Mercury Marine enters into supply agreement with BRP; will immediately become outboard engine of choice for Alumacraft, Manitou & Telwater brands

Rhea-AI Summary

Mercury Marine, a division of Brunswick Corporation (NYSE:BC), has secured a strategic supply agreement with BRP to supply outboard engines for BRP's Alumacraft, Manitou, Quintrex, and Stacer brands. This move comes as BRP discontinues its E-TEC engine production. Mercury Marine aims to leverage this opportunity for growth and enhance its market position with award-winning outboard engines, having established long-term relationships with these brands. Boat packages featuring Mercury outboards will be available in early June 2020, following recent capacity investments.

Positive

• Strategic supply agreement with BRP enhances market presence.
• Discontinuation of BRP's E-TEC engines allows Mercury to fill a gap in the market.
• Recent capacity investments position Mercury for growth.
• Long-standing collaborations with key boat brands facilitate smoother transitions.

Negative

• BRP's E-TEC engine discontinuation indicates challenges in their engine production.
• Market uncertainty due to COVID-19 may impact overall sales.

FOND DU LAC, Wisc., May 27, 2020 (GLOBE NEWSWIRE) -- Mercury Marine, a division of Brunswick Corporation (NYSE:BC) and a world leader in marine propulsion systems, has entered into a strategic supply agreement with BRP to be the supplier of choice for BRP owned boat brands Alumacraft, Manitou, Quintrex & Stacer.  BRP has made the decision to discontinue the production of E-TEC and E-TEC G2 engines effective immediately.

“This agreement brings us an incredible opportunity to further grow our brand in the marketplace and introduce our award-winning portfolio of outboard engines to new customers around the world,” said Chris Drees, Mercury Marine president.  “We have enjoyed long standing relationships with Alumacraft, Manitou and Telwater and we look forward to continuing to work with them while providing class-leading outboard engines and exceptional service to all of their global customers.”

“We stay true and committed to our marine strategy, and we strongly believe that having two of the most innovative global marine companies to join forces, will not only be mutually beneficial to Mercury Marine and BRP, but also to the whole industry and to customers, " said Karim Donnez, Senior Vice President, Marine Group, IS&T and Global Transformation. “While COVID-19 has precipitated the discontinuation of the production of our outboard engines, we will proudly offer packaged Manitou, Alumacraft, Quintrex and Stacer boats with Mercury Marine going forward."

Mercury Marine will be the outboard supplier of choice for the Alumacraft and Manitou brands as well as Quintrex & Stacer in Australia.

“We are excited for the BRP dealers and consumers to experience our new engines – and with our recent capacity related investments we are well positioned for continued growth,” said Drees.

Boat packages for Alumacraft, Manitou, Quintrex & Stacer with Mercury outboards will be available in early June. 

About Mercury Marine

Headquartered in Fond du Lac, Wis., Mercury Marine is the world’s leading manufacturer of recreational marine propulsion engines. A $3 billion division of Brunswick Corporation (NYSE: BC), Mercury provides engines, boats, services and parts for recreational, commercial and government marine applications, empowering boaters with products that are easy to use, extremely reliable and backed by the most dedicated customer support in the world. Mercury’s industry-leading brand portfolio includes Mercury outboard engines; Mercury MerCruiser sterndrive and inboard packages; MotorGuide trolling motors; Mercury propellers; Mercury inflatable boats; Mercury SmartCraft electronics; Attwood marine parts; Land ’N’ Sea marine parts distribution; and Mercury and Quicksilver parts and oils. More information is available at mercurymarine.com.

FAQ

What is the recent agreement between Mercury Marine and BRP?

Mercury Marine has entered a strategic supply agreement to provide outboard engines for BRP's boat brands, including Alumacraft and Manitou.

When will Mercury Marine boat packages be available?

Boat packages featuring Mercury outboards will be available in early June 2020.

What brands will Mercury Marine supply engines for?

Mercury Marine will supply engines for Alumacraft, Manitou, Quintrex, and Stacer brands.

What significant change is happening with BRP's engine production?

BRP has decided to discontinue the production of E-TEC and E-TEC G2 engines.

How does this agreement affect Mercury Marine's market position?

The agreement allows Mercury Marine to expand its brand presence and introduce its engines to new customers.