Textron Stops Production At Arctic Cat , Hints At Plans To Sell
In mid-December , Textron essentially hung a “ For Sale ” sign on its Arctic Cat division when it announced it was indefinitely shutting down production at its Minnesota-based facilities and was “ pursuing strategic alternatives ” for its powersports product lines .
The company also told key dealers that there would not be specific model year 2026 Arctic Cat or Tracker ATVs , UTVs or snowmobiles .
The news , first unveiled in a filing with the Securities & Exchange Commission , came just five weeks after the company announced a planned production stop that would last until the first quarter of 2025 .
In a followup letter to the latest announcement , which was sent to dealers and forwarded to us by Textron ’ s Brandon Haddock , the company said , “ In response to the ongoing business conditions facing the powersports industry , Arctic Cat will suspend manufacturing operations indefinitely at our facilities in Thief River Falls and St . Cloud , Minnesota , after planned production in the first half of 2025 is complete .
“ Textron Inc . also announced that it is exploring strategic alternatives regarding the future of the powersports business . These actions are difficult but necessary as we have continued to experience softness in consumer end-market demand , resulting in a need to reduce costs .”
Left unsaid was what “ strategic alternatives ” means . It could most certainly include selling the Arctic Cat division to an interested third party . For months , chatter online and among industry insiders has focused on brands like Argo , CF Moto , John Deere , Yamaha , Bobcat , Kawasaki and many others who could be interested in Arctic Cat – both for its current products and also for its U . S . -based manufacturing facilities .
The main Cat factory is actually cranking out some contracted ( presumably youth sleds and other-brand ATVs ) in the first quarter . “ However , once that build is completed , we will suspend operations indefinitely , and will release our manufacturing employees at the Thief River Falls and St . Cloud facilities ,” the company said . “ Employees who work through their specific completion date will be offered severance benefits .”
The moves will result in the painful layoff of hundreds of Arctic Cat production employees , and over the last six months many other administrative , engineering and sales positions have also been eliminated . However , Textron stressed that Cat is not “ closed ,” despite online rumors .
“ Arctic Cat remains open for business with respect to selling current inventory and providing aftermarket support and services to our existing installed customer base . Our sales organization , customer service teams , aftermarket distribution centers , and other functions are ready to assist our dealers and loyal customers .”
Textron first acquired Arctic Cat in 2017 , when Cat was in a rather dire financial situation . So as much as some folks online want to blame Textron , Arctic Cat wouldn ’ t have made it through the last eight years without them .
That said , some Textron decisions over that time have been odd at best , particularly in the ATV / UTV segment , which is currently a bigger drag of the Arctic Cat divisions financials than anything snowmobile related .
HOLESHOTS
▶ The season-opener on the
Amsoil Championship Snocross series brought a triumphant return to greatness for Elias Ishoel . The five-time series champion from Norway had his season cut short last year after suffering severe , potentially career-ending injuries in January of 2024 in a violent crash in South Dakota . However , he started this season with a victory at Ironwood , Michigan , though defending series champion Emil Harr was snapping at his snowflap . It should be an interesting season .
▶ Also from the snocross
world , veteran Pro class racer Travis Kern announced on December 30 that he was hanging up his race bib after dealing with a wrist injury for the past seven years . His seat at the Polaris-based Cottew Motorsports team didn ’ t stay open for long , though . On January 1 , the team announced that Daniel Benham Jr . would fill in for the rest of the season . Benham lost his ride in November when the Woodies Racing Arctic Cat team folded .
▶ Heartbreaking news came
out of Alaska over the holidays with the shocking Christmas day death of snowmobiling freestyler , backcountry riding legend and race circuit director Dane Ferguson . He was remembered by fans not only for his X Games gold medal performances and role in action videos but also as a caring person who promoted youth racing and led a humanitarian effort to Ukraine after Russia ’ s invasion .
▶ The cherished memory of an
iconic snowmobile racing couple is being used this winter to help the future of snowmobile oval racing . The Decker Triple Crown is a multi-event points series within the Formula 500 / F-500 class , with $ 17,000 in total prize money and a $ 10,000 top prize . The Formula 500 / F-500 class is both an entry-level feeder class for newcomers and also an affordable option to keep people involved in the sport .
6 / FEBRUARY 2025 / SNOWGOER . COM