Archived posting to the Leica Users Group, 1999/08/21

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Subject: [Leica] Re: [Lei ca] Death Spiral TO
From: Evan J Dong <ejdong@juno.com>
Date: Sat, 21 Aug 1999 16:11:43 -0400

 Marc,

I have been corresponding with Pentacon Dresden since January 1999. There
was a big layoff at the factory in he 35mm and MF department.  Apparently
you are correct in stating that they are refocusing their resources on
re-badging p & s cameras from the Orient for sale in Germany and Europe.
I have spoken with two department heads at the Exakta 66 division and
they informed me that certain lenses and items for the Exakta 66 system
would no longer be manufactured on a large volume and only existing
stocks will be used till they are depleted. 

From what I learned while I was there in April, the focus is on low cost
items that would be easily purchased by the average German citizens. The
consumer product line consists of p & s 35mm cameras, 35mm camera and
some lenses, binoculars ( most probably older east German design CZJ) and
telescopes. Their higher end goods are the Schnieder-Kreuznach products.
Lenses that they had discontinued for the Exakta 66 are the following
Schneider lenses:
40mmCurtagon, 80mm Xenotar (replaced by a 5 elements/4 group Exakta
lense), 75-150mm Variogon, 55mm PSC Super-Angulon, 135mm Symmar, 180mm
Symmar, 28mm Componon, and the 50mm Componon. (these last four lenses are
for the bellows close up system)

There is not a lot of extra cash in many people's pocket given that
unemployment is double digit.  People would prefer to buy the Kiev 60 or
Kiev 88 that is currently flooding the market with German re-engineering
for quality and reliability.


Evan Dong


QUOTED FROM DIRECTOR OF SALES AND SERVICE

>Future EXAKTA 66
 
 >It's very difficult to stay competitive on the market with a German 
>manufactured 
> middle format camera. So we will continue manufacture of EXAKTA 66 and 
 >accessories at the current level but not increase this range in the
future.
 
> Hope you will always enjoy working with our camera.
 
 >Best regards
 
 >i.A. Martina Jänich

===================================
On Sat, 21 Aug 1999 09:45:08 -0400 Marc James Small
<msmall@roanoke.infi.net> writes:
>At 03:59 AM 8/21/1999 -0500, Robert Monaghan wrote:
>>Nikon's profits are reportedly from its point and shoot sales, not 
>Pro F5s!
>>Rollei makes more from one submarine periscope than its entire medium 
>
>>format lines by other estimates. The German's recently shut down 
>their 
>>35mm pentacon/praktica factories, figuring it was cheaper to send 
>workers 
>>home on welfare than go on selling cameras that cost $650 but sold 
>for $165 
>
>Three comments.
>
>First, all camera companies have always made more from the bottom-end 
>"P&S"
>type cameras than from pro gear in a stable market.  Zeiss Ikon made 
>far
>more off the Contaflex SLR and Contessa lines than they ever did off 
>their
>higher-end gear and, in fact, the Contax RF and Contarex SLR systems 
>forced
>the company into effective bankruptcy.  Similarly, Lei ca's prime 
>market
>share has always been advanced amateurs, and their advertising 
>(remember
>when Lei ca still advertised?) has always been aimed at the middle and
>upper-middle class weekend shooter.  
>
>Second, Rollei nor its predecessor companies have never, to my fairly
>certain knowledge even made a submarine periscope.  Zeiss does, 
>though.
>Zeiss, from the 1860's to the present, has ALWAYS made far more from 
>the
>sale of industrial, scientific, military, and medical gear than from 
>camera
>lenses.  It is a truism of the trade which also affects Nikon (who 
>make
>relatively little of this gear, and, hence, must rely more on 
>photographic
>optics) and Canon (who makes almost all of the photocopier and FAX 
>machine
>optics and who, as a result, can treat the photographic end of the 
>concern
>as a prestige leader whose profitability does little to affect the 
>net
>profit of the company.)
>
>Third, I believe your information on the alleged ending of camera
>production in Dresden by Pentacon is incorrect.  See the company's 
>homepage
>for details:
>
>http://pentacon-dresden.de/indexeng.html
>
>They seem to still be happily cranking out Pentacon Six bodies for 
>the
>Exakta MF system and Praktica BX20 cameras.  They are 
>badge-engineering
>Oriental P&S cameras as well but, on the Lei ca Users' Group, who are 
>we to
>comment on this practice, given the various Lei ca Mini P&S's which 
>have
>appeared over the past decade.
>
>Marc
>
>msmall@roanoke.infi.net  FAX:  +540/343-7315
>Cha robh bas fir gun ghras fir!
>

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