't quite correct. What happened is that the former investors in Estes wanted to recover their investment and sold the business to Hobbico. Estes will continue to operate as before in Penrose, Colorado.

Vernon Estes founded Estes Industries in 1958 in Denver, Colorado, and developed a high speed automated machine for manufacturing solid model rocket motors. The machine, nicknamed "Mabel", made low cost motors with great reliability, enabling Estes to market model rocket motors, and then model rocket kits in 1960. Estes moved his company to Penrose, Colorado in 1961 where is continues to operate today.

Vernon Estes sold Estes Industries to Damon Industries in 1970, a dozen years after the founded it, and Estes has had several other owners since then. In 1991, the private equity fund, TCW Capital, acquired Estes-Cox Corporation from Damon. On August 30, 2002, Barry Tunick, the Chief Executive Officer of the venture since 1991, purchased Estes from the private equity fund, and on January 15, 2010, Estes-Cox was purchased by Hobbico, Inc. [1]

http://www.news-gazette.com/news/local/2010/01/22/hobbico_acquires_model_rocket_maker

http://en.wikipedia.org/wiki/Estes_Industries

So now Hobbico becomes the 5th owner of Estes, and this change in ownership should be good for Estes, Hobbico and the hobby. Hobbico has capital to invest in Estes, and a well-established distribution network. Hobbico is also employee-owned so there is a real incentive for both the management and the employees to succeed and grow the business.

Bob
 

rokitflite

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Your title "Estes Sells Out" isn't quite correct. What happened is that the former investors in Estes wanted to recover their investment and sold the business to Hobbico. Estes will continue to operate as before in Penrose, Colorado.
What is "belittling" about this? He said it "isn't quite correct" and simply expanded on your original post?:confused:
 

bobkrech

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Bob.

... Surely you could state your information without belittling someone else. Sorry but I see this through-out this forum.
I believe there's a difference between "selling out" and "being sold". To me "selling out" has a negative connotation, basically turning your back on something or going against your principles or beliefs, whereas a company "being sold" is positive because someone else see the future value of the company and is willing to invest in it.

There's been far too much negativity in the Watering Hole recently and I thought the title "Estes Sell Out" was negative. I view the sale positively and good for Estes, and simply wanted to show that it has happend 3 times before. There was no intention to bellittle you, and I'm sorry if you saw it that way.

Bob
 

JRThro

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Bob.

I think most all of us know the history of estes. It was a headline I saw somewhere else and thought it was the best way to get my point across. to perhaps get some conversation going. Not a history lesson. Why must everyone correct everyone else in this forum. Surely you could state your information without belittling someone else. Sorry but I see this through-out this forum.
I'm not belittling you by asking this, so I hope it doesn't seem that way to you, but... If saying "Estes Sells Out" was just trying to get your point across, what was your intended point? Because selling out does have the negative connotations that Bob mentioned.

Also, it's not safe to assume that everyone (or maybe even most everyone) here is familiar with the history of Estes rockets. I had never bought or flown a model rocket until 2004, and since then I've learned a lot about the history of the hobby, mostly from reading it here on TRF and on YORF. So repeating what is probably common knowledge over and over is not a bad thing, in my opinion.
 

kelltym88

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I didn't know Estes has now had 5 different owners. I, too, thought the title was going to imply something else. No worries. Personally, I'd like to see Vern get his company back someday.
 

Fred22

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I think it could be a good thing for estes and the hobby for the reasons Bob mentionned :) I also would hope under new management estes becomes less of a source of rancour around here :)
Cheers
fred
 

Fred22

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Nice Rancour scott :) Let's hope he's not the new Estes manager :)
Cheers
Fred
 

troj

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Nice Rancour scott :) Let's hope he's not the new Estes manager :)
No, that's Support.

Now, about those fins you were calling about.....
 

RocketT.Coyote

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Could this explain why no Saturn V kit was re-released for the Apollo 11 40th Anniversary?
 

thomcat00

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The Who Sell Out, too, and they were mildly successful afterwards. Perhaps you've heard of them.:)

As for Estes, if the new owner has deep pockets and a commitment to the brand/industry that is good news, no?
 

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