Where Some Went Right and Others Made a Wrong Turn in ’99

Welcome to the high-stakes game of motorcycle retailing, in which ever-increasing numbers of folks buy bikes for socializing, sport, transportation, thrills, negotiating Los Angeles traffic jams (yes, it’s legal for motorcyclists to use carpool lanes, even when riding solo) and posturing.

In the 1999 version of the game, there were some big winners and big losers among the manufacturers whose accomplishments and foibles we note below.

But the biggest winner of all was the motorcycle industry itself. This year marked the seventh in a row in which motorcycle sales--which were so stagnant in the early ‘80s that it seemed the whole industry might close up shop in the U.S.--have bounded upward.

Nearly half a million new motorcycles were sold in the U.S. in 1999, an increase of more than 20% over last year, according to veteran industry analyst Don Brown. That’s still not quite up to the level of sales reached during the heyday of motorcycles in the early 1970s, but Brown said the industry is far more prosperous now.

The average price for a street motorcycle in 1973 was about $1,100, said Brown, an independent analyst based in Irvine. That works out to $4,190 in today’s dollars.

“Now the average price is about $11,000,” he said. “Even accounting for inflation, that is a big leap.

“I think the industry is in the best position I have ever seen it.”

Although Brown said indications are that prosperity will continue for at least the next several years, his rosy forecast comes with a caveat:

“No one really needs a motorcycle in this country--it’s something that is bought for recreation. If the economy loses steam, motorcycle sales could fall off quickly.”

A sobering thought, especially given that several of the major manufacturers have significantly increased the size of their plants to meet the current demand.

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With all that in mind, we turn to some of the highs and lows of 1999:

Biggest Winner Among Manufacturers: Hands down, this title goes to Harley-Davidson, which according to Brown will sell more motorcycles in the U.S. this year than perennial leader Honda, which has been No. 1 since the Japanese began dominating the market in the ‘60s. Harley’s heavyweight cruisers and touring bikes have an almost fanatical following among baby boomers, who make up the majority of new-motorcycle buyers in this country.

First runner-up is Ducati, the Italian manufacturer of elegant sportbikes. The American investment company Texas Pacific Group bought into Ducati in 1996, infusing it with cash and new management. Boosted by the continuing popularity of the Monster model, worldwide Ducati revenue increased almost 20% in the first nine months of 1999, according to company earnings reports.

Biggest Loser: Another hands-down decision, and it goes to Excelsior-Henderson, the wildly ambitious Minnesota company whose owners bragged that they would build the next great American bike.

But management problems--and, according to published reports, a raw arrogance that led the owners to ignore signs of disaster--led to the company’s downfall. After going through $100 million (some of which went into their own bank accounts in the form of generous salaries, as reported by the Minneapolis Star-Tribune), the owners produced only a few thousand bikes and earlier this month filed for Bankruptcy Court protection, putting hundreds out of work.

First runner-up is Norton, the venerable British name in motorcycles that an American-based group tried to revive. This year, the investors pulled the plug on the company’s efforts to make a V-8 and other models, and Norton’s president resigned. Lawsuits are flying.

Second runner-up, but in far better shape than the others, is Buell, the only surviving American maker of sportbikes. This year, Buell recalled for technical problems virtually every motorcycle it produced since the company opened in 1994. But Buell has the good fortune to be owned by Harley-Davidson, and its papa’s deep pockets have kept it going.

Best Sportbike: You could get into a spirited argument over this one up at Newcomb’s Ranch, the restaurant up Angeles Crest Highway that serves as L.A.’s sportbike central, but reviewers and buyers alike lavished praise on Yamaha’s R1 and its smaller sibling, the R6.

Best All-Round Bike: A tie for this one, and both are Hondas. The new-for-1999 CBR600F4 is lightweight, loads of fun to ride, reasonably priced and comfortable enough for some touring. The VFR800FI is a bit heavier and expensive, but it’s more powerful and suitable for long tours. Pressed to choose, I have to say I love the F4 for its nimbleness, although some experienced riders might enjoy the VFR’s extra horsepower.

Best Bargain: Suzuki took a risk by bringing the SV650 to the U.S.; lightweight V-twin motorcycles had not done well here in several years. But it was hard not to find the zippy SV650 eminently likable the moment one climbed aboard. And at a list price of about $5,700, the bike flew out dealers’ doors.

Best Thrill Ride: You don’t have to go 190 mph to appreciate the power of Suzuki’s Hayabusa, although some riders did just that on the bike in measured track tests.

On the highway at far slower speeds, it’s daunting to have a bike with this kind of power at your disposal, and yet it’s a pleasure to feel how well this machine handles. The Hayabusa’s reign as fastest production bike ever made may last only a year, however. Kawasaki is hoping its new ZX-12 will surpass it in raw speed.

Biggest Phenomenon: Stadium-based Supercross racing continues to grow enormously in popularity, and although it is not nearly as refined or elegant as world-class road racing, the sport has greatly affected the industry by boosting the sales of dirt bikes.

Best Trend: The number of beginning motorcyclists enrolling in classes given by the Motorcycle Safety Foundation, a nonprofit nationwide group, continues on the upswing. Foundation officials say they don’t have a complete tally yet, but in some states, they have seen enrollment increases of 10%.

In addition, studies show that new female riders are more apt to take the courses than males. Take a lesson, guys: This is definitely not an area in which you want to fall behind.

Two-Wheel Ride surveys the motorcycle scene in Southern California. David Colker can be reached at david.colker

@latimes.com.