April 24, 2011

Japan Supply-Chain woes motorcycle earnings



Global makers of products from motorcycles to mobile phones are finding it harder to get the parts they need after Japan's earthquake and tsunami wrecked supply chains, and investors worry that the worst is yet to come for earnings.

Few motorcycle part manufacturers have announced extensions of production shutdowns for the current nuclear radioaction situation, sometimes even in unaffected regions. Interruptions to parts supply chains and distribution systems, as well as damage to infrastructure and energy shortages, are hindering production plans.

Motorcycle maker Harley-Davidson Inc lowered the bottom end of its 2011 shipments forecast, because of problems getting hold of radio components.

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