*JimH* wrote:
Shares of Brunswick Corp. traded sharply lower Tuesday after the maker of
marine engines, pleasure boats and other leisure goods cut its earnings
targets, blaming the combined effects of higher fuel prices, lower consumer
confidence and Hurricane Katrina.

Brunswick (BC), based in Lake Forest, Ill., saw its stock fall 10.9%, or $
4.61, to $37.89 in recent trading.

Brunswick said that retail demand for its marine products remains strong,
but that as it moves into the off-season, demand is driven primarily by
wholesale buyers.

"We are concerned that if high fuel prices, the drop in consumer confidence
and Katrina lead to slower overall economic conditions, then wholesale
demand for marine products could be affected," said George Buckley, chairman
and chief executive, in a statement.

http://tinyurl.com/cj2ba


Most boat builders will be impacted by higher fuel prices. The only
likely exceptions are the firms specializing in boats priced over a
couple of million dollars or so- people paying that much for a boat
could spend $6 a gallon for diesel and not even feel it.

The high gas prices will do more to deter new boaters from taking up
the pastime than they will drive away people already enjoying boating.
Existing boaters will still boat, but take a few less weekend cruises
per year, stay a little closer to home, and start to think about
running more often at the most efficient speeds. Companies like Genmar
and Brunswick bank heavily on sales to entry level boaters, and until
the public gets over the shock of current fuel pricing their sales may
well be down.