Habanos2000 Posted January 23, 2013 Share Posted January 23, 2013 I heard a rumour that Habanos were building up stock for a possible relaxation of the US embargo, otherwise in the rush to supply the US existing markets would be left short of stock. I also heard they rotate this stock annually so as not to let a warehouse of aged stock build up that US consumers wouldn't pay a premium for! If in fact this is true, the point of building inventory in anticipation of the end of the embargo, then that has to be one of the dumbest plans ever and someone should be fired for it, if they do that in communist countries? Since there is still no timeline as to when the embargo will end, this "post-embargo inventory" could be sitting around for another 50 years. Seems like a lot of working capital tied up for nothing. I have to think it's just an excuse for an over supply and under demand position. Which has fortunately worked out pretty well for us current cigar customers! Link to comment Share on other sites More sharing options...
Diamondog Posted January 23, 2013 Share Posted January 23, 2013 If in fact this is true, the point of building inventory in anticipation of the end of the embargo, then that has to be one of the dumbest plans ever and someone should be fired for it, if they do that in communist countries? Since there is still no timeline as to when the embargo will end, this "post-embargo inventory" could be sitting around for another 50 years. Seems like a lot of working capital tied up for nothing. I have to think it's just an excuse for an over supply and under demand position. Which has fortunately worked out pretty well for us current cigar customers! Really you think so? HSA can't afford to do this? The citizens are broke HSA is not. From a business perspective I think it would be a smart move financially and helping ease any initial burden of potential new consumer demand. I see a lot of advantages from a business perspective if this were the case. There would be multiple options for HSA with aged product, not just banking on the embargo being lifted. Link to comment Share on other sites More sharing options...
Habanos2000 Posted January 23, 2013 Share Posted January 23, 2013 Really you think so? HSA can't afford to do this? The citizens are broke HSA is not. From a business perspective I think it would be a smart move financially and helping ease any initial burden of potential new consumer demand. I see a lot of advantages from a business perspective if this were the case. There would be multiple options for HSA with aged product, not just banking on the embargo being lifted. Yes, I think so. I don't recall saying that they couldn't afford to do it. I responded to the statement that all these cigars are in the warehouse because they're preparing for the end of the embargo. I'm saying I believe that is just an excuse, not a well thought out plan. One of those "I meant to do that" situations. Surely if a business knew something significant in demand would occur at a certain point in time they'd prepare for it, but as far as forecasting the end of the embargo? Nope, I'm not buying it. Link to comment Share on other sites More sharing options...
El Presidente Posted January 24, 2013 Share Posted January 24, 2013 there is a ton of stock in the HSA warehouse . However I can tell you there are no Monte 520, Cohiba 1966, RAE, Monte 2, D4, Epi 2, etc hanging around for more than a few weeks. the warehouse is full of launch failures + stock that the world does not want in any volume. Link to comment Share on other sites More sharing options...
BrotherBear Posted January 24, 2013 Share Posted January 24, 2013 the warehouse is full of launch failures + stock that the world does not want in any volume. It's time to make a low ball offer... Ten cents on the dollar to clear out the "failed launches" Link to comment Share on other sites More sharing options...
SCgarman Posted January 24, 2013 Share Posted January 24, 2013 there is a ton of stock in the HSA warehouse . However I can tell you there are no Monte 520, Cohiba 1966, RAE, Monte 2, D4, Epi 2, etc hanging around for more than a few weeks. the warehouse is full of launch failures + stock that the world does not want in any volume. Sure would be nice to see some discounts($) on the stuff that most of the world is not demanding. Prices seem to keep on increasing while our paychecks struggle to keep up, LOL! Link to comment Share on other sites More sharing options...
Dbone Posted January 24, 2013 Author Share Posted January 24, 2013 So the extra inventory seems to be in finished product not raw materials? I was hoping for the latter. Link to comment Share on other sites More sharing options...
Dara Posted January 24, 2013 Share Posted January 24, 2013 the warehouse is full of launch failures + stock that the world does not want in any volume. Perfect for the novice American who wants to try their first Cuban and cut their teeth (my first regular cuban smoke was the old machine made Partagas deluxe). I remember seeing some elderly Americans in the casa in the Nacional buying boxes of Guantanameras Cristals for their children back home. I was going to say something about them being crap but then thought why not buy the cheapest if they're probably just going to get taken by customs anyway! Link to comment Share on other sites More sharing options...
El Presidente Posted January 24, 2013 Share Posted January 24, 2013 Like what prez? D5/E2/Wides/Most of the Le Hoyo line, HDM, Juan lopez 1, etal. Keep in mind they also need to stock the fast moving stuff such as CORO, D4, M2, M4, Behike etc. Link to comment Share on other sites More sharing options...
El Presidente Posted January 24, 2013 Share Posted January 24, 2013 So the extra inventory seems to be in finished product not raw materials? I was hoping for the latter. That is different. They have well over 5 years supply of raw materials these days which is where they want to be. if I remember correctly back in 2000 it was 18 -24 months supply at best. Link to comment Share on other sites More sharing options...
IcedCanuck Posted January 24, 2013 Share Posted January 24, 2013 D5/E2/Wides/Most of the Le Hoyo line, HDM, Juan lopez 1, etal. Keep in mind they also need to stock the fast moving stuff such as CORO, D4, M2, M4, Behike etc. <Sad_Panda>I am actually a fan of the E2, Wide Churchills, and most of the Hoyo line <\Sad_Panda> Link to comment Share on other sites More sharing options...
edlye Posted January 24, 2013 Share Posted January 24, 2013 Toss some of this stuff in multi box deals for the various C.U.N.T. sub forums. I have no doubt people will jump at some of them. Especially if there is a year or two on them already. Hear, hear... I'd love to get my hands on some JL #1 with a year or two on them. Link to comment Share on other sites More sharing options...
sw15825 Posted January 24, 2013 Share Posted January 24, 2013 there is a ton of stock in the HSA warehouse . However I can tell you there are no Monte 520, Cohiba 1966, RAE, Monte 2, D4, Epi 2, etc hanging around for more than a few weeks. the warehouse is full of launch failures + stock that the world does not want in any volume. What about Robusto T ? Lots Left ? Link to comment Share on other sites More sharing options...
Dbone Posted January 24, 2013 Author Share Posted January 24, 2013 That is different. They have well over 5 years supply of raw materials these days which is where they want to be. if I remember correctly back in 2000 it was 18 -24 months supply at best. Roger that, thanks for the clarification Link to comment Share on other sites More sharing options...
sactochris Posted January 24, 2013 Share Posted January 24, 2013 Hear, hear... I'd love to get my hands on some JL #1 with a year or two on them. I would love to get a good price on some well aged JL 1's. Link to comment Share on other sites More sharing options...
ChanceSchmerr Posted January 24, 2013 Share Posted January 24, 2013 I would love to get a good price on some well aged JL 1's. Count me in on this - JL's are winning these days! What about Robusto T ? Lots Left ? No - but we have a surprising abundance of Trinidad SHORT Robusto T's - if you like the Robusto T, you're gonna LOOOOOOOVE this one - and it's an LE to boot! Thousands of ignored boxes on shelves worldwide can't be wrong! Link to comment Share on other sites More sharing options...
CaptainQuintero Posted January 24, 2013 Share Posted January 24, 2013 Perfect for the novice American who wants to try their first Cuban and cut their teeth (my first regular cuban smoke was the old machine made Partagas deluxe). I can see it now, LCDH New York etc, stocked to the brim with Trini Ingenios, Short Robusto T's, and RyJ Belicosos! Poor buggers! Link to comment Share on other sites More sharing options...
sw15825 Posted January 24, 2013 Share Posted January 24, 2013 No - but we have a surprising abundance of Trinidad SHORT Robusto T's - if you like the Robusto T, you're gonna LOOOOOOOVE this one - and it's an LE to boot! Thousands of ignored boxes on shelves worldwide can't be wrong! LOL !! Link to comment Share on other sites More sharing options...
sw15825 Posted January 24, 2013 Share Posted January 24, 2013 Hey, hey. Just remember that it was my idea. At the right price and with a couple years on them, I claim the first box or two of the JL1! 1 for you, and one for me!!, Brother!! Link to comment Share on other sites More sharing options...
PigFish Posted January 24, 2013 Share Posted January 24, 2013 there is a ton of stock in the HSA warehouse . However I can tell you there are no Monte 520, Cohiba 1966, RAE, Monte 2, D4, Epi 2, etc hanging around for more than a few weeks. the warehouse is full of launch failures + stock that the world does not want in any volume. Cuba... feeling the ill effects of the loss of the gray market with no hope for intelligent management of stock. Now that is funny!!! How long before they start up another one? -Piggy Link to comment Share on other sites More sharing options...
Habanos2000 Posted January 24, 2013 Share Posted January 24, 2013 D5/E2/Wides/Most of the Le Hoyo line, HDM, Juan lopez 1, etal. Keep in mind they also need to stock the fast moving stuff such as CORO, D4, M2, M4, Behike etc This slow moving inventory must not concern HSA otherwise I'd think they would be coming up with an idea or two on how to move it out. Maybe that is where their "wait for the embargo to lift" theory comes from? Link to comment Share on other sites More sharing options...
Troels Posted January 24, 2013 Share Posted January 24, 2013 If a product sells in little number, and it takes some effort to change produktion (supply, sorting, rolling, controlling, putting bands on, making boxes etc) - I could get the idea of building up a stock too and focus on securing main stream production - given raw marerial wasnt to big an investment. I know too little about cigar production - but dont they have to cure certain leafs in a certain way to get the right filler etc for each particular cigar ? Or is a variety of cigars made from the same pile? Link to comment Share on other sites More sharing options...
sw15825 Posted January 24, 2013 Share Posted January 24, 2013 Cuba... feeling the ill effects of the loss of the gray market with no hope for intelligent management of stock. Now that is funny!!! How long before they start up another one? -Piggy I agree on this. With the loss of those 2 gray sites and their below wholesale pricing. They had to be moving much more stock overall. Think, For instance 1 cab shorts + 1box especials #2 = around 330 U.S. total! Link to comment Share on other sites More sharing options...
Lotusguy Posted January 24, 2013 Share Posted January 24, 2013 I can see it now, LCDH New York etc, stocked to the brim with Trini Ingenios, Short Robusto T's, and RyJ Belicosos! Poor buggers! Count me as a fan of the Ingenios! Link to comment Share on other sites More sharing options...
El Presidente Posted January 24, 2013 Share Posted January 24, 2013 Cuba... feeling the ill effects of the loss of the gray market with no hope for intelligent management of stock. Now that is funny!!! How long before they start up another one? -Piggy Piggy, I don't think anyone misses thieves like Manuel or Abele. They were in it for themselves, producing nothing and simply stealing from their employer. What little they did produce was using the materials of their employer and then misrepresenting the resultant product to the public. Crooks...heroes to no one. There is a ton of Robusto "T" there as well. It really is not a problem for them. Any cigar that does not sell, you sell them down over 4-5 years and discontinue them. Everything eventually sells. You take a hit on ROI, but your investment is secure. You learn not to do it again. Give the punter what they want. If you hit with 3 out of 4 new offerings then that is a magnificent result. the 4th you dump quickly. So in recent times. Behike...Runaway success. 520 EL Runaway success RAExtra Runaway success.....Upmann Half Corona Runaway success....R&J Petit Churchil....Failure......Upmann Royal Robusto .....success Upmann Robusto LE 2012...success RG Perlas....ask the spanish...E2...Failure....D5....Failure Cohiba Piramide...success. Their hit rate is improving Link to comment Share on other sites More sharing options...
Recommended Posts
Create an account or sign in to comment
You need to be a member in order to leave a comment
Create an account
Sign up for a new account in our community. It's easy!
Register a new accountSign in
Already have an account? Sign in here.
Sign In Now