Wingnut Wings has been permanently closed down

[Monty]

Wot Rick said... Sad, the reasons will never be known, but looking back at the hints, this has been coming for a while....

[Jeff K]

worth noting that whether it was an internal or external decision to shut the company down, chances are the reason people aren't talking is that they signed a non-disclosure agreement. it's common practice.

so, we may never know. i would speculate, however, that it's not necessarily a safe assumption that WNW was losing significant money as a standalone, it's part of a group of companies and all are hit hard.

also worth noting, while i'm hoping someone does indeed pick up the molds and keep the goodness flowing in some form, what i'm really hoping for is that some company with deep enough pockets recognizes the value of the team--the research, engineering, mold-making, packaging and service were all next-level.

[Pup7309]

worth noting that whether it was an internal or external decision to shut the company down, chances are the reason people aren't talking is that they signed a non-disclosure agreement. it's common practice.

so, we may never know. i would speculate, however, that it's not necessarily a safe assumption that WNW was losing significant money as a standalone, it's part of a group of companies and all are hit hard.

also worth noting, while i'm hoping someone does indeed pick up the molds and keep the goodness flowing in some form, what i'm really hoping for is that some company with deep enough pockets recognizes the value of the team--the research, engineering, mold-making, packaging and service were all next-level.

Well said. The research and quality - next level like you said. Just looking through the instruction booklets is just mind blowing, and that’s before you even get to the plastic!

[Olieslagers]

I am surprised and yet I should not be. This is pure speculations of my part but it seems that WNW did loose their way at the end. I am retired and I have to watch my budget, do we all. I have been able to gather several WNW and a CSM kit, and oh yes the DRI from Roden. I have build a total of 9 WNW kits and have another 11 unbuild. I do build ships, armor (WWI) and the occasional figure.
All are of the less expensive models. I never would have been able to afford (and even less display) some of their latest offering. I understand that a $300 kit takes
a lot more time to complete than a $65 kit. But you can by 4 of them and able to display them. Also spend $300 in one shot would have drained my modeling budget for the year. No more $ for paints aftermarket etc..
It appear (to me) that PJ was controlling what would be released, lots of British and German aircrafts but sadly very few French or Italian aircrafts (if any). I am sure that the anticipated Lancaster would have been a beauty but how much financial strain that it must have been on the company. Such a monster kit with WNW details would have required molds that would have cost a fortune, also the time expanded on research.
I applauded WNW for having introduced us to extremely high quality kits of an era which was often ignored by other companies. Their early kits were affordable for most of us, their latest kits no so much. Most of those giant kits are to languish in closets, sadly. I feel for those who provided aftermarkets products and of course
the employees of WNW. This is a difficult time for many of us, but more so for some. Most important I hope that all of you and your family are safe.

[Dwaynewilly]

   This has been a very interesting exercise, reading all of the conjecture and the hypotheticals.  There is some very intuitive musings going on in there and some of it is undoubtedly accurate.  One thing I do know for sure is that people are people, they can pull you through or let you down when the going gets rough.  Who knows what part the human element had to play in the situation the company finds itself in today and who knows how much the finances and the global pandemic figured in this current state of affairs as well.  Was it people, cash flow or business practices or a combination of all three?  I believe time will eventually tell the true tale, or something close to it. 

   I'm of the opinion that under the guidance of an established manufacturer who is well versed with the ins and outs of the hobby industry, the line could turn a profit.  Will Wingnuts reorganize and try again or will it be left for something else to carry on?  I'll be eagerly waiting to find out.

[Dekenba1]

I'm thinking that WNW & TVAL were a cash draw on the WETA enterprise, and with filmmaking more or less on hold for the foreseeable, the decision was made to stop spending as much money as possible - across the group - until the economy returns to some sort of normal.

Failure do to so may have imperilled the wider WETA group

The most boring speculation possible, but with my economist & accountant hats on, the most likely to me.

But, as my ever helpful wife reminds me every day, I'm usually wrong.

[Jeff K]

as i understand it (i'm not in the business so maybe i'm wrong) development's the expensive part. making the molds costs more than using them. so whomever buys the molds, over time, could likely profit, depending on the price of the molds. and the price almost certainly depends on how urgently WNW wants to 'dispose of' the molds...

[Eric Armstrong]

I'm thinking that WNW & TVAL were a cash draw on the WETA enterprise, and with filmmaking more or less on hold for the foreseeable, the decision was made to stop spending as much money as possible - across the group - until the economy returns to some sort of normal.

Failure do to so may have imperilled the wider WETA group

The most boring speculation possible, but with my economist & accountant hats on, the most likely to me.

But, as my ever helpful wife reminds me every day, I'm usually wrong.

Behind every successful man is a woman telling him he's wrong.

[Gisbod]

Quite hard to believe this news. How sad.

Presumably they were making money, so it seems a little odd that it’s so final and not a suspension. You’d think a world lockdown would be a boost to sales...

A major blow to lose such a high quality manufacturer that has set the standard over the last few years.

Guy 

[Dekenba1]

Quite hard to believe this news. How sad.

Presumably they were making money, so it seems a little odd that it’s so final and not a suspension. You’d think a world lockdown would be a boost to sales...

A major blow to lose such a high quality manufacturer that has set the standard over the last few years.

Guy 

Nobody knows if they were making money, but the consensus seems to be that they were being subsidised by PJ.

[macsporran]

I think the assumption is that they were being subsidized by PJ, and I'm sure they were initially, but latterly the allegations have been that they were being subsidized unknowingly by the NZ taxpayer and this is why the shit has now hit the fan

[Dekenba1]

I think the assumption is that they were being subsidized by PJ, and I'm sure they were initially, but latterly the allegations have been that they were being subsidized unknowingly by the NZ taxpayer and this is why the shit has now hit the fan

This "subsidy" was not a subsidy at all.

NZ have a grant system, whereby the Gov gives grants to film industry companies to help them develop.

WETA never had any of these grants. Other, smaller companies did, and used some of these funds to buy services & goods from WETA, on commercial terms.

So WETA may have ended up with money that was originally given as grants, BUT they earned it, like they do with all of their revenue.

So, no subsidy for WETA from the NZ taxpayer, let alone WNW & TVAL.

[macsporran]

On what do you base your assertion that the WETA group did not receive an NZ government subsidy, please. I'd be keen to know if you have inside information.
Meanwhile, the assertion that they did, is out there in the public domain.
If you can refute this with facts, rather than opinions, it would be valuable.

[Ringleheim]

I think the assumption is that they were being subsidized by PJ, and I'm sure they were initially, but latterly the allegations have been that they were being subsidized unknowingly by the NZ taxpayer and this is why the shit has now hit the fan

Folks in N. America probably know the online retailer Scale Modelist.  They are one of the larger online hobby shops in the USA.  They have been absolutely overloaded with orders for the last several weeks, such that they are now urging caution in placing orders and noting that orders will likely be delayed by 4 days (which is a ton relative to their normal fast service).  They literally stated about a week ago that recent sales have been the highest in the company's history.

So yes, as noted, COVID19 has seemingly boosted the model hobby more than hurt it.

The stated goal at WNW was always that Peter Jackson would supply money, but only to the extent that the entity was able to break even on its own. 

Even if the pandemic was somehow hurting business at WNW, you would think PJ could step in and right the ship for the near term knowing the company would rebound when the world returns to normal. 

Or more drastic, but temporary measures could be employed to keep the cogs oiled. At which point we wouldn't be hearing about permanent firings and the company shutting down permanently.

Without question, something fishy is going on here.  Which makes the story all the more interesting.

[eclarson]

Folks in N. America probably know the online retailer Scale Modelist....

Do you mean Scale Hobbyist? 

Eric