Difficulties At Omas In Bologna ?

[tryphon]

Normally this happen because the new owner take charge of some millions euro of debts with banks.

 

Is always nice to talk about business of other people's, but offen a real picture is missing, if only part of the total deal is considered.

It was clear that the symbolic 1€ price was due to the need to take on the company's debt.

[Phormula]

Well, I know at least a couple of companies that have been "sold" with the seller putting some cash on the top of the company, in order to make it interesting to the "purchaser".

In both cases they were companies in debt that were in the need of deep restructuring to turn them profitable.

[youstruckgold]

As an Omas fan of many years with many Omas pens; this news is so very, very sad. OK, in the context of global happenings, it's not Paris or Beirut; nevertheless, Omas has 90 years of outstanding history. Their celluloids are superb, and their designs (especially the 360) innovative. They are one of the few still using ebonite feeds; and producing a flexible nib worthy of comparison with vintage flex (although nothing seems to quite be as good as vintage). I cross all digits in the hope that someone (staff or other) can find a solution to keep this extraordinary pen company afloat.

[Writer01]

Sadly seems to be the way of things just now. I was shocked when Conway Stewart disappeared, but as someone else has mentioned, although it's good for collectors to be able to get their pens on the second hand market, that won't keep the businesses afloat. As an author, I suffer from the same problem. Hundreds of thousands of readers - but too many of them are reading the same book!

[Arctic_Wolf]

Looks like it's time to request an Omas pen for Christmas

[sgl]

Sad. Although I do not have any of their pens, there are some that I would love to have. Now I am regretting that I did not get them earlier. Their prices will definitely go up especially the limited editions.

 

Hope there is a way to save them.

[El Gordo]

I am interested in how much a small but important pen company is worth with what sound like perpetual losses. It would be fascinating to me to see their financials.

 

It's also interesting that the latest article says the Chinese owner bought the company so they could use the pens as gifts.

 

Xinyu Hengdeli, the biggest luxury watch retailer in China, bought a 90 per cent stake in Italian hand-crafted pen brand Omas from LVMH in October for $3m. [April 2008 source : FT).

Of course a price paid 8 years ago and how much it is worth now are different questions. Rule of thumb : 30 people generating @ 100k$/y/person, personnel reduced to 17 (still generating each 100k/y) : 1.7 m$ left (ignoring debts)? Or : 2000 FPN members investing 1000 $ each and constructing a decent business plan fro the future ...

Edited November 18, 2015 by El Gordo

[bobje]

In the case of Italy, with silk and textile production, for example, or with fountain pens, it seems to me that the key resource offered is design expertise, a sense of aesthetics that is more refined than the rest of the world because of 2,000 years of architectural, sculptural, painting, drawing, and design history, as well as experience in creating designs for manufacturing. I want a car designed by Pininfarina, even if it's manufactured in Korea, more than I want a car manufactured by FIAT. Kitchen tools by Alessi, office products by Olivetti -- the value is in the design.

 

There's another western company that sells high-quality, highly precise, highly finished, beautifully designed products -- Apple -- and nobody minds that they're manufactured in China. Apple iPhones are probably the most highly coveted consumer product of this decade. Apple designs the object, but also takes care in the design of manufacturing processes and quality control. As a consumer, I can probably obtain Apple products at a more reasonable price when they're manufactured in China. As an American who works in technology, I regret that these manufacturing skills and processes and logistics expertise are no longer maintained and developed in the United States. When a geographic area loses those connections and expertise, it's difficult to bring them back.

 

But this globally integrated economy, where jobs are done in the location where it's cheapest and easiest to do them, encourages collaboration and connections and peace. Inexpensive products at Wal-Mart and IKEA, designed in Sweden and manufactured in China, make our lives easier. If these products went away tomorrow, and were replaced by items that cost 20 to 50 percent more, our lives would be more difficult. Consumers have an incentive to maintain a globally integrated economy.

 

Maybe fountain pens, as collectible artifacts, are different than high-tech tools, and the origin of their manufacture is a key component of their value. If they're just well-crafted tools, it's meaningful to me that they're designed by Italians, but their manufacturing origin is less important.

[katanankes]

Ok this is just speculation, but I would like to add to the above analysis that, in my opinion, what failed was the luxury watch and pen combo at OLuxe stores around the world. They must have spent serious money to arrange Omas corners in many watch stores, but they were pulled off in 2012 or so If I remember correctly. I remember I tried to buy a pen in one of these corners and the personnel had, of course, no ideas of what they were handling (i.e. they did not know how to ink the pen).

 

Also interesting the mention of Omas pens used as gifts in China. This would explain some of their limited editions such as Silk Way or the Phoenix.

 

 

 

Xinyu Hengdeli, the biggest luxury watch retailer in China, bought a 90 per cent stake in Italian hand-crafted pen brand Omas from LVMH in October for $3m. [April 2008 source : FT).

Of course a price paid 8 years ago and how much it is worth now are different questions. Rule of thumb : 30 people generating @ 100k$/y/person, personnel reduced to 17 (still generating each 100k/y) : 1.7 m$ left (ignoring debts)? Or : 2000 FPN members investing 1000 $ each and constructing a decent business plan fro the future ...

[Nibs.com]

As many of you know, we're a longtime OMAS retailer as well as having recently become the North American factory authorized service center for these beautiful pens. In case it's helpful to know, we have been told that OMAS is in the process of being sold, and that they are accepting orders and shipping as usual. We can also assure customers that we do have a large stock of OMAS nibs and other parts here in our Los Angeles workshop.

We’ll do our best to pass on any new information we receive, but as often seems to be the case, breaking news might show up here on FPN before it even reaches us! Until then, if you’re considering an OMAS purchase or have any questions regarding a repair, please feel free to contact us at info@nibs.com or (323) 655-2641. Thank you!

[Ghost Plane]

Thank you for that information. Could you refresh us on the nib swap policy?

[krandallkraus]

No wonder I was told at the Castle in the Air pen show in Berkeley on Saturday that there are no more Cocktail pens available. I wish I was rich so I could bail them out. They're great writers.

[Nibs.com]

Thank you for that information. Could you refresh us on the nib swap policy?

Thank you for the question. In keeping with OMAS policies, nib swaps will be done at no charge on pens still under warranty provided that the original nib is still in new/mint condition.

 

If the nib is no longer in mint condition or if the pen is not covered by warranty from a North American retailer, nib swaps can only be done by purchasing a new nib. Limited trade-in credit for the old nib may be available.

 

If you have any additional questions, please see our OMAS Warranty Repairs page or contact us at info@nibs.com. Thank you again...

[Ghost Plane]

Appreciate it. I am soooo hooked on Omas italics...

[stevesurf]

In several newspaper this morning is said that the actual owner of Omas, the Chinese Holding O-Luxe owining 90% of Omas, want to close down the company.

 

Some of the employers are negotiating to make an offer to buy the Company, and also to find an agreement with sindacates.

 

I have no ides of what's happen there, I just reported what was written today on newspapers.

 

 

 

 

 

http://www.cgilbo.it/flex/cm/pages/ServeBLOB.php/L/IT/IDPagina/1477

http://www.crisitaly.org/crisi-omas-per-la-storica-azienda-lunedi-scatta-la-messa-in-liquidazione/

http://www.rassegna.it/articoli/omas-ore-decisive-per-la-storica-azienda

 

 

 

I had no idea also that the company was employing only 17 peoples recently, as said in newspaper's articles.

 

Does anyone have an update?

[Phormula]

 

Does anyone have an update?

 

Let me try to explain (please take into account that I am no lawyer)

 

As per the Italian law, when a company is placed into liquidation, a person (i.e. "the liquidator") is appointed.

He/she will take into consideration any offer to save the company, such as selling it or renting it, i.e. transfering it to another company which will manage the rented company without purchasing it, deciding whether to give up or purchase at a later stage.

 

If no solution is found, the company will be shut down or declared bankrupcy (if there is not enough money to pay debts).

 

So, expect no quick solution, as a company into liquidation is not in bankrupcy and can still do business.

Of course, the two offers for purchase will be then evaluated.

[Bill P]

The other issues I would be concerned about for a company in this situation is the vendor/suppliers, the employees and the final work product...the Pens.

 

With future of the Company uncertain do the vendor/suppliers interrupt the supply line...perhaps demanding to be paid up front? Do employees start to look for other jobs?...and if they find other jobs is there then a shortage of key employees ? Do employees become distracted and complacent negatively impacting the work product.

 

When a company finds itself in these circumstances it creates a lot of uncertainty, and until it is resolved, there will be nothing good to happen.

 

At the moment it is really a sad time for Omas...here's hoping they are able to pull thru...

[mhphoto]

I recently liquidated some of my collection and went on a happy spree buying various OMAS models. Glad I did now. I hope they can pull through.

[mchenart]

I wrote a thread 'Omas Factory Visit' two days ago on this forum, and Mr. Carano, the Sales personnel who had shown me around that day wrote me an email today, saying that he had read my report of the tour and hoped members of the Forum will enjoy it. And then he added:

'Regarding OMAS' situation the only thing I can say in addition to what is wrote on the newspapers is that everything is going on as usual, production and a/sales, and personally I don't think OMAS will just close down.

Let's see the next coming future...'

[stevesurf]

I wrote a thread 'Omas Factory Visit' two days ago on this forum, and Mr. Carano, the Sales personnel who had shown me around that day wrote me an email today, saying that he had read my report of the tour and hoped members of the Forum will enjoy it. And then he added:

 

'Regarding OMAS' situation the only thing I can say in addition to what is wrote on the newspapers is that everything is going on as usual, production and a/sales, and personally I don't think OMAS will just close down.

 

Let's see the next coming future...'

 

Thank you so much for the update, mchenart; it makes me happy that there are so many here that love this brand.

 

Recently, they did a project with proceeds supporting education donations for children. They may have their QC inconsistencies, but that is the wonder of a handmade instrument. It would be very interesting to see if our FPN Network here could "kickstart" some funding for them. Their products have brought me such joy.