Last year was terrible for American boat building. The industry was already on life support, particularly the sailing side of the market. So, last spring, when experienced boat builder Michael Reardon announced that he had purchased Calaina Yachts and True North from Franck Bulter’s estate, many saw a ray of hope for the company.
Catalina has been building boats for 50 yard and has more than 85,000 hulls launched and sailing. The brand is as American as apple pie and the owners are deeply loyal to the Catalina ethos and the legacies of Butler and Gerry Douglas who took over the design and building side of the business years ago.
But Butler passed away and Douglas retired leaving the company in the hands of long-time sales director Sharon Day and building manager Patrick Turner. An infusion of new capital from Reardon and a plan to buy Tartan Yachts, seemed hopeful. But it wasn’t.
Soon after changing hands, Catalina sank into serious cash flow problems and gradually began taking on water. Last month, Catalina was thrown out of the factory they were leasing and essentially closed its doors for good.
Employees, who had been sounding alarms all summer, had not been paid for months. Many of them now are working at nearby Island Packet Yachts.
As for Tartan, Reardon bought it for “a dollar down” and more to be paid out of future revenues. The whole staff was furloughed on day one and the builder’s future is uncertain at best.
In the spring of 2025, both American builders were more or less solvent and had orders going forward. Now, they are either gone or in serious trouble. How did this happen?
Sailor and serial COO of public and private companies Joe Fletcher has undertaken an analysis of what happened and why in a thorough article called The Butcher of Catalina: A Boardroom Autopsy.
