Harley-Davidson has instructed its dealers not to talk about how sales have been throughout the recession, but the news that 36 dealerships have closed in the past year, and more closures are expected in 2011, speaks for itself on how sales have been. On a conference call with analysts CFO John Olin said, “This contraction was expected and in-line with our desire to modestly consolidate our U.S. dealer network in response to lower overall volume since the economic downturn took hold,” which is a very glossed over way of saying that American brand has become too bloated over the past years, and needs to go on a diet.

Harley-Davidson expects to ship between 221,000 & 228,000 motorcycles worldwide in 2011, which is up 8% over last year’s figure, but still pales in comparison to the numbers the Milwaukee brand was posting before the economic collapse (303,479 in 2008). Since 2006, sales at Harley-Davdison have continued to slide, but the most dramatic affect was in 2010, where sales were down 30% compared to before the recession (over 36% in the domestic market).

Opinion/Editorial

If you read Asphalt & Rubber on a religious basis (we are your motorcycling zen temple, right?), you’ve likely divined by now that I’ll chastise just about any company that uses the premise that “sex sells”, and that I love a good scrappy startup that’s got more hustle than funding.

So how does a the multi-million dollar motorcycle racing team with half-naked women draped all over their machinery get such accolades from our humble motorcycle blog? Because LCR Honda is the epitome of innovation on the business side of MotoGP racing.