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RE: April 1st Update. . .

I've been puzzled by a number of issues left un-discussed since watching this and other threads related to VPI's production problems with the new Prime table. I don't know the answer to these issues, I'm just curious why they haven't been discussed by the customer base or explained by the mfr:

1. VPI announced the new Prime table in Sept IIRC, and started taking pre-orders at that time. They started shipping first product in mid December. They were immediately back logged. Q: How do you underestimate production when you take pre-orders? If you planned on holding zero inventory of the product, you would still know with near certainty, how many tables to make by the number of pre-orders.

2. How could sales exceed expectations by a factor of 3x (per HW)? What were VPI's expectations? Did the pre-orders match expectations 1:1, then on day one of production suddenly triple? If pre-orders exceeded expectations, wouldn't that be a good indicator to adjust your production forecasts?

3. VPI seems to be responding by hiring additional staff to help with production. In March? Why not in October so they are properly trained by the time production starts?

4. I've read many posts by Mat where he and HW are just finishing up after a long day of assembling Prime TTs and it is the wee hours of the morning. Admirable that the CEO and the retired founder are rolling up their sleeves to help out. Is that really the best use of their time and capabilities? We're talking assembly work here, right? Why not hire workers from a temp agency to turn screws and let VPI staff do the final QC and test?

5. After 2 months of this level of activity, people are posting that they just received their new Prime table, SN #0070. That's 35pcs/month or just over 1.5 tables per day (based on a 5 day workweek). Does that sound right?

6. Despite the CEO and the retired founder working day and night to produce tables, they still find time to refinish an old house to use for custom listening rooms and visiting press? I can certainly see the appeal to do a project like this, but when you have standing back orders for 3 months, I would think all other priorities are subordinated to fixing production.

7. I've never visited the VPI factory, so I'm not sure what they actually make there. It sounds as if most, if not all of the components are outsourced to vendors and VPI staff assemble the components into finsished product. Is this a correct assessment?

8. If the hold up is at the subcontractors VPI uses, did they not communicate their production expectations or pre-orders to their vendors? Are there no other vendors they could use to help alleviate the back log?


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