The first thing you need to know is that the ONLINE valuation guides for RVs are usually much higher than the values in the dealer’s copy of the NADA guide. In other words, what YOU think your RV is worth is probably much, much higher that what the DEALER will actually allow for it.

This is the same for the automotive, boat or RV industries. The dealer MUST take trade-ins at or below wholesale to ever hope to eventually make a reasonable profit. He must allow for interest payments on his used inventory, commissions to sales people, overhead, and much more.

A typical mid-sized RV dealer will have a monthly overhead of $50,000 to $150,000… or more per MONTH! Believe me, it’s not an easy game. He has laid out millions of dollars to allow you to browse a decent selection of RVs, so please… Don’t think of him as the bad guy.

Online RV Valuation Sources

Lets take a look at the online RV valuation sources and how to use them in order to place a realistic wholesale and retail value on your RV.

The best place to get fairly accurate online values for RVs is at: [http://www.nadaguides.com]

Go to the RV section and select the appropriate letter that corresponds to the make of your RV.

Now is where you’re going to have to grit your teeth and do something completely against your nature. DON’T ADD FOR ANY OPTIONS! The dealer won’t, so in this case we won’t either. Understand that we are only trying to determine what the dealer will allow for your trade-in. This doesn’t mean that you have to take it. In fact, you will be many dollars ahead if you decide to market your RV on your own, and then approach the dealer on a cash only basis…. But that’s another topic we’ll address in another article.

At the bottom of the NADA page, click on the “Get Price” button. Now, let you your jaw drop as you look at the value for: “Low Retail.”

Now emit a mild groan, because it gets worse from here. DEDUCT another 7% to 10% of that figure to establish the wholesale value in the dealer’s copy of the NADA book. This is the value that the dealer will be looking at. If your RV is an upper-line or luxury RV, or if it is a specialty RV you will need to deduct even more – 10% to 15% of the “Low Retail” figure. Since the online Low Retail prices do not match the wholesale prices in the dealer’s NADA guide, this is an educated guess for you. It will however, get you close enough to decide whether or not you are willing to trade your RV, and accept the actual cash value the dealer will allow.

Remember NOT TO ADD FOR OPTIONS! I know you tried to sneak a few in there didn’t you? Remember… The dealer NEVER adds for options when determining an ACV on a trade-in. In some rare cases such as hydraulic leveling jacks or other options that are very expensive, he MAY allow a little more, but nowhere near the actual cost of the option.

Your best bet in determining what the dealer is allowing you for your trade-in is to take the “Low Retail” figure minus 10%. (More for upper-line or specialty units.)

Certain factors such as mileage, condition and unit popularity and salability my influence the actual cash value allowed for your vehicle. Remember that we are dealing with an inexact science. We are simply trying to establish a guideline for estimating the actual amount allowed for your trade-in. Whether or not you decide to trade, is completely up to you. Now you have a way to weigh one against the other. The final decision of course… is up to you.

Jay Aydelotte

Draw in Edmonton
RV Business

As the annual RV show and sale gets set to roll into Edmonton, organizers say that a healthy Canadian dollar will give visitors access to great deals on recreation vehicles.

“I think the biggest thing that people will get an opportunity to see is the influence of the strong Canadian dollar,” said Ross Hodgins, chairperson of the 27th annual Edmonton RV Exposition and Sale at Northlands AgriCom and Sportex, in promoting his Feb. 7-10 show. “The average price (on RVs at the show) has definitely dropped … There’s definitely an improvement over last year.”

Consumer savings will be “fantastic,” Hodgins told freelance writer Jane Cardillo in an autos.canada.com posting.

“There’s more of a proliferation of American-built products because of that exchange rate,” he added. “The proliferation of inventory in the Edmonton market is insane. I would suggest there are probably some tremendous values, tremendous deals out there.”

Bill Burnett, of Trailblazer RV Centre, said consumers will get more for their money. “We’ll have a 32-foot bunk-model travel trailer that’s going to be around the $22,000 range,” Burnett noted. “A few years ago that was probably closer to $28,000.”

ArrKann Trailer and RV Centre promises much the same.

“Last year we thought we had good prices,” said Ken Friedenberg, whose dealership will have a full range of towable units at the show, from fold-down tent trailers to big holiday trailers. “This year they’re even better. It’s the best I’ve ever offered.”

A total of 16 dealers displaying hundreds of RVs — including tent trailers, lightweights and luxury coaches — will fill all the halls at the Agricom and spill over into the Sportex during the show produced by the Recreation Vehicle Dealers Association of Alberta.

For the first time, a shuttle service is set to ferry visitors from the parking lot to the main entrance. “We’re going to have a roving shuttle for consumers,” said Hodgins.

Another show first is an opening VIP night on Feb. 7 on which dealerships will invite certain individuals for free. “There’ll be some different things happening (on VIP night) at different dealers’ booths,” noted Hodgins. “Some are electing to offer free food, some are electing to have different entertainment.”

The popularity of the Edmonton exposition and sale grows annually, said Tamara Schadeck, the association’s acting show manager. Last year, 24,000 people visited the show. Organizers hope to boost that number to more than 26,000 this year.

PERRIS, Calif., Nov. 10 /PRNewswire-FirstCall/ — National R.V. Holdings, Inc. (NYSE: NVH – News), the owner of leading RV manufacturers National RV, Inc. (NRV) and Country Coach, Inc. (CCI), today announced financial results for its third quarter and nine months ended September 30, 2006.

Net sales were $92.0 million for the third quarter of 2006, a decline of 15% from $108.2 million in the third quarter of 2005. For the nine months ended September 30, 2006, net sales declined 12% to $315.1 million from $357.1 million in the same period last year.

For the third quarter and the nine months ended September 30, 2006, the Company reported a net loss of $7.1 million and $16.3 million, respectively, compared to a net loss of $5.9 million and $12.8 million for the comparable periods in 2005. These figures correspond to a net loss of $0.68 per diluted share for the third quarter of 2006 and $1.57 per diluted share for the first nine months of 2006, compared to a net loss of $0.57 per diluted share for the third quarter of 2005 and $1.24 per diluted share for the first nine months of 2005.

Brad Albrechtsen, National R.V. Holdings’ chief executive officer, stated, “The third quarter was particularly difficult as we continued to work through the fiberglass sidewall issue, dealt with continued slowing in the Class A industry, and worked through very aggressive new product introductions involving both divisions. We continue to look for ways to reduce costs. We are also continuing our efforts to raise new capital and explore strategic alternatives, and are evaluating several opportunities on both fronts.

“On a more positive note, we expect shipments to new dealers to total more than $5 million in the 4th quarter, which, combined with the successful new product launches, we believe will continue to support our growing market share and ultimately higher production and sales levels. At Country Coach, the new ultra high-end Rhapsody product was debuted recently at the Atlanta Speedway to glowing reviews. There is sufficient demand for this million dollar plus unit to support a planned build rate of 16 to 20 units in 2007. Having signed a new Prevost bus conversion dealer recently, Beaudry RV, we are hopeful that production of buses will also increase in 2007. Country Coach’s newly launched Tribute and redesigned Inspire products were also well received during the 3rd quarter and are helping that division continue to grow its share of the high line business as well as the Class A diesel market overall.

“On the National RV side, the mid-priced diesel Pacifica product launched in the 3rd quarter is doing extremely well and the entry-level gas Surfside model continues to garner consumer and dealer support,” continued Albrechtsen. “Unfortunately, the growth in market share experienced by both our divisions is not enough to offset the sales decline caused by the decline in industry Class A shipments.”

Year-to-date, the Company’s wholesale unit shipments of diesel motorhomes were 952, down 12% from 1,087 units during the first nine months of 2005. Wholesale unit shipments of gas motorhomes were 911 for the first nine months of 2006, down 15% from 1,073 units shipped during the first nine months of 2005. The Company’s combined diesel and gas Class A motorhome shipments were down 14% in the first nine months of 2006 compared to 2005, while industry Class A shipments were down 18%. The average selling price increased 2%, to $169,000 in the first nine months of 2006, compared to $165,000 for the same period in 2005.

In response to declining sales, the Company adjusted its weekly motorhome production rate down from 50 in the second quarter to 43 in the third quarter, and expects fourth-quarter production to average approximately 38 to 40 units per week.

The gross margin for the quarter ended September 30, 2006 was 0.9% compared to 2.0% for the same period last year. For the nine months ended September 30, 2006, the gross margin was 1.9% compared to 2.8% for the nine months ended September 30, 2005. During the third quarter the Company introduced one redesigned and three new products into production and into the market place. These new product introductions resulted in approximately $2.0 million in higher cost of sales during the quarter. The gross margin in the third quarter was also negatively impacted by lower fixed overhead absorption resulting from decreased sales and a $1.5 million increase in the workers’ compensation reserve for a significant injury and a revised actuarial estimate on the overall reserve.

Operating expenses for the third quarter of 2006 declined 9% to $7.0 million, or 7.6% of net sales, compared to $7.7 million, or 7.1% of net sales, for the third quarter of 2005. For the nine months ended September 30, 2006, operating expenses decreased 6% to $20.5 million, or 6.5% of net sales, compared to $21.8 million, or 6.1% of net sales, for the same period in the prior year. Operating costs decreased in both the quarter and year-to-date periods of 2006 due to the Company’s cost containment initiatives, partially offset by higher banking and professional fees associated with the Company’s capital raising efforts and strategic process.

“During the third quarter,” said Tom Martini, National R.V. Holdings’ chief financial officer, “we remained focused on providing enough liquidity for the Company to simultaneously continue to repair the 74 motorhomes affected by defective materials, continue our R & D efforts, complete new product introductions, and continue to produce high quality motorhomes for our dealer network. The declining market demand for the industry’s products has forced us to complete additional cost cutting initiatives to conserve available funds. We will continue our focus on providing liquidity in the near term through the reduction of inventory levels, and through our capital-raising efforts and strategic process review.”

Conference Call

National R.V. Holdings’ management team will host a live audio webcast to discuss its third quarter financial results and recent events. The webcast of the conference call will be held today at 10:00 a.m., PST (1:00 p.m., EST). To listen to the conference call via the Internet, please visit National R.V. Holdings’ website at www.nrvh.com at least 10 minutes prior to the start of the call in order to register, download and install any necessary software.

About National R.V. Holdings, Inc.

National R.V. Holdings, Inc., through its two wholly owned subsidiaries, National RV, Inc. (NRV) and Country Coach, Inc. (CCI), is one of the nation’s leading producers of motorized recreation vehicles. NRV is located in Perris, California where it produces Class A gas and diesel motor homes under model names Dolphin, Islander, Pacifica, Sea Breeze, Surf Side, Tradewinds and Tropi-Cal. CCI is located in Junction City, Oregon where it produces high-end Class A diesel motor homes under the model names Affinity, Allure, Inspire, Intrigue, Tribute, Rhapsody and Magna, and bus conversions under the Country Coach Prevost brand.

This release and other statements by the Company contain forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 including statements about the Company’s future expectations, performance, plans, and prospects, as well as assumptions about future events. Investors are cautioned that forward-looking statements are inherently uncertain. Actual performance and results may differ materially from that projected or suggested herein due to certain risks and uncertainties including, without limitation, the cyclical nature of the recreational vehicle industry; continuation of losses; the ability of the Company to address the effects caused by fiberglass material supplied by a third party supplier; the ability of the Company’s new and redesigned product introductions to achieve market acceptance; the ability of the Company to obtain long-term debt financing; seasonality and potential fluctuations in the Company’s operating results; any material weaknesses in the Company’s internal control over financial reporting or the failure to remediate any of the previously disclosed material weaknesses; any failure to implement required new or improved controls; the Company’s ability to maintain its stock exchange listing; the Company’s dependence on chassis suppliers; potential liabilities under dealer/lender repurchase agreements; competition; government regulation; warranty claims; product liability; and dependence on certain dealers and concentration of dealers in certain regions. Certain risks and uncertainties that could cause actual results to differ materially from that projected or suggested are set forth in the Company’s Form 10-K and other filings with the Securities and Exchange Commission (SEC) and the Company’s public announcements, copies of which are available from the SEC or from the Company upon request.

Contact:
Thomas J. Martini, CFO
951/436-3000
ir@nrvh.com

NATIONAL R.V. HOLDINGS, INC.
CONSOLIDATED BALANCE SHEETS
(In thousands, except share and per share amounts)

September 30,  December 31,
2006           2005
(Unaudited)
ASSETS
Current assets:
Cash and cash equivalents                           $4               $11
Restricted cash                                    720               201
Receivables, less allowance for doubtful
accounts of $533 and $392, respectively        21,801            21,533
Inventories                                     73,191            61,940
Prepaid expenses                                 2,732             2,359
Deferred income taxes                              778             1,281
Total current assets                          99,226            87,325
Property, plant and equipment, net              38,411            38,457
Other assets                                     1,344             1,608
Total assets                                $138,981          $127,390

LIABILITIES AND STOCKHOLDERS' EQUITY
Current liabilities:
Book overdraft                                  $7,086            $2,582
Accounts payable                                34,394            20,218
Accrued expenses                                23,396            26,273
Current portion of capital leases                   62                57
Line of credit                                  24,048            12,059
Total current liabilities                     88,986            61,189
Long-term portion of capital leases                136               169
Deferred income taxes                              778             1,281
Long-term accrued expenses                       4,986             5,089
Total liabilities                             94,886            67,728

Commitments and contingent liabilities

Stockholders' equity:
Preferred stock - $0.01 par value; 5,000
shares authorized, 4,000 issued and
outstanding                                        --                --
Common stock - $0.01 par value; 25,000,000
shares authorized, 10,339,484 issued and
outstanding                                       103               103
Additional paid-in capital                      38,256            37,563
Retained earnings                                5,736            21,996
Total stockholders' equity                    44,095            59,662
Total liabilities and stockholders' equity  $138,981          $127,390

NATIONAL R.V. HOLDINGS, INC.
CONSOLIDATED STATEMENTS OF OPERATIONS
(In thousands, except per share amounts)
(Unaudited)

Three-Months Ended   Nine-Months Ended
September 30,         September 30,
2006       2005       2006        2005

Net sales                      $91,999    $108,232   $315,107    $357,082
Cost of goods sold              91,191     106,067    309,031     347,201
Gross profit                     808       2,165      6,076       9,881
Selling expenses                 3,234       4,335      9,861      11,289
General and administrative
expenses                        3,774       3,346     10,618      10,489
Operating loss                (6,200)     (5,516)   (14,403)    (11,897)
Interest expense                   801         395      1,835         983
Other expense (income)             (10)         19       (101)        (72)
Loss before income taxes      (6,991)     (5,930)   (16,137)    (12,808)
Provision for income taxes          86          --        123          --
Net loss                       $(7,077)    $(5,930)  $(16,260)    (12,808)

Loss per common share:
Basic                         $(0.68)     $(0.57)    $(1.57)     $(1.24)
Diluted                       $(0.68)     $(0.57)    $(1.57)     $(1.24)

Weighted average number of
shares:
Basic                         10,339      10,339     10,339      10,338
Diluted                       10,339      10,339     10,339      10,338

NATIONAL R.V. HOLDINGS, INC.
CONSOLIDATED STATEMENTS OF CASH FLOWS
(In thousands)
(Unaudited)

Nine Months Ended
September 30,
2006            2005

Cash flows from operating activities:
Net loss                                       $(16,260)      $(12,808)
Adjustments to reconcile net loss to net
cash used in operating activities:
Bad debt expense                                  147            126
Reserve and write down of inventories           6,403          1,576
Depreciation and amortization                   3,112          2,760
(Gain) loss on asset disposal                      28            (35)
Stock-based compensation                          693             --
Changes in assets and liabilities:
Increase in receivables                        (415)        (3,052)
Increase in inventories                     (17,654)        (4,100)
(Increase) decrease in prepaid expenses        (373)           641
Increase in accounts payable                 14,176          1,271
(Decrease) increase in accrued expenses      (2,980)         1,351
Net cash used for operating activities        (13,123)       (12,270)

Cash flows from investing activities:
(Increase) decrease in restricted cash             (519)           226
Repayments on note receivable                        --          1,970
Purchase of property, plant and equipment        (3,164)        (3,576)
Proceeds from sale of assets                        128             75
Decrease in other assets                            206             44
Net cash used in investing activities          (3,349)        (1,261)

Cash flows from financing activities:
Increase in book overdraft                        4,504          4,207
Principal payments on capital leases                (28)           (24)
Deferred financing costs                             --           (236)
Net receipts on the line of credit               11,989          9,444
Proceeds from issuance of common stock               --            140
Net cash provided by financing activities      16,465         13,531
Net (decrease) increase in cash and cash
equivalents                                           (7)            --
Cash and cash equivalents, beginning of the year       11             11
Cash and cash equivalents, end of period               $4            $11

Supplementary cash flow information:

Reclassification of inventory for operating lease     $--           $394

Some RVer’s think they have too many rules while out camping while others don’t think there are enough of them. Let’s go over some of those issues first hand; person (A) might not like the idea you can’t bring your own firewood, parks having RV age limitations, not allowing pets or kids, no tent trailers, no slide-outs, no awnings out past the concrete pad and the list goes on. Person (B) thinks only luxury motorhomes and fifth-wheel trailers should be allowed where they camp, full hook-ups standard, concrete and pavement everywhere their RV treads and the list goes on.

After talking with many folks and reading around the internet I find the definition of “Selective Reasoning” really misinterpreted more than anything, mainly by those who do enforce it, the park managers. The biggest said complaint is usually from that meticulous owner of an older RV whom does not meet the maximum vehicle age requirements of a particular RV park. What has happened is some park owners or management companies draw up a selective reasoning rule to keep out the scum bags who drive in with their half falling apart RV, maybe a mobile drug dealer or just plain bad folks making a complete nightmare out of a nice friendly campground. The concept of selective reasoning does make sense if it is not overly restrictive and allows flexibility on the manager or camp hosts part. For example if you are going to make an age limitation figuring most of the rough looking RV’s are older, than as the camp host/manager, you better be flexable with the RVer who has a well taking care of unit no matter what the age might be.

If you feel that your older RV is in great condition and you run into this kind of situation, please do yourself and all other like RV owners a favor and complain in a nice way, either directly to the RV Park, or in writing to whom ever is in charge or owns the park in question.

There is good reason for this concept if the rules are written with “flexibility in mind”, well thought out understanding of concept and meaning.

There are not that many of these types of parks as of yet, so you should not run into this problem too often. If planning a trip ahead of time, call ahead and ask if there are any restrictions you may not agree with, and if so see if there is any flexibility and if not move on down the list. Don’t let this type of thing restrict you from enjoying your older RV or camping experience