Eastern Bikes = Ordered Into Receivership

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10/1/2014 8:05 PM
Edited Date/Time: 10/1/2014 8:15 PM

I'm willing to bet some of you have seen this article already, but if not, give it a read -

Bicycle Retailer - Court Orders Eastern Bikes into Receivership

It's a bummer to see a brand that was so successful for so many years hit such a tough spot. The BMX industry has been slow the past couple of years and it seems like they've been hit the hardest.

The guys behind Eastern are rad and have been in the BMX game longer than most of us have been alive. Check out this photo of Jon Byers at a 2-Hip contest in 1990 -

Photo

Though this doesn't necessarily mean the end of Eastern, it does look like some big changes will be going on behind the scenes.

Thoughts?

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10/1/2014 8:23 PM

What a shame. All shit talk aside, they showed some interesting and promising products last year at interbike. I was looking forward to what they had in store. They were a huge part of my coming into riding bmx. My local shop only stocked Eastern conpletes, so i remember every kid on the block had a Cobra/Dragon/Ramrodder/Shovelhead/Traildigger and bragged about how they were the best bikes (although their opinions changes after a year or so when we all got more serious about bikes and began breaking parts.) Eastern definitely has its roots in the town i came up in and in who i am today. They will definitely be missed.

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10/1/2014 8:29 PM

HardBMX_Tim wrote:

What a shame. All shit talk aside, they showed some interesting and promising products last year at interbike. I was looking ...more

If I read the article correctly, I think the company is going to be sold. It isn't dead (yet, at least...), but will definitely be facing some big changes in the future.

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10/1/2014 8:45 PM

That sucks. Hopefully the new owners try to keep Eastern the way it is, if not make it better. But right now who knows? Sucks it had to happen to them, but business is business. Good luck to all the riders.


that bash guard, tho.

screw weight, who wouldn't mind messing around on one?! ME WANT TRY

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10/2/2014 12:07 AM

Although they had a terrible rep (not entirely their fault) they often showed innovation which is always nice. Loved my eastern tribe cranks when i rode em, stiff and felt nice, not broke either, just retired them. Always a shame to hear stuff like this about the companies that try new things (weight saving or not!)

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10/2/2014 4:30 AM

Saw this coming years ago, was fully convinced everything went tits up when ezra/amber/guerra site went down for "maintenance"

However i didnt forsee nearly $2million owed for already manufactured parts and owing $500,000 of inventory to stockists.

Guess that was a mistake considering they had a fairly big chunk of the complete bike market and kids grew up smashing the low end bikes to pieces forever dirtying the brand. These things happen.

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10/2/2014 7:00 AM

> When you live in Reynoldsburg,Ohio
Eastern was my fav

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"It's like riding someone's bike and they got the same frame" -Four
Refs:Four x4,tomdon x5,Xxohioanxx,BigCurn, Don't remember the rest

10/2/2014 8:21 AM

kylecarlson wrote:

If I read the article correctly, I think the company is going to be sold. It isn't dead (yet, at least...), but will ...more

From the article...
"A court-ordered receiver will wind down the company's operations and dispose of its assets "in the best interests of its shareholders and creditors.""

Winding down operations and disposing of assets doesn't spell "we're changing our image". I suppose it takes being over 2 million in debt for some to see the writing on the wall.

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10/2/2014 8:28 AM

I figured they were either going out of business or dropping all their other companies and only going to make aftermarket (don't know why)

Hopefully, someone will bring back the name eastern and hire some of the people back (i can dream right?) i never had a problem with eastern in any way shape or form and throughly enjoyed every part i owned/own with their name on it.

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"It's like riding someone's bike and they got the same frame" -Four
Refs:Four x4,tomdon x5,Xxohioanxx,BigCurn, Don't remember the rest

10/2/2014 8:31 AM

Won't be surprised if this starts happening to other companies aswell

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10/2/2014 8:39 AM

This makes me really sad. I own a guerra frame and had a lot of stuff from Amber and Ezra and Guerra, some of it is still going strong! Hopefully the company manages to come back, but really, i doubt it. Where they may have gone wrong is when they had so many deals and they got a bad rep after a while. Which i think is just wrong. Honestly, their higher end stuff isn't bad at all. People would buy completes and break stuff and then blame Eastern for not making them the 300$ complete indestructible. Sure, some things would break, but all parts do and they had THE BEST customer service i ever dealt with. It was great that theyd send me new parts and such.

I sure hope Jon Byers sees some of this, because he still has some fans out there that hope Eastern doesn't go down.

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References: OneGuyIlluminatiEye, robinson79, Brian Griffin, The Horror Contact, StoreBoughtChild, C_Johnsonbmx, dkTechEthan, etc.

10/2/2014 9:01 AM

hopefully the new owners will release some parts that won't be made from the bones of albinos

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10/2/2014 9:15 AM

Cranks made of bones would be pretty cool.

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10/2/2014 9:35 AM

Mychaylo wrote:

Cranks made of bones would be pretty cool.

Eclat Tibias

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10/2/2014 9:57 AM

I wish, my cranks would be so hip.

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10/2/2014 11:04 AM

Gonna miss it. Easily the best company I've ever dealt with and I've loved every part I've owned.

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Refs:tomdon x4,Xxohioanxx,BigCurn, Don't remember the rest

10/2/2014 11:55 AM

HardBMX_Tim wrote:

What a shame. All shit talk aside, they showed some interesting and promising products last year at interbike. I was looking ...more

kylecarlson wrote:

If I read the article correctly, I think the company is going to be sold. It isn't dead (yet, at least...), but will ...more

Fondue wrote:

From the article...
"A court-ordered receiver will wind down the company's operations and dispose of its assets "in the best ...more

It's my understanding that "disposing of the assets" will be done in order to create as much money as possible to fill the debts. The intellectual property of Eastern (the name, likeness, logos, etc) is most likely the most valuable asset they have. Nobody is going to buy that without a plan to do something with it. Thus, I'd be shocked if "Eastern Bikes" disappeared forever. As we know it now, though, will most likely be gone.

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10/2/2014 12:32 PM

i still dont get how they let it get this bad almost every new rider in nyc rode an eastern complete bike shit they were just at interbike in 2013 now i really think that the company riders knew this was happening and decide to jump ship before its too late

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10/2/2014 1:03 PM

bmx4life121303 wrote:

i still dont get how they let it get this bad almost every new rider in nyc rode an eastern complete bike shit they were just ...more

It's much more likely that the team riders were let go due to financial problems.

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10/2/2014 1:49 PM

My first cassette hub was an Eastern Pro, too this day I still hold it as the best hub I've ever ran, shame I couldn't get hold of another.

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10/2/2014 2:56 PM

Kyle,

I'd like to thank you for posting this.

However, I would like to make this my personal communication about the situation.

Speculation is what leads to stonings and the sort, so I'd like to step in to clarify and make sure everyone does a little research before would be mouth breathers step up to the soapbox.

All of the files related to this are public domain and have been for quite some time. I'd suggest anyone taking the time to comment also take the time to use their internet acumen and review the documents before making an intelligent post. Many have no idea what this is about and so I will be brief in comment without going into details of what is officially available.

First, I'd like to thank every single rider and employee who has ever ridden or worked for us. You've all done an incredible job and I hope I didn't push you too hard, but am proud of the achievements you all have accomplished post employment. I'd also like to thank every customer who has ever bought a product from us.. you are among hundreds of thousands and Mike and I would like to thank each and every single one of you!!

Eastern is one of the largest privately owned BMX brands in the world, a level most companies will never see, yet we always tried to keep numbers under the radar and build the business without detection. Mike and I have never been coverage jockeys, but have offered a few interviews from time to time. Going from small offices and quickbooks to sophisticated ERP systems with multiple warehouses is no easy feat. All in the effort to support our customers.

I guess here is the shocker for most of the people out there.. Eastern is still operating, still processing orders and still going. Mike and I are here to support the new owners in full. Eastern has not shut down and will not be shutting down.

-jon



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10/2/2014 3:32 PM
Edited Date/Time: 10/2/2014 3:38 PM

They're best years seemed to be through Dan's Comp

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10/2/2014 3:47 PM

Coping_High_Guy wrote:

They're best years seemed to be through Dan's Comp

Actually, that is incorrect

Independent bicycle dealers were the largest business.

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10/2/2014 3:52 PM

So my initial thought was that apparently the court deemed you & mike financially irresponsible and gave ownership to someone else that they deemed financially responsible. Am I right? How far off am I?

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I'm on the vital legit list!

10/2/2014 3:57 PM
Edited Date/Time: 10/2/2014 3:58 PM

tomdon wrote:

So my initial thought was that apparently the court deemed you & mike financially irresponsible and gave ownership to ...more

Read the court documents...ALL of the documents. I suppose you could say that, but running a business for 18 years isn't exactly irresponsible. Any business owner knows you won't last even 1 year.

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10/2/2014 4:02 PM

I still really want the Transcend frame now that i think of it.. lol

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Refs : SnM An1mal, GThompson121, Chuck8273, blizzbikes, bmxsteve99, kevin.brock.338, zinum, Brian_Griffin, billyhandyjunior, riverM, tomdon
Instagram : @timhankinsbmx


10/2/2014 4:06 PM

HardBMX_Tim wrote:

I still really want the Transcend frame now that i think of it.. lol

There are several that have been produced and waiting for shipment.. Mike and I are trying to get these over. It's an incredible frame .. my son is riding a prototype from this manufacturer, who is very small and meticulous about details.. these are nothing less than a work of art.

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10/2/2014 4:09 PM

Jon Byers wrote:

There are several that have been produced and waiting for shipment.. Mike and I are trying to get these over. It's an ...more

I see that! I fell in love last year at interbike. Wouldn't mind scooping one but money is tight right now. Definitely something to keep my eye on though.

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Refs : SnM An1mal, GThompson121, Chuck8273, blizzbikes, bmxsteve99, kevin.brock.338, zinum, Brian_Griffin, billyhandyjunior, riverM, tomdon
Instagram : @timhankinsbmx


10/2/2014 4:13 PM

HardBMX_Tim wrote:

I still really want the Transcend frame now that i think of it.. lol

Jon Byers wrote:

There are several that have been produced and waiting for shipment.. Mike and I are trying to get these over. It's an ...more

HardBMX_Tim wrote:

I see that! I fell in love last year at interbike. Wouldn't mind scooping one but money is tight right now. Definitely ...more

well, that is the way of the world .. money has been tight for everyone... the bs will be over shortly and items will be flowing again soon. I"ll keep your post and notify you personally when they arrive.

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10/2/2014 4:18 PM

Jon Byers wrote:

There are several that have been produced and waiting for shipment.. Mike and I are trying to get these over. It's an ...more

HardBMX_Tim wrote:

I see that! I fell in love last year at interbike. Wouldn't mind scooping one but money is tight right now. Definitely ...more

Jon Byers wrote:

well, that is the way of the world .. money has been tight for everyone... the bs will be over shortly and items will be ...more

That sounds great! Hopefully ill be getting a bit of spare money in my pocket sometime soon. Wouldn't mind trying one out, keep me updated! Thanks a ton.

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Refs : SnM An1mal, GThompson121, Chuck8273, blizzbikes, bmxsteve99, kevin.brock.338, zinum, Brian_Griffin, billyhandyjunior, riverM, tomdon
Instagram : @timhankinsbmx