The cliché of “a cycle” could
not be better defined than what we have seen in the last five years,
especially when you consider
the price of oil and gas. If you are reading this, you know exactly
what I am talking about. Oil has tripled in price, touching $150/barrel,
to return back to a little more than half of what it started at, bottoming
at near $35/barrel in December of 09. Natural gas saw over a three
fold increase going from $3 in 04 to $13 in 06, back to $2 something
and again climbing back to near $5.
If one were a farmer
and that volatility was experienced in rainfall, you would have to
be prepared to grow cactus one year, rice the next,
well, maybe corn or wheat…
In any case, we here at Loadcraft are counting our blessings to be
alive and thriving as we reach the mid point of 2010. We believe
are ahead and hope to be some part of a great future with each of
you. Here’s to all of you who have partnered with us to “hunker
down” together while the storm passed.
One of the many exciting
things we are doing as a company is “refreshing” our
product. We have heard from customer after customer about how their
pricing has had to be lowered some 25-30% over the last several years.
money turned to make payroll and hold on to customers has been the
key focus for most folks in the industry it seems. All of this has
at the same time as technology demands, environmental regulations,
weight restrictions, cost of employment (thru taxes, insurance, health
regulations…), are all on the rise.
That being the case,
we have begun Project Refresh 2010 here at Loadcraft. When you hit
the refresh button on your computer, it updates the
screen to the most current status available. That is exactly
what we want
to do with our product. Our team of craftsmen is working to review
of our product to make them more user friendly, environmentally and
DOT compliant, technologically advanced, and safer, all without compromising
quality or value. Additionally, we are developing a list of options
add to the “base rig.” This will give our customers ultimate
flexibility in designing their rig to meet their exact needs.
Over the last 5 years,
125 rigs, and 900 trailers, our focus on quality and durable custom
rigs have not always won the ‘lowest bid’ structure
up front, but, we believe the lifetime and service of our rigs will
always win the ‘lowest cost’ and value in the end. Taking
in consideration that the value of the true costs of ownership is equal
to the price
you pay today, plus the costs to maintain and service the rig (including
downtime over the hole), less the resale value at the end of your
use of the rig.
Plug Loadcraft into that formula and you have: a little higher purchase
price to amortize over the life of the rig, way less down time (thru
complete commitment to service our customers), and an asset with
the best resale
value in the market place. We sincerely believe your lowest net costs
of ownership, and highest value realized, will come thru being a
part of the
Whether you need a super mobile rig to climb the side of a hill in
the Marcellous, or a desert package in 130 degree heat in the Middle
we can do it. If you need a conventional mechanical rig in the jungle
of South America or the plains of West Texas (that anything can be
big enough sledge hammer and pipe wrench), or an AC rig with a joystick
for the new driller who has played Xbox all his life, we are your solution.
want to extend an invitation to Brady, Texas to each of you for some
and a visit with the best people in the world
care about building the best products for the best customers in the
world. We don’t want you to give us your business, but we humbly
ask for the opportunity to earn it.
My hope and prayer
for each of you is that you may experience exceedingly abundant prosperity
for this year and beyond.
Thanking you for
Chief Operating Officer