Factory-to-dealer deliveries of recreation vehicles (RVs) are expected to set a new quarter-century record in 2004, according to newly released forecasts.

University of Michigan researcher Dr. Richard Curtin is predicting RV wholesale shipments in 2004 will total 330,100�a rise of 2.9 percent over the previous year. This upwardly revised 2004 forecast was made when year-end 2003 totals exceeded projections and came close to reaching 1999's peak of 321,200 shipments. Final figures for 2003 came to 320,800 shipments, a 3.2 percent increase over 2002's robust levels.

In fact, RV shipments in the second half of 2003 set a new quarter-century pace�4.2 percent above the prior record set in the second half of 1999. RV shipments in the fourth quarter of 2003 were 8.3 percent higher than the fourth quarter of 2002, outpacing forecasts for all RV market segments.(RVIA).

"The RV industry is booming as increasingly confident, younger consumers recognize the advantages of RVing over other forms of vacation and leisure," said David J. Humphreys, president of the Recreation Vehicle Industry Association (RVIA). "Families enjoy the greater freedom, flexibility, control and comfort RVs provide�especially in today's travel climate."

The RV industry earned record revenues of over $12 billion in 2003 (as measured by the retail value of wholesale shipments). Not only was 2003 the strongest RV retail year ever, but RV wholesale shipments posted their best six-year period in a quarter century, according to market data compiled by RVIA and Statistical Surveys, Inc.

"The favorable outlook for RV shipments is due to continued growth in disposable incomes, low inflation, low interest rates and renewed growth in employment," said Curtin, director, surveys of consumers, University of Michigan Survey Research Center. Other recent factors in the RV industry's favor are lower taxes, the stock market revival, population trends and concerns about the safety of international travel, according to Curtin, who produces the Index of Consumer Sentiment released monthly to business clients and the media.

Many RV manufacturers report they have boosted production to keep pace with growing consumer demand for their products. Rising orders have prompted some RV manufacturers to hire additional workers, open new assembly lines, expand existing plants and construct new facilities.

Long-term trends point to substantial RV market growth because of favorable demographics. As baby boomers enter their prime RV-buying years over the next decade, the number of RV-owning households is projected to rise 15 percent between 2001-2010, outpacing overall U.S. household growth of 10 percent, according to a 2001 University of Michigan study.

The study found the number of RVs owned by those 35 to 54 grew faster than all other age groups between 1998-2001, bolstered by an industry advertising campaign launched in 1997 aimed at the baby boomer. The Go RVing Coalition's national advertising campaign of print, television, radio and Internet ads is targeting adults age 30-64. The industry will spend approximately $50 million on the current three-year phase of this market expansion effort.

RVIA (rvia.org) is the national association representing more than 500 manufacturers and component suppliers producing approximately 98 percent of all RVs made in the United States.

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Media Contact: Jim Lubinskas Public Relations Manager (703) 620-6003 ext. 347 jlubinskas@rvia.org