REAL ESTATE IS RISKY BUSINESS
Cabela’s Still Fishing on Thin Ice
By Bill Schneider, 1-31-08
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Yesterday, I had another chat with Mike Callahan, Cabela’s Senior Vice President, concerning the company’s controversial ancillary business, Cabela’s Trophy Properties (CTP). As you can see in the resulting article, Callahan certainly has been open and sincere in his belief that Cabela’s is not doing anything wrong and can actually help hunters solve the omnipresent hunting access problem.
I certainly hope he has it nailed because I’ve had so many comments, both online and offline, more than on any issue I’ve written about on NewWest.Net, and those comments tell me Cabela’s could still be courting disaster.
Some comments came from readers who just enjoy sniping, always anxious to take a shot at a struggling giant, but many came from long-time customers vowing never shop there again. If I were a Big Chief at Cabela’s, I’d be losing sleep over those comments because I know that for every person who makes the effort to write a letter, many more share the same opinion. How many people go into a restaurant, have poor service or a bad meal, and then make the effort to confront the manager about it or even put a note in the suggestion box? Not many. Most just leave and don’t come back.
I’m not talking about a little chatter down at the coffee shop and saloon, although I’ve had a lot of that, too. I’m talking about 300 comments, 95 percent or more opposed to Cabela’s having any involvement in the real estate business.
Right now, the controversy seems contained to Montana, but if it spreads to other states, the ante to stay in the real estate game goes way up for Cabela’s. It seems to me that if you decide to make an all-in bet in this game, you had better be sure you have the winning hand because there’s no chance the opposition will fold.
Cabela’s has become a player in the incremental process of gradually disappearing hunting access, the hottest button out there for hunters. In the fight for access, hunters expect Cabela’s to be an ally, but now view the company as a facilitator of what might be inevitable, the end of hunting for the average Joe and the onset of the new age where only the rich and privileged can hunt.
Cabela’s thinks it is on the right side of this issue, but apparently, many hunters (and customers) disagree, mainly because Cabela’s is so efficient at helping match sellers with buyers that it makes the changeover they dread happen faster.
On January 17, Callahan brought the corporate jet out to Helena again to present the Fish, Wildlife and Parks Commission with a $50,000 check and a promise for more in the future to be used to improve hunting access, but every comment I’ve heard since this news hit was still critical. Most called it tokenism or a bribe. Even a couple of FWP Commissioners worried about the message accepting this money would send.
But I believe the FWP Commission made the right decision to accept Cabela’s money. I have no doubt it was offered with sincerity and only good intentions. However, I’m also sure it wasn’t enough to calm the critics.
Any business plan has a risk factor, but staying in the real estate biz, regardless of how carefully controlled, looks like very risky business for the hunting and fishing retailer. I’m sure the trophy property division looks nicely profitable on paper, but my all-in bet is that the business plan doesn’t account for a large corresponding drop in retail sales.
In reading hundreds of comments, I see the frustration, but to me, it’s clear that critics have had a huge impact. Perhaps not the exact impact they wanted, which would be hearing about Cabela’s getting out of the real estate biz, but a major effect nonetheless.
Not only does Cabela’s vow to stop promoting subdivision of recreational land and loss of public hunting access, the company is convinced it can become “a positive force” ("force" being the operative word) in reversing the trend of disappearing access to both private and public land. By imposing heavy-handed controls on their brokers, the company believes it can open more land to hunters who can’t afford to pay to hunt.
Can Cabela’s really control the totally entrenched process of sellers doing whatever they can do to get the best possible price? I bet even the thought of this raises the average blood pressure in the real estate industry.
There are still doubters--and with some justification. Even after all these assurances, they can go to the CTP website and find language contrary to what the Cabela’s claims to be telling real estate agents and brokers. To counter this, Cabela’s must quickly clean up the listings on the CTP website. Here are three examples of listings, none from Montana, that need to be taken down or re-written: Rockwood, Colorado, Juniper Canyon, Oregon, and Crocker Lake, Michigan
Incidentally, at the same time I posted this column, I emailed these links to Callahan. To build credibility for his company’s new mission, I hope all three immediately disappear from both the CTP and the individual broker’s websites. If they don’t, then three affiliate termination letters should go out with copies to the press.
All this is a lot to ask from a company who wants to be a gentle giant and friendly with its affiliates. But Cabela’s needs to show doubters this level of aggression to back up its words.
After sanitizing the CTP website, Cabela’s should assign somebody to review the websites of their affiliated brokers to make sure they religiously adhere to what Callahan promised yesterday i.e. The Cabela’s Way for all listings, not just CTP listings.
In conclusion, I encourage doubters to think about this for a minute. Cabela’s is telling us they can control thousands of real estate agents and make them do things that might mean lower or slower transactions, even on multi-million-dollar deals. That’s a mighty ambitious task because the real estate industry has proven one thing over and over through the decades; nobody can control it. Could this actually happen?
Time will tell, but I for one have decided to cut Cabela’s some slack to see if they can really do it.
Footnote: To check out the rest of our coverage on Cabela’s, go to the Cabela’s Chronology.
[End of article]Love the headline. :)
Andy
<a >andybosselman.blogspot.com</a>
The Cabela's Trophy Properties situation is but a symptom to a greater problem -- the loss of public access and Montana heritage. If it weren't Cabela's it would be someone else availing themselves of the opportunity. However, Cabela's has much to answer for. See the first comment to this Billings Gazette article: http://www.billingsgazette.net/articles/2008/01/18/news/state/49-cabela.txt
Focusing on specific hot button words like 'subdivision' is a bit of a red herring. Judge Cabela's and all others on what they do. It's simple. Do their actions promote public field sportsmanship or favor private estates that encompass public lands islands and such? Will Cabela's participate sub silentio in profiting from the amenity value of these sales from their exclusive access to wildlife rather than more overtly in their advertisements?
On several of these columns I have advocated a hunting and fishing ban on lands where public access is prevented. I still do. However, I saw another suggestion where such lands would be 'doe only' areas. That may make the debate even more interesting.
What has me bugged is that Cabela's will not engage here or with any field sports associations that represent the folks. FWP is just too political to carry the message. If Cabela's actually put on the wadders and got themselves hip deep in the issues with these representative organizations and explored options, then I wouldn't ride them so hard. Instead, they throw a purse of silver over the wall and do nothing to address the real heart issues while collecting their licensing fee from their name brand.
Cabelas has done quite a job of integrating itself into sportsmen's lives with their marketing of everything, and I mean EVERYTHING, outdoors.
Every time I go into one of their stores (which isn't too often, I can't afford it) I am amazed at the subtle arrangements designed at making sure nothing is left off the wish list or the impulse buy roster. I really love the grand gestures toward the distaff -- offer them a shopping experience so as to moderate the hostile glares at yet another outdoor toy....
Real estate is just another layer on the marketing cake. My question is this:
What if Cabelas DOES do everything Bill and MWF demand/suggest/want? So who buys that ground at Rockwood, for example, which probably isn't open to the public anyway? And what about the owners and their desire to profit? If that was their only motive from the start, what do you say to them, or pay to them?
Another broker might sell to a big PETA supporter gazillionairess, and a lot of good that would do hunters and fishers.
The cross-crux here is that keeping traditions alive is a matter of marketing and of education. If Cabelas facilitates subdivision, they are in the long run, harming their market -- or at least part of it. Might be that down the road, hopefully WAY helangone down the road, Cabelas will be shifted to the bird-watching or wolf-watching or whale-watching industry -- and that might suit them just fine.
Facilitating sales resulting in subdivision is long-term harmful to Cabela's current niche. However, if in the short run, it is more profitable, then the company needs to figure out where it stands and act accordingly. I guess the rest of us will do the same, too.
Dave, it may be closer than you think. Remember Eddie Bauer? Land's End? Both became sissified clothing outlets far from their outdoor roots.
Short-run is all that matters to make quarterly targets and trigger management incentive perks. Big difference between the objectives of private versus public companies. Public companies must impress institutional investors.
Has anyone wondered why Cabela's has all those trophy heads in their stores? It seems such displays are tied in with accessing tax exemptions for museums. Think 15% of a $50,000,000 building being off the rolls. It's a money thing. http://www.ctj.org/blog/2006/08/cabelas-outdoors-store-andmuseum.html
Look at Cabel's financial health. Last summer their stock was at about 25. Today it hovers around 15. Ouch!!!!!!!!!
See: http://money.cnn.com/news/newsfeeds/articles/apwire/44d901c5142f3c9641499b9f4da388d7.htm
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Cabela Sees 4Q Profit Below Consensus
Cabela Says Challenging Retail Environment Drives 4Q Profit Below Wall Street Expectations
January 29, 2008: 05:11 PM EST
NEW YORK (Associated Press) - Hunting and fishing gear retailer Cabela's Inc. on Tuesday forecast fourth-quarter earnings below Wall Street estimates, citing a challenging retail environment and underperformance by new stores.
For the quarter, Cabela's expects profit of 83 cents to 85 cents per share, on revenue growth of about 14 percent. Sales at stores open at least a year, or same-store sales, are expected to decline 5.9 percent.
For the full year, earnings per share are expected in the range of $1.29 to $1.31 per share, also on 14 percent revenue growth. Same-store sales are expected to decline 1.2 percent.
Analysts surveyed by Thomson Financial have predicted quarterly earnings per share of 91 cents and full-year profit of $1.39 per share.
Cabela's said this year, it will "significantly slow" retail expansion and focus on improving the profitability of its existing operations.
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Given this distress, where is the incentive for Cabela's to do anything substantive about trophy property sales which are part of their existing operations mentioned in the quoted CNN article? Follow the money.
A money thing?
So THAT explains the merc in Pinedale.
I read in the Seattle Post Intellect that Eddie was slagging off admin staff left and right.
Back in the late sixties when my dad got sent to Luke for Super Sabre quals in tac air, we took the long, long way around from Minot to Phoenix including a pilgrimage to Eddie Bauer.
Everything bought is still in the family and still used. Imagine someone saying that in 40 years about products made today.
One thing about whether the end is near or not....don't forget the boomers are going to be followed by the busters. I would guess that about ten years will run out the boom, and then you will see a fire sale on amenity properties.
Perhaps they'll be bought at ranch prices by ranchers again. And the subdivision market will be over. I really don't think America is going to be as rich as we are now. The taxes to pay for the entitlement nightmare will certainly constrain people's lifestyles.
Per the Billings Gazette a few hours ago, the store scheduled to open in Billings is now on hold due to a "challenging consumer environment." To say the least...
http://www.billingsgazette.net/news/local/17-nocabelas.txt
Mary Beth, perhaps that's a good thing given the experience of other states. See: http://www.goodjobsfirst.org/news/article.cfm?id=128
How much was Montana and Billings willing to subsidize Cabela's to suck all the oxygen out of the local sporting goods business environment? Realize that this subsidy is in addition to all the publicly owned wildlife that Cabela's is attempting to get a cut from selling as the amenity value from creative exclusivity schemes known as Trophy Properties.
Mary Beth,
Thanks for posting this. I checked with Joe Arterburn, corporate communications manager for Cabela's, and he says, in answer to my question, no, the controversy had nothing to do with putting the Billings store on hold.
Bill
By the way, who is Mike Callahan? See: http://phx.corporate-ir.net/phoenix.zhtml?c=177739&p=irol-newsArticle&ID=1071493&highlight;=
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Michael Callahan, currently Senior Vice President of Retail Operations, will assume the new title of Senior Vice President of Business Development and International Operations. Mr. Callahan will be responsible for Cabela's Canadian operations, mergers and acquisitions and industry and government relations.
Mr. Callahan has been with Cabela's for nearly 18 years, serving in a number of capacities, and has 32 years of experience in the sporting goods industry. As Senior Vice President of Retail Operations, Mr. Callahan oversaw the expansion of Cabela's retail footprint from nine to 26 stores, with retail sales growing from $400 million to approximately $1 billion.
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Now look at Cabela's 12/30/06 10K form EX-10-30: http://www.secinfo.com/d14qfp.uGc.a.htm
>>>>>>>>>>>
Fiscal 2007 Base Salaries
On February 13, 2007, the Compensation Committee established fiscal 2007 base salaries for the named executive officers. Fiscal 2007 base salaries, effective April 1, 2007, for the named executive officers will be as follows: Mr. Highby, $697,511; Mr. Castner, $375,000; Mr. Snyder, $429,955; Mr. Callahan, $429,955; and Mr. Linneman, $325,000.
Fiscal 2007 Cash Bonus Opportunities
On February 13, 2007, the Compensation Committee set the targets and criteria for the fiscal 2007 cash bonus opportunities for the named executive officers. These targets and criteria were set pursuant to the Plan. The following table sets forth the threshold, target, and maximum cash bonus opportunity for each of the named executive officers for fiscal 2007.
Threshold Bonus Target Bonus Maximum Bonus
Dennis Highby $ 1,500,000 $ 2,000,000 $ 3,000,000
Ralph W. Castner $ 375,000 $ 500,000 $ 750,000
Patrick A. Snyder $ 450,000 $ 600,000 $ 900,000
Michael Callahan $ 450,000 $ 600,000 $ 900,000
Brian J. Linneman $ 375,000 $ 500,000 $ 750,000
For fiscal 2007, 50% of each named executive officer’s target cash bonus opportunity is based upon the achievement of corporate financial objectives relating to earnings per share, return on invested capital, and increased comparable store sales. The remaining 50% of each named executive officer’s target cash bonus opportunity is based upon the achievement of pre-established individual performance goals. Any fiscal 2007 cash bonuses paid in excess of the target bonus amounts will be paid as a result of one or more target corporate financial objectives being exceeded. The named executive officers will receive no payment for a corporate financial objective unless the Company achieves the threshold performance goal for that objective.
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What part of his pay is tied to field sports enhancement for public access by average people?
I live in Billings and will not patronize Cabela's store if it is built. Last spring I was disgusted to find that Cabela's entered the real estate business and was helping to hack up the Weaver Ranch. Huge mistake. We need to send the money we would have spent on Cabela's stuff to land trusts like Montana Land Reliance, Rocky Mountain Elk Foundation, and The Nature Conservancy, and conservation organizations that fight to keep hunting available to the common Jack and Jill, like the Montana Wildlife Federation.
Comment By Dave Skinner, 1-31-08No we don't. Land conservancies are a rip-off. What sportspeople should do is to cultivate relationships, real friendships, with the ag producers that own the land we like to hunt on.
Forgotten here is that 25 and more years ago, ranchers and farmers were reasonably prosperous. They had "enough" and were content enough in their lives, with enough "room" to leave some for wildlife and their townie friends.
Call it a mutual support network. All I can say is that I have absolutely NO PROBLEM hunting for FREE, and it's not because I inherited it from my dad or relations. It's because of a simple concept called friendship, a trip down a two-way street called loyalty.
I don't know if any of those here ripping on Cabelas have looked at the recent hunting series in the Gazette, about ranchers dealing with calls and drop ins from 5 AM until 10PM? How thoughtless is that? One is not entitled to hunt on demand simply because one has a license and wildlife is a public resource.
Another thing that gripes me here is all the yaff from "hunters and anglers" about ATVs year round when it's slob hunter maroons that are the real issue. One can be a walkee purist and still be a thoughtless, selfish jerk that makes landowners think hunters are ungrateful, selfish pukes.
Just once, people, take some time out during the summer and go visit with some ranchers or farmers. Ask them about their lives, their hopes, their families, their herds, their crops. Be up front and tell them you want to understand. You need to, so ya better want.
If not, STFU.
Dave is right, the last thing we need is more millionaire non-profits sucking up the real estate off the market and removing huge tax bases, leaving others to pick up the slack.
Protect and work wiht the ranchers, they are selling for a reason find out what that reason is, and try to help. They are under constant assault form enviro groups who want the land for free.
It is a wonder to me that a corporation as large as Cabelas can be brought to the table by sportsmen and get concessions of the size and scope to which Cabelas has committed. I for one will not burn my catalogs or cut up my credit card until I see how this plays out. However, the proof is in the pudding and I am keeping that option open. Credit for the progress so far has to go to the Montana Wildlife Federation, the organization of hunters and fishermen which brought this to light and brought Cabelas to the table. We all owe a "Thank You" to them. I just renewed my membership with MWF with a little extra thrown in for good measure.
--Lou
Dave, I do what you suggest. In fact, I had 4 landowners come out hunting with me last fall. We stay in touch during the off season.
Comment By Craig Moore, 2-01-08Lou, here is Cabela's statement of its SOUL: http://www.cabelas.com/cabelas/en/content/community/aboutus/history/pages/governance.jsp;jsessionid=SEIBQMN22E5T1LAQBBKCCO3MCAEFKIWE?_requestid=20758
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The Company's primary objective is to maximize stockholder value while adhering to the laws of the jurisdictions wherein it operates and at all times observing high ethical standards. The Company will pursue this objective primarily through participation in the retail industry.
Governance is an ongoing commitment. The Board has developed corporate governance practices to help it fulfill its responsibility to stockholders to oversee the work of management in the conduct of the Company's business and to seek to serve the long-term interests of stockholders. The governance practices are memorialized in these Guidelines to assure that the Board will have the necessary authority and practices in place to review and evaluate the Company's business operations as needed and to make decisions that are independent of the Company's management.
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So how does Cabela's manifest that primary purpose? Some point to their milking subsidies from communities: http://sayno2outdoorsretailsubsidies.blogspot.com/ I don't think either Gander Mountain or Sportsman's Warehouse do that. I posted part of Mr. Callahan's bio above. He has overseen Cabela's rapid expansion where the subisidy issue has arisen. The latest example is their Trophy Properties business that is dependent on the amenity value of public wildlife.
Look at the executive compensation criteria that I posted from the 10-K. The incentive part, which may double the base salary, is directly linked to Cabela's primary purpose.
I remember when Cabela's primary purpose was to serve its field sports customers with the best products, with outstanding service, at prices that were a great value. When they went public, things changed.
I remain skeptical because none of the major driving aspects of Cabela's current business direction nor the criteria for it's executive incentive pay acknowledge the importance of its customers who are part of the greater field sports community.
Craig,
That's good for you. The way things should be, actually. It's a good thing to be friends and the hunting is an incidental, a between friends sort of thing. Worth far more than the actual effort, that is, for those who've tried it.
I wouldn't support MWF for anything, not after, for example, NWF pursued the prairie dog listing. Never mind that NWF doesn't even have a California Wildlife Assn in that state, but teams with the Planning and Conservation League, which in turn is run by the lady who ran the lion hunt ban campaign. You betcha.
The Billings Gazette has a good article on the the store mess. Read Pete Hansen's comment. http://www.billingsgazette.net/articles/2008/02/01/news/local/18-cabelas.txt
As I said before, follow the money. It leads to Cabela's soul.
Dave, one of those 4 landowner friends just sent me this:
Ten Peeves that Dogs Have About Humans
'1'
Blaming your farts on me....
not funny... not funny at all !!!
--------------------------------------------------
'2'
Yelling at me for barking.
I'M A FRIGGIN' DOG, YOU IDIOT!
--------------------------------------------------
'3'
Taking me for a walk, then
not letting me check stuff out.
Exactly whose walk is this anyway?
--------------------------------------------------
'4'
Any trick that involves balancing
food on my nose. Stop it!
--------------------------------------------------
'5'
Any haircut that involves bows or ribbons.
Now you know why we chew your stuff
up when you're not home.
--------------------------------------------------
'6'
The sleight of hand, fake fetch throw.
You fooled a dog! Whoooo Hoooooooo what
a proud moment for the top of the food chain.
--------------------------------------------------
'7'
Taking me to the vet for 'the big snip',
then acting surprised when I freak
out every time we go back!
--------------------------------------------------
'8'
Getting upset when I sniff the crotches of your guests.
Sorry, but I haven't quite mastered that handshake thing yet.
--------------------------------------------------
'9'
Dog sweaters. Hello ???
Haven't you noticed the fur?
--------------------------------------------------
'10'
How you act disgusted when I lick myself.
Look, we both know the truth. You're just jealous.
--------------------------------------------------
Now lay off me on some of these things.
We both know who's boss here!
You don't see me picking up your poop do you?
wild Bill and his slingshot are getting noticed in other states: http://www.theolympian.com/outdoors/story/339328.html
Comment By Dave Skinner, 2-01-08That's all fine and dandy. The papers are going to jump on this because they have green proclivities. But they won't cover wolves eating OUR huntable dinners.
I can't get all lathered at Cabelas. They certainly need to exercise more control over their affiliates, because they do in fact aid and abet something no sportsperson likes.
That all said, keep in mind:
I was talking to a crusty old SOB rancher this summer, and the concept of selling out came up. He told me he's going to sell to the highest bidder.
He said he's provided habitat and all and really has nothing to show for it. And his ranch which he's spent a life upon? "It's all I have." Something to think about.
Bill, I for one and there are many more that appreciate your efforts to feature this Cabela's issue on New West.You brought this issue out and without doing that Cabela's would be on their merry way to change Montana forever for the worst. Being in the sporting goods business they were absolutely foolish to become involved in real estate arrangements. Now it's came back to haunt them. Looks like they are holding back on the Billings store as well. After the dust settles the Cabela's Trophy Properties will still be out there but they know Montanan's are wise to their slick real estate/subdivsion deals. Yes, there will be others they want Montana land,public land associated with these so called 'working ranches' which they are not and most importantly to privatize Montana wildlife for the 'right people' the chosen few. FWP and the Commission should give back their 'hush money' as well.FWP was foolish as well to try to make deals with corporate big shots without public involvement.FWP should be fighting 'privatization' of Montana wildlife but they are not. If Montana sportsmen would have had the opportunity to comment at an open meeting they would have been very reluctant to accept the check. Send the check back FWP afterall you do work for us. Good work again on this issue Bill.
Comment By elfman, 2-02-08Good God! Am I reading this right? The wolves are stealing your "huntable dinners"? Are you suggesting that you have some God given right to all the wild game to the exclusion of wolves having dinner too?! If that is your logic then we can assume you are in favor of exterminating all omnivores and carnivores given the possibility they might cut into your "huntable" population.
I am sick and tired of hearing about how the wolves are killing all the game only to read headline after headline of how elk numbers are the highest they have ever been!
Elf,
The elk numbers are high overall because the wolf-pressed elk tend to move onto trophy ranches where hunting is not allowed. Never mind in a larger sense that wolf pressure has not only resulted in mortality where wolves are present, but also mobility in terms of moving elk away from where the wolves are.
So I'm certainly right about huntable supper. There are fewer huntable elk on public ground that also contains wolves. As far as I am concerned, the elk hiding behind no-trespassing signs are out of the picture as well.
Once Montana institutes wolf hunting, I would suppose Cabela's will include them in the species list of huntable trophy animals in their Trophy Properties listings. http://www.mtstandard.com/articles/2008/01/12/state/hjjbjiihjjiaea.txt
Then they could sell mounting kits fur a fee.
Dave - Interesting. Seems like I remember at least two out of the last several years reading about how elk tags were being filled in records numbers. Doesn't add a lot of weight to your argument. Regardless, just so I am clear: I do not care whether you have a "huntable population". Believe it or not, I am a hunter as well. I am for striving to obtain a balance even if it means that I don't have as much access to the elk as I used to. Seeing wolves in the wild outweighs my need to KNOW that I am going to get an elk every year. I have seen many wolves in the wild. Each and every one of them gave me a very special experience that I will never forget and would never trade for an elk tenderloin... as much as I love to feast on the same!
Comment By Crystal L. Cox, 2-04-08What Is all the chatter about Cabela’s and Montana Real Estate ?
It seems Cabela recently gave $50,000 to the Montana Wildlife Commission, Why?
Cabela’s Real Estate is just another way for them to diversify their business.
Apparently Montanan’s are Upset because Cabela’s is so darn good at Ranch Real Estate Marketing that more people are coming to Montana and Buying Ranches, and this somehow “costs them opportunities to hunt”.
I must say, this is VERY disturbing. Though I don’t much like Cabela’s in my Ranch Real Estate Marketing territory, I do NOT understand how people buying ranches in Montana Costs Opportunities to HUNT. This makes No Sense. Unless Generations of Montanans were use to Trespassing on Private Property to Hunt and now they Cannot.
Even if they had permission, the Owner chose to Sell and now THEY must respect the current land owner. My experience with this is that those who Trespass during hunting season take many years to STOP after a new owner Buys a Ranch. They, somehow feel that because they were hunting there before this person bought the ranch that they have the right to continue hunting there even though they do not own the property.
Hunters Trespassing is VERY dangerous and if You Stand Up for your Rights, you could have property damage or worse.
I have seen situations where new owners in the area asked hunters to stop hunting and the hunters broke into their home, painted walls, filled gas tanks with sugar and caused hundreds of thousands of dollars.
I have seen situations where NEW buyers come in and buy land that the Seller willingly Sold and the hunters that “Have Always Hunted There” have driven by and shot at their home after being asked to STOP hunting.
I have seen situations where someone bought the best huntn’ ground in the valley and those who were used to hunting there would not stop, and after they got their ELK, they would tour truckloads of people into the property. The game warden did not dare stop them. They would even poach Elk on the property and there really was nothing that could be done.
Montanans take the Right TO Hunt as serious as they take the right to bear arms.
As a 4th generation Montanan, I must say there are some hunters who do respect property rights but those who DO NOT, create very dangerous situations, invade property rights and have no respect for those moving into their “neck of the woods”.
Hunting is our right, and it is tradition. However, with all the disease, expense and chaos that comes with hunting, I must say I now prefer to get my meat at the store.
I do have respect for responsible hunters, but I guarantee YOU that this Trespassing Issue with Hunters will get worse before it gets better. And Cabela’s is CERTAINLY not to Blame. If you want to blame someone than blame the Seller for Selling the land you hunt on or Blame yourself for not being able to afford to buy it.
Surely Real Estate is More Lucrative than Selling Outdoor Gear.
If Cabela’s gets too much more pressure on this issue, they will simply start a NEW company and use it as a front to sell real estate and most won’t know the difference. I Won’t.
http://www.MontanaNews.us
Crystal, you are mixing road apples and oranges. Go back and read Bill's other Cabela's columns where the issues, and your questions, are discussed in detail.
When you read those columns you fill much discussion regarding:
Public lands. Many of the Cabela's listings tout exclusive access to, lease of, or control of those lands adjacent to or contained within the subject property for sale.
Trophy animals. Most of the Cabela's listings tout the 'Trophy' quality of the wild game. As you know landowners don't own the game.
Exclusivity to both land and public wildlife. That exclusivity forms the basis for the amenity value. Just like Cabela's has it's hat hanging out begging for public subsidies for locating a store (neither Gander Mtn. nor Sportsman's Warehouse do that) Cabela's profits from the public lands and public wildlife. The biggest concession Cabela's has made is to stop using the word 'subdivision' in the listings. Watch as the new code word 'development' takes its place.
Whether the 'development' is the Lewistown Weaver ranch, The Yellowstone Club, Ameya, or the Galanis Horse Butte development, we are witnessing the condo-ization of Montana's wild lands. More to come. If the public are barred from fishing and hunting by these new owners, then the state should step up and ban fishing and property on those lands. The public wildlife belongs to the public.
Trophy animals. Most of the Cabela's listings tout the 'Trophy' quality of the wild game. As you know landowners don't own the game.
Exclusivity to both land and public wildlife. That exclusivity forms the basis for the amenity value. Just like Cabela's has it's hat hanging out begging for public subsidies for locating a store (neither Gander Mtn. nor Sportman's Warehouse do that) Cabela's profits from the public lands and public wildlife. The biggest concession Cabela's has made is to stop using the word 'subdivision' in the listings. Watch as the new code word 'development' takes its place.
Whether the 'development' is the Lewistown Weaver ranch, The Yellowston Club, Ameya, or the Galanis Horse Butte development, we are witnessing the condo-ization of Montana's wild lands. More to come. If the public are barred from fishing and hunting by these new owners, then the state should step up and ban fishing and property on those lands. The public wildlife belongs to the public.
There is a typo in my last comment. It should read:
"If the public are barred from fishing and hunting by these new owners, then the state should step up and ban fishing and hunting on those lands. The public wildlife belongs to the public.
Mr. Skinner, you seem easily confused... if you think MWF and NWF are the same, either you aren't paying attention or you're just looking for a scapegoat. NWF and MWF will sometimes work together, they are affiliated, but NWF seldom gets into the truly Montana issues of public access to public wildlife. Please do your research, lots of differences in these two organizations and some cooperation as wll. I think that with MWF's urging a national group like NWF could do an enormous amount of good for Montana sportsmen in terms of access to CRP, for example, and to clarifying access corridors to our public federal lands; afterall they once were the largest conservation organization in the world!! Wouldn't this be worthwhile?
I'm happy for you that you haven't lost your relationships with landowners; everyday I hear from guys who, after mending fences, helping brand calves and "building relationships" the rancher turns around and says no to requests for hunting, 'cuz he has it leased... it's not as rare as you think...
Oh yeah, forgot about the wolves... all those elk run from the wolves to private land where they don't get hunted; but those wolves are so respectful of the private property rights and turn around and leave when they see the "no trespassing" signs!! We musta trained 'em right, eh?
Comment By elfman, 2-04-08Larry - Ha ha! Great point!
If anything, the wolves' presence ought to help out the public land hunters by going in there and pushing them around!
I am gonna lose it if I see another one of those "Save 100 Elk, Kill a Wolf" bumper stickers. Ignorant SOBs.
http://www.redkid.net/generator/bumper/words/newsign.php?line1=ELFMAN+SAYS&line2;="SAVE+A+100+ELK,+SHOOT+A+WOLF"&line3;="EAT+MOOSE,+WEAR+WOLF"
Elf, what size do you wear?
;?D
http://www.haydenoutdoors.com/store/p13details134.php
so Cabelas is working hard on their brokers? 63 lots on 73 acres? This does not sound like they are promoting a conservation ethic!
James - I am not one to come to Cabela's defense because I think they have gotten way out of their league and expertise with this whole mess. However, "63 parcels" does not mean they are being sold off individually. In fact, 63 parcels on 73 makes for an excellent conservation easement deduction of the development rights are donated.
Comment By Craig Moore, 2-05-08http://blogs.barrons.com/stockstowatchtoday/2008/01/30/ailing-healthways-shunning-cabelas-tupperware-parties/?mod=yahoobarrons
>>>>>>>>>>
CABELA’S GROWTH STORY ENDS
Sporting fashion and accessories retailer Cabela’s (CAB) has traditionally commanded a much-riper multiple than most of its specialty retailing rivals. After all, how many retail stores can claim to be the biggest tourist attraction in the state? But the fundamentals have run aground, and Wall Street is turning its back on the once-beloved retail name. With customer spending tapering back, and the credit crunch hurting the debt markets that Cabela’s figured to tap to finance new-store construction, expansion plans are going to get cut back drastically, analysts said. Figure that, instead of opening nine new stores next year, Cabela’s only opens two. ”This is the end of the Cabela’s growth story,” Credit Suisse opined.
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Any wonder that Cabela's fortunes, and the salaries of its executives, are now tied to the Trophy Property business?
Look at this choice Colorado property: http://www.cabelas.com/trophy-properties-listings-sale---west-eric---sale-ew-lcr.shtml
>>>>>>>
The Little Creek Ranch has been the one and only licensed exotic game ranch in the state of Colorado since 1968. With both the "alternative livestock" license and the no longer issued department of agriculture "commercial park" license active, the ranch offers something no other ranch in the state can offer - high fenced exotic hunting in Colorado! With hunting clients swarming in year round from all neighboring states and across the country, the demand is simply staggering. Now is your chance to hunt or outfit on your very own private hunting preserve located in one of the fastest growing and beautiful areas in Western Colorado.
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Remember Rex Rammell's Idaho operation?
FYI..I checked the three links I put in this column as examples of the type of listings that were spurring on criticism of Cabela's. One, Rockwood, perhaps the worst, has been taken down, but the other two remain online five days after I posted this column.....Bill
Comment By Craig Moore, 2-05-08Bill, Callahan and Co. have no real incentive to do otherwise. Their 'Wow' statement of corporate Soul: "The Company's primary objective is to maximize stockholder value..." Executive incentive compensation is tied to polishing the shine on the golden calf, the god of the institutional investors.
By the way, Mr. Callahan never did respond to my e-mail that I sent to him after his guest column. Meanwhile the Orvis gentlemen did.
"...the ranch could easily be developed for residential housing, or for the most visionary, perhaps exclusive estates..."
http://www.cabelas.com/cabelas/en/content/community/inthefield/trophy_properties/listings/sale/garrett_jeff/sale_jg_dtr.jsp?ctpPage=saleWyoming
It looks like Cabela's has stopped expanding in the retail busness as they have put several store openings on hold. Montana just one. Does this mean that they are going into the Real Estate/Guide busness? Look what they are doing in South Dakota
and try and find a farmer to let you hunt on his property of a reasonable fee. It has made cattlemen and farmers into hunting guides, Will this hapen to Montana as well, and how about where you live and your kid's ???
As a long-time lurker on this site, I have decided to state my viewpoint of this discussion and land access in general. In my opinion there are several emotional factors involved in the whole deal (here is my basic list)
1. Private property rights
2. Public access to Private lands
3. Public land access
4. Cabela’s involvement in marketing recreational properties
Of that list, the only thing Cabela's can directly control is point #4. As an avid hunter, and outdoorsman, I rely solely on public access to hunt (I can’t afford an outfitter on private land). However, we are all mixing these issues into one scapegoat….Cabela’s. I don’t know how much they donate to conservation groups but the list who they support is extensive.
http://www.cabelas.com/cabelas/en/templates/community/aboutus/conservation.jsp?ctpPage=conservationpartners&cm_re=ctp*left*conservationpartners
What truly troubles me is that we are all trying to run a potential ally and long-time conservation promoter under the bus over this. Instead of snide remarks and directing insults towards employees, we should work together towards a common goal of public access for hunters like you and me who depend on this land. We also need to take action at the appropriate agencies for change. Laws affecting public access need to be directed toward state and federal government agencies and representatives because this is their duty and obligation as public servants. This is where a company like Cabela's can be a great asset for us, the common man/woman. I am not going to tell Cabela’s how to run their business and the last thing I would want is for them to make knee-jerk reactions due to criticism on this blog and in the end nobody is better off. It is obvious to me that they are willing to listen to us based on interviews and policy shifts. Folks, this spells opportunity! Hopefully this is just the beginning of change that we can help guide. I encourage everyone to take a step back, think, and work as one for every hunter who has felt so beleaguered over hunting access issues. Through positive action we, the common hunter, can make a difference for ourselves and future generations.
This is an email I received from Gregg Severinson, Director of Cabela's Outdoor Adventures and Trophy Properties. He has granted me permission to post it so those of you who have been commenting about this issue can see what the company is doing....Bill
Bill;
I thought it would be a good idea for me to enter into this conversation regarding the sites you are referring to in your note to Joe and Mike. I wanted to thank you for pointing out these listings and your perceived concerns according to our new policies.
Please remember our policies were intended for large and historic ranches. The policies do not apply to properties that were platted and zoned by the seller prior to listing with our affiliates. The policies went into effect for all new listings submitted to us on or around November 15th, 2007. We are doing our best to review all listings within the CTP system and on all of our affiliates’ websites. As a listing service, all changes and edits to listings require input and approval from our affiliates and their sellers. We do not anticipate completing this process for several months, so please be patient. In addition, we are getting ready to launch a new search function within our website, so some changes that have already been approved are in a holding pattern until that process is completed later this month. Allow us to provide additional information on the listings you are questioning:
Rockwood, Colorado; We have removed this listing from our site. However, this listing does not violate our policies. We will be editing the language and re-submitting this listing back on our site after our changes are complete. After speaking with Hayden Outdoors, we were informed that this property consists of several mining claims and already has been previously divided. According to our policies, this does not qualify as a large ranch. So, it is permitted on our site.
Juniper Canyon, Oregon; The Broker, Outdoor Properties has informed us that this property was previously zoned to allow five acre parcels and is surrounded on two sides by housing developments. This property is not a large ranch and has been divided several times in the past. Therefore it is allowed on the CTP web site. However, we have edited the language for this listing.
Crocker Lake, Michigan; This property does not violate our policies because it has already been platted and zoned prior to listing for development. This is not a large property and is immediately adjacent to a residential lake development. Also, Cabela’s Trophy Properties has not had this listing on our site. However, we will be working with the Broker to edit the copy and add to our site.
Bonanza Ridge, Blackhawk, CO; Although this is 76 acre property was zoned and platted into 63 parcels prior to it being listed by our affiliate in Colorado, it is being marketed as one contiguous parcel. It not a large or historic ranch, and as such the promotion of this listing does not violate our policy.
I hope this clears up some of your questions. Please let me know if you have any other comments or concerns.
Thanks,
Gregg Severinson, Director
Cabela’s Outdoor Adventures and Trophy Properties
So, as long as someone subdivides BEFORE they list with Cabela's this makes it okay?!? Interesting commitment to conservation (if you can call it that). Furthermore, I thought they were selling "Trophy" Properties. These properties do not sound like trophies to me. Rather, they sound like "run of the mill" subdivided parcels. Again, this kind of reminds me of Cabela's video games... "See how many you can kill!" Maybe anything you "kill" in the real estate business is a trophy to Cabela's?
I heard the "thin ice" breaking recently but now it has given way and Cabela's is thrashing about in the freezing waters!
Cabela's statement about subdivision is:
"Cabela's does not condone or promote the subdivision of large or historic ranches or other unique properties that are valuable to fish or wildlife."
Elfman, as you said, nothing keeps Cabela's from PROFITING from such if they find an angle.
In Washington State that has taken this form whereby a Cabela's Trophy broker made this deal: http://www.tdn.com/articles/2008/01/12/top_story/doc478725b6f0f00361832067.txt
>>>>>>>>>
For sale: Timberland property. Great views of Mount St. Helens. Some waterfront lots on lakes teeming with trout. Big elk herd. Only $3,750 per acre.
Such could read an ad for the High Lakes near Spirit Lake Memorial Highway. What has been a popular place with hunters, anglers and campers went on the market late last year. Already, sales are pending on much of the 1,354 acres available.
It's too early to say how the sale will affect public access to the area, which includes Elk, Hanaford, Forest and Fawn lakes, but some observers are pessimistic.
"I can't imagine that we'll continue to have public access up there," said John Weinheimer, a fish biologist for the state Department of Fish and Wildlife.
"I hate to see the public locked out," said Mark Smith, who owns the Eco Park resort on Spirit Lake Highway and used to offer tours of the High Lakes area.
Hodges, Gilliam & Dana, a real estate company in Olympia, is marketing the properties. Troy Dana, president of the firm, wouldn't disclose who has initiated purchases so far.
Sales are pending on about half of the land available, including Elk, Hanaford and Forest lakes. "I would have thought it would have taken a little bit longer," Dana said...
Hodges, Gilliam & Dana has a franchise with Cabela's Trophy Properties, which sells recreational lands around the country, so if you go shopping for some waders on the Cabela's Web site, you could end up viewing photos of the High Lakes lots...
One of the services offered by Hodges, Gilliam & Dana is "access management," described as granting pre-approved users access to land for a fee. A company brochure said such management can generate from $250 to more than $2,500 per hunter allowed on land.
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Notice this situation has it all: removing public access, subdivision, and potential fee based ingress.
Cabela's corporate values should not be just a speed bump to be negotiating while chasing a buck (pun intended!). Rather they should be the guide posts that establish its relationship with its customers and the communities that Cabela's impact. When corporate explanations rely on sequencing of events to justify the ends, then there is really nothing we can do with them.....except not shop there.
I encourage everyone to support efforts to ban all fishing and hunting on these 'trophy properties' where the public is locked out or forced to pay fees to access the public wildlife.
Here's another Cabela's Trophy Properties broker listing property of 2800 acres that:
Hunting: Ranch is located in Northeastern Nevada in the center of trophy Mule Deer, Elk and Antelope country. Sage grouse and ducks are plentiful in the fall.
Subdivision Appeal: The potential for future possible subdividing enhances selling unit price. Part of the ranch is within the Elko City Limits.
See: http://www.aranchbroker.com/bear_ranch.htm This webpage was last updated 02/04/08.
Wow Craig, maybe Cabela's should put you on the payroll! Some 50% (maybe more, I am not going to waste my time counting, but I am sure you will) of the posts on this subject are from you sifting through every website going on a scavenger hunt for dirty words like "subdivide" and "development," you know things that makes any hunter wake up in the middle of the night in complete terror! (sarcasm)
I am scratching my head trying to think how one can spend so much time criticizing everything under the sun on this site...no controversial issue is immune from Craig Moore cynicism. Lets say that lake in Michigan was bought and divided into dozens of lots...wouldn't that allow for the chance for the average person (dozens of people versus one who owns it now) to buy a lot and have access? Sometimes "subdivided" is a good thing! Lets not be so darn black an white on this people.
Oh and one more thing...
From the NewWest “Advertise” link above:
“Advertise on the New West Network
The New West Network offers a target approach to reaching a highly desirable market of educated, affluent and engaged readers in the New West and beyond.” Wow, that sounds similar to the Cabela's Trophy Properties concept – target people trying to buy and sell recreation real estate. What about "affluent"? hmmm....
Apparently NewWest is willing to sell ad space which promotes development, subdivision, large bare land, etc. Not only are there several ads from Google claiming high-end developments, Montana leases, etc, but NewWest has a standing ad from New Day Homes and Land. New Day sells bare land, developments and subdivisions see this listing where they note “200 Acres in subdivision process to 15 lots of 10 to 18 acres each”:
http://www.newdayhomesandland.com/listings/42432/42432.htm
It sure is easy to point blame in any direction but back at yourself. I guess it is ok if the money goes towards financing the NewWest website (possibly even Bill himself) even though it condones concepts so vehemently opposed by Wild Bill. Oh, and don’t bother using the excuse that you have no control over what ads are placed on the NewWest site because a similar explanation was made from Cabela's about some of the listings in question, and we all know how well that went over!
I expect the next article by Bill Schneider to discuss how NewWest is going to decline advertising money by land developers in Montana. It would be nice if Wild Bill would practice what he preaches on this site! It makes me sick to visit this great site and read so many articles (is there a motive here? I don't 7 op-eds about any other issue on this site) that are lambasting a company when there is plenty to clean up at home. Good thing we live in a country where facts rule over rumors! Peace
As a native Montanan myself I have been pleased New West brought the Cabela's issue to light. It boils down to devastating impacts on the wildlife resource and privatization of that public resource. Then it will be outfitting on the so called working ranches.Cabela's got rich with purchases from the average sportsmen and now they turned their backs on us with slick real estate deals. Montana has fought the real estate issue for years this is not the first time. One of the first was Big Sky in the Gallatin. What was once a magnificent piece of Montana was devastated.Unfortunately the USFS should have been more active to acquire that land before uncontrolled development.Cabela's real estate deals is like a cancer of Montana's finest wildlife habitat and contrrol of public land in the process. Good work on this issue New West.
Comment By Craig Moore, 2-07-08DeerMan, I fully expected someone like you, hiding behind a nom-de-guerre, would pop up and attempt to divert attention away from Cabela's. When you have the cajones to be the 'Man' behind the 'Deer,' let me know. <g>
This article was printed from www.newwest.net at the following URL: http://www.newwest.net/main/article/cabelas_still_fishing_on_thin_ice/