Harley-Davidson has the ticker symbol HOG on the New York Stock Exchange, but it is not considered “Pork” in the $789 billion economic recovery and stimulus package.
Harley-Davidson will reap some benefits over a period of two years, that provides a tax credit for consumers buying motorcycles. This credit is part of an initiative by Democratic Senators Herb Kohl and Russ Feingold of Wisconsin, and senators from Missouri and Pennsylvania, where Harley-Davidson plants are located.
“Like other struggling businesses, sluggish sales have led to job losses in the motorcycle industry and the dealerships that depend on it," Kohl said in a press release.
"We should do all we can to help Harley-Davidson weather this poor economy so they can boost sales and retain jobs, and we hope this provision in the economic recovery package will move us in that direction," He added.
“Expansion of the tax credit should attract more motorcycle buyers,” Feingold said in a joint press release with Senator Kohl.
Harley-Davidson is planning to cut 1,100 jobs over two years. Over 645 of those jobs are in Milwaukee. Facilities will be closed in Wisconsin. The reduced workforce will also reduce production levels to adjust to the expected decline in demand for motorcycle purchases in 2009.
Congress might approve the economic recovery and stimulus package by Friday before being signed by President Barack Obama.
New tax credit HOG
Commands stimulus respect
The legend rolls on