Arctic Cat Recalls 16,500 Snowmobiles

The company says suspension arm cracks could cause drivers to lose control of the vehicle.

Thief River Falls-based manufacturer Arctic Cat, Inc., is voluntarily recalling about 16,500 of its snowmobiles due to a defect that can cause loss of control.

The recall was prompted by 13 reports of cracks in the front lower suspension arm of the company's 2010 snowmobiles. In a recall alert issued Wednesday, Arctic Cat and the U.S. Consumer Product Safety Commission warned that the crack could cause drivers to lose control of the vehicle, posing a risk of severe injury or death. No injuries or accidents have been reported so far.

The recall involves all 2010 Arctic Cat Z1, TZ1, F, Bearcat, M, and CF model snowmobiles, which were sold at Arctic Cat dealerships nationwide from June 2009 through January 2011. Prices ranged from $6,800 to $15,000.

The recall alert advised consumers to stop using these snowmobiles immediately and to contact an Arctic Cat snowmobile dealer for a free repair. Registered owners have been notified about the recall by mail.

Arctic Cat designs, manufactures, and markets all-terrain vehicles, snowmobiles, and related parts, garments, and accessories. It is among Minnesota's 50 largest public companies based on revenue, which totaled $450.7 million during the fiscal year that ended in March.

Arctic Cat's vehicle sales have risen recently, with the company announcing a 20 percent increase in profits in its latest quarterly earnings report. The company had also raised its 2011 outlook, estimating net sales to be in the range of $453 million to $463 million, and earnings to be between 40 and 55 cents per share. Previously, the company had anticipated earnings of 18 cents per share to 33 cents per share on net sales of $447 million to $460 million.