It's official now. This article is in today's Trade Fax by Sports Collector's Digest.
FLEER FIRES CARD STAFF, LOOKS FOR FINANCIAL OPTIONS
Fleer Trading Cards dismissed its trading card employees Friday, leaving several employees to run the die-cast division and CFO Chris Tobia to look to sell the company in the coming weeks.
The company has been dealing with financial shortfalls for several months and last week cancelled plans to attend this weekend's NFL Players Rookie Premiere photo shoot in Los Angeles. Sources told Trade Fax the company had meetings with some of its licensors last week to discuss their financial straits. In addition, sources say one of the company's printers refused to release several upcoming products because of unpaid bills.
Current owner Roger Grass and his father, Alex, purchased the company from Marvel Entertainment in 1999. Marvel had purchased Fleer in 1992 and SkyBox in 1995, merging the two companies into Fleer/SkyBox.
Fleer was shopped around last year and existing card companies had submitted offers to purchase the manufacturer. Grass opted not to sell and the company invested money in product upgrades and promotional initiatives. Those companies are now left to assess if they would still be interested in purchasing any of Fleer's brand names, including its Fleer Collectibles line of die-cast vehicles that Fleer execs have said has been a profitable line for the company.
Also to be decided is whether licensors will look to replace Fleer's brands, particularly in basketball, where Fleer is the league's longest continuous licensee. The NBA would have only two active licensees.
Fleer is the industry's second-oldest trading card manufacturer, with sports-card roots dating back to the 1950s. It ha been a continuous licensee of baseball since 1981, football since 1990 and basketball since 1986-87 and was recently a WWE licensee. The company also produced hockey and racing cards within the past decade as well as entertainment cards and a collectible card game.
The news reached dealers over the weekend, and they responded with justifiable concerns regarding preorder payments and redemption cards. Within the industry leaders, even those awaiting an overall reduction in brand quantities were hit hard by the news. As one distributor told Trade Fax, "Yes, we've been struggling with a glut in the marketplace, but these were my friends."
Just curious, does anyone know if Fleer shipped the 2005 Baseball autographics cards? They were due to hit the market last week according to the website.
There should be a ton of Fleer product hitting the market soon. The printers will probably blow out the remaining inventory to re-coup some of their money.
This will effect Topps and Upper Deck since it will take time for the market to swallow this material.
I wouldn't be surprised if Upper Deck starts to have problems. The hobby has shrunk and I don't think the card manufacturers can afford to pay the license fees and player auto costs.
Topps might be the next one to be sold. An investment firm to fighting management to take control of the company and sell it.
Topps has no debt and consistent cash flow. That is type of company that Wall Street loves to sell.
Upper Deck is a private company, but I have to believe they are in trouble also. They only have three strong brands - Upper Deck, SPx, and SP Authentic.
If there ever was a hold on cases of 86-87, 97-88, 88-89 Fleer basketball and they sell them, it could be quite a flood to the market....what will happen to those values then???? eek. May see Jordan Rookies (real ones) at 100 bucks a pop? or less???? Cmon...its still an 80s product...the decade of overproduction.
LOL...what was I thinking...I meant that set Loth.....all those sets in the 80s....what will happen if 200 cases of each were released? If 200 cases of 86-87 were released, that would be 16,000 more of each card out there....even Jordan rookies! Or what if MORE than 200 cases? That could wipe out that 80s basketball market.
SOOOOOOOOOOOOOOOOOOOOoooooooooooo......when does fleer start offering stored warehouse cards at pennies on the dollar??? 5 bucks a box for a 2.99 retail PER PACK item???? anyone anyone??
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FLEER FIRES CARD STAFF, LOOKS FOR FINANCIAL OPTIONS
Fleer Trading Cards dismissed its trading card employees Friday, leaving several employees to run the die-cast division and CFO Chris Tobia to look to sell the company in the coming weeks.
The company has been dealing with financial shortfalls for several months and last week cancelled plans to attend this weekend's NFL Players Rookie Premiere photo shoot in Los Angeles. Sources told Trade Fax the company had meetings with some of its licensors last week to discuss their financial straits. In addition, sources say one of the company's printers refused to release several upcoming products because of unpaid bills.
Current owner Roger Grass and his father, Alex, purchased the company from Marvel Entertainment in 1999. Marvel had purchased Fleer in 1992 and SkyBox in 1995, merging the two companies into Fleer/SkyBox.
Fleer was shopped around last year and existing card companies had submitted offers to purchase the manufacturer. Grass opted not to sell and the company invested money in product upgrades and promotional initiatives. Those companies are now left to assess if they would still be interested in purchasing any of Fleer's brand names, including its Fleer Collectibles line of die-cast vehicles that Fleer execs have said has been a profitable line for the company.
Also to be decided is whether licensors will look to replace Fleer's brands, particularly in basketball, where Fleer is the league's longest continuous licensee. The NBA would have only two active licensees.
Fleer is the industry's second-oldest trading card manufacturer, with sports-card roots dating back to the 1950s. It ha been a continuous licensee of baseball since 1981, football since 1990 and basketball since 1986-87 and was recently a WWE licensee. The company also produced hockey and racing cards within the past decade as well as entertainment cards and a collectible card game.
The news reached dealers over the weekend, and they responded with justifiable concerns regarding preorder payments and redemption cards. Within the industry leaders, even those awaiting an overall reduction in brand quantities were hit hard by the news. As one distributor told Trade Fax, "Yes, we've been struggling with a glut in the marketplace, but these were my friends."
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This will effect Topps and Upper Deck since it will take time for the market to swallow this material.
I wouldn't be surprised if Upper Deck starts to have problems. The hobby has shrunk and I don't think the card manufacturers can afford to pay the license fees and player auto costs.
I want to know how stalin knew ahead of time.................must have connections...
HOW IS TOPPS DOING??? THEY BETTER BE AROUND TO MAKE HERITAGE NEXT YEAR
loth
<< <i>HOW IS TOPPS DOING??? THEY BETTER BE AROUND TO MAKE HERITAGE NEXT YEAR >>
That's a little easier to check, since Topps is publicly traded:
Topps link on Yahoo Finance
Topps has no debt and consistent cash flow. That is type of company that Wall Street loves to sell.
Upper Deck is a private company, but I have to believe they are in trouble also. They only have three strong brands - Upper Deck, SPx, and SP Authentic.
Loth
HOF SIGNED FOOTBALL RCS
loth
May see Jordan Rookies (real ones) at 100 bucks a pop? or less???? Cmon...its still an 80s product...the decade of overproduction.
loth
GG
loth