Garmin 2001 Annual Report Download - page 13

Delivering total solutions
Garmin’s vision is to become a total solutions provider
for the markets it serves. In aviation, we are working
toward becoming a complete integrated cockpit
supplier. The integrated cockpit system will provide a wide range of flight
information, communication and control capabilities with a straightforward
user interface, helping to minimize pilot workload and reduce system instal-
lation complexity and weight. Last November, Garmin acquired the Attitude
Heading and Reference System (AHRS) technology assets of Sequoia
Instruments, Inc., which will assist this development.
For marine applications, we are expanding our range of integrated and
standalone navigation, sonar and communication products. Likewise, we
will apply our aviation electronics integration skills to develop additional
services and capabilities for automotive, motorcycle and other applications.
In all applications, the integration of our navigation, communication and
information technologies will aim to deliver total solutions for our customers.
The resulting devices and systems will be designed to offer innovative
features that assist our customers in their active lifestyles.
Growing our distribution channels
From Garmin’s inception, we have sought to develop long-term relationships
and continuous business expansion with our existing distributors and dealers
while selectively expanding our family of distributors. Many of our dealers
have mirrored Garmin’s growth as we have expanded our range of products
and services through the years. Ironically, on September 11, 2001, the day
of terrorist attacks on America, Garmin was hosting many of our distributors
from around the world for our International Sales Meeting at Olathe, Kansas.
The encouragement and support we received from
our international friends and business associates
demonstrated the strength of our relationships.
Our aviation products are distributed to end customers through our world-
wide network of more than 700 dealers. These dealers install our equipment
in customers’ aircraft in accordance with airworthiness requirements estab-
lished and maintained by responsible governmental agencies. Our consumer
products are sold through distributors and dealers around the world. U.S.
retailers for our consumer products include such well-known names as Bass
Pro, Best Buy, Boat America, Boater’s World, Cabella’s, REI, Wal-Mart and
West Marine. We added Radio Shack Canada, Dixons, Staples Europe, The
Sharper Image, Good Guys and others to our distribution network in 2001.
The success of Garmin’s growing range of consumer and aviation products
has opened distribution opportunities through leading boat, motorcycle and
aircraft original equipment manufacturers (OEMs). Some of the major boat
manufacturers such as Ranger, Lund and Cigarette already install Garmin
fishfinders or combination chartplotter and fishfinder units. In 2001, we signed
OEM agreements with six new bass boat manufacturers and one offshore
fishing boat manufacturer.
Garmin equipment is standard on aircraft produced by Cirrus Design, Mooney
Aircraft, New Piper Aircraft, Raytheon Aircraft and others. The Garmin
“ stack” integrates VHF communications, instrument landing system (ILS),
variable omni range (VOR), GPS-derived color mapping, transponder, marker
beacon and audio. In 2001, Cessna began offering our stack as an option on
their Citation jet and Caravan turboprop aircraft and Eurocopter France began
installing Garmin on their EC 120, EC 130 and AS 350 ASTAR rotorcraft.
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