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Delivery update….

for the week ending June 11th. We have completed the orders up to and including C27 and pre-built order 54. It should be noted that C26 is still in process and is expected to be completed the week ending June 18th. The BG W9 date dialed Kingstons are currently in Switzerland for assembly. The watches are expected back soon. The C3 date dialed Kingstons will be assembled in the US. In the unlikely event that the BG W9 date watches do not return before we complete the delivery of the first batch of C3 non-date Kingstons we will push up the C3 date dialed Kingstons to the front. This should buy us enough time for the BG W9 date dialed watches to return while mitigating any additional delays. We are currently preparing the last pre-order group of non-date Kingstons for shipment to Switzerland for assembly. The final timing of the shipment will be determined by the summer holiday schedule of our assembler.

While the pace of deliveries is expected to normalize this week, the pace fell off during the week after I returned from Switzerland because of a mild case of heat exhaustion. As paradoxical as it may seem Switzerland can be quite hot in the late spring and summer. The absolute temperature is not as high as it is here in Pennsylvania but the lack of air conditioning makes it very taxing if you are not accustom to the environment. For example one of the hotels I was in did not have any air conditioning in the rooms (you had to keep the windows open to cool down) but among the cars parked out front at any given time included a recent model Ferrari and the current model Mercedes SLS. I was told by a friend during my stay that air conditioning can be rare even in expensive hotels in Switzerland. (It should be noted that I didn’t choose the hotel for its luxury accommodations or price but because it meant I didn’t have to climb the hill up to the bus stop. The streets in this city had an incline that would astonish San Franciscans.) I had anticipated the heat this year but apparently my preparations were not enough. So in short I came back with a case of heat exhaustion similar to what I have had in Taiwan when the temperature reaches 105 degrees in the shade. Of course the difference is in Taiwan everything is air conditioned and only stupid Americans, like yours truly, venture out at 1 pm or go running at any time other than 5 am for that matter.

General Order News:

We will be asking the General Order customers that have already placed deposits to place their final orders in the coming weeks. It is important to note that delivery for the General Order Kingstons will not begin until January 2012. We currently estimate that we will finish the delivery of the Plankowners and Stage 2 pre-orders around the beginning of Q4 2011. The reason for the long lead time is the following:

  • Based on the current feedback from our Swiss assembler about their current backlog we expect lead times to be abnormally high the remainder of 2011
  • If we wait until Q4 of this year to finalize the selections for the General Order customers and submit the components for assembly at that time their watches will not be done by January 2012.
  • If we dispatch the General Order customers’ selections in the next 10 weeks we expect that the watches will return by the end of Q3 of 2011 and thereby missing the holiday rush. The additional advantage to this is that the quality of work should be better if we avoid the year end rush for holiday deliveries.