TO: KR NET

Yesterday I posted my response to a reader’s posting
about obtaining pricing on the Garmin 296 from a local
dealer, and I have read some responses to my posting.

I want to make it clear that the $1695 price is the
minimum-selling price dictated by Garmin. Aircraft
Spruce and other Garmin dealers have no say in what we
can sell this unit for; it must be sold for $1695
(regardless of qty) or we lose our Garmin dealership. 
In fact, Aircraft Spruce fought long and hard with
Garmin on when this “fixed price” policy was put into
effect by Garmin, as we have always discounted all the
products that we sell, including all Garmin products. 
However, the legality of the minimum selling price has
apparently been upheld in some court cases, we and all
other dealers have no choice but to comply with the
policy if we wish to offer Garmin products to our
customers.  Some other manufacturers have begun to
adopt this policy as well, but fortunately on Garmin
products is currently affects only the 296.  I
personally object to this policy, as I believe
competition among dealers which will set a reasonably
discounted selling price. 
We will continue to honor the distributor agreements
we signed with Garmin and will play by the rules
outlined in that agreement.  If their policy changes,
I can assure you that Aircraft Spruce will offer a
discounted price the same day.

Thanks to everyone who posted their comments on this
subject.

Jim Irwin
President, Aircraft Spruce










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