19:17:37 EDT Tue 23 Apr 2024
Enter Symbol
or Name
USA
CA



BRP Inc
Symbol DOO
Shares Issued 39,292,122
Close 2014-10-22 C$ 24.53
Market Cap C$ 963,835,753
Recent Sedar Documents

Globe says Russian sales partner asks BRP for help

2014-10-23 08:06 ET - In the News

The Globe and Mail reports in its Thursday edition Bombardier Recreational Products' biggest challenge is Russia. The Globe's Nicolas Van Praet writes economic sanctions and tanking world oil prices have hit the ruble, making many products that used to be affordable out of reach. The country's annual inflation rate tops 8 per cent. BRP's Russian woes began about a year ago, and it shows no sign of easing. Unlike other places where it sells its wares directly, BRP counts on a distributor in the country which has responsibility for moving product through a network of local dealers. BRP sells stock to the distributor, Rosan Group of St. Petersburg, in euros. But Rosan's revenue is generated in the currency its customers pay in: rubles. Rosan is now asking for help from BRP, such as rebates or other financial adjustments, to keep sales afloat, said BRP's Pascal Bosse. The ruble is down 22 per cent in two years. The stakes for Quebec-based BRP are significant. The company counts long-winter Russia as its third-largest market after the United States and Canada. With a still-swelling middle class, the country is key for BRP, generating $200-million, or about 6 per cent of its $3.2-billion top line last year.

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