Arctic Cat sold to former executive following layoff announcements
Snowmobile sales in MN cold this winter
A lack of snow the last two winters has dulled a once revved up snowmobile industry, with many dealers reporting dozens of unsold inventories still this winter.
THIEF RIVER FALLS, Minn. (FOX 9) - Minnesota-based manufacturer of snowmobiles, ATVs and side-by-sides, Arctic Cat, announced the company was purchased by a former executive earlier this week.
This comes after hundreds of layoffs are expected to impact employees at its Thief River Falls plant next month.
READ MORE: Arctic Cat laying off about 385 employees in May
Arctic Cat sold
What they're saying:
Newly-appointed CEO and President of Arctic Cat, Brad Darling, released a statement that said, "We seek to continue Arctic Cat’s investment in its brand, products, people and dealers, extending its positive momentum. As a permanent fixture of Thief River Falls, MN for over 63 years, this iconic brand has benefited from the passion of not only the employees but also the entire community. We are now able to wipe away any uncertainty and are looking ahead with great excitement."
Darling became the CEO and President of ARGO in 2016 after a 17-year tenure at Arctic Cat.
The news release announcing the company sale said Darling will continue to lead both companies while each brand will be owned and operated separately.
Arctic cat layoffs
The backstory:
The company said back in February that about 385 employees will be laid off from Arctic Cat's snowmobile plant in Thief River Falls during the month of May, according to a WARN (Worker Adjustment Retaining Notification) letter shared by the Minnesota Department of Employment and Economic Development.
READ MORE: Twin Cities snowmobile sales plummet with snow elusive this winter
Arctic Cat initially said in 2024 that it only planned to furlough many of its hourly production employees until production resumed sometime in early 2025.
The furloughs were later found to be permanent, with other employee positions also being cut.
A company quarterly report released back in September 2024 states that "lower anticipated consumer demand" for specialized vehicles and canceled projects were factors in the company’s decision to "reduce operating expenses through headcount reductions."
The report adds that the plan to reduce operating expenses was approved back in April 2024.
Dig deeper:
Arctic Cat was founded in 1962 by Edgar Hetteen, according to the company's website.
The industrial conglomerate Textron then bought Arctic Cat in 2017.
The Arctic Cat ZR 858 was previously in the running for Minnesota’s coolest product contest.
The Source: This story used information from a news release shared by Arctic Cat and past FOX 9 reporting.