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2005 ANNUAL REPORT 9
able to share knowledge and ideas with
each other and vendors.
We’re extremely proud of our new
Wyoming center. It’s a world-class technology
facility that helps us expand our powertrain
capability, attract the best and brightest in
the industry, and reinforce our commitment
to be a good corporate citizen. Our building
was designed and built for LEED (Leadership
in Energy and Environmental Design)
Certification to limit its impact on the
environment, and we worked closely
with the Minnesota Department of Natural
Resources to protect the 200 acres of
wetlands on our site.
Introducing the largest fleet of new products
in company history.
Snowmobiles.
New technology is breathing
new life into the sled business. Our IQ
Chassis, which combines better balance with
greater engine output, is now in 60 percent
of our snowmobile models. We also
introduced five new engines that deliver
greater power with fewer emissions. In fact,
our two new vehicles with FS 4-stroke
engines were recently certified for use in
Yellowstone National Park and already
exceed EPA emissions standards set for the
year 2012. And our new Fusion 600 HO
is one of the quickest snowmobiles in the
popular and competitive 600 class.
ATVs.
We made the world’s best-selling ATV,
the Sportsman 500, even better by adding
electronic fuel injection (EFI) for easy starting
in any weather and better fuel economy. We
introduced a new Outlaw with independent
rear suspension (IRS), making it the industry’s
first sport quad with IRS. To capture market
share in fast-growing segments, we introduced
the Sportsman X2, which transforms from a
1-passenger to 2-up in 10 seconds. We also
introduced two new mid-size ATVs to meet
demand among teens and women: Sawtooth,
which features full-size power in a lightweight
We love the challenge and the competitive advantage of continually creating the next “best thing.
In 2005, we invested in our two major R&D centers to expand our lead in developing new technologies
and products that will drive consumer demand and help us achieve our goals.
60%
86%
03 05
59%
04
PERCENTAGE OF VEHICLE SALES
FROM NEW PRODUCTS INTRODUCED
IN PREVIOUS THREE YEARS
Renewed emphasis on innovation, including a
disciplined product development process, drove
higher new-product introductions in 2005.
chassis, and Hawkeye, the first mid-size ATV
with IRS. In the utility market, we introduced
EFI on our popular
RANGER
6x6 and 4x4,
and IRS on the 4x4.
Victory.
In 2005, we introduced the
Hammer, a performance cruiser designed
to attract younger, more affluent customers
to Victory. In 2006, we’re targeting the
rapidly expanding extreme custom segment
with our Vegas Jackpot. It combines extreme
styling and performance not typically
found in this segment. We also added our
100-cubic-inch Freedomengine and
6-speed transmission to more models for
added performance and comfort.
Taking innovation to new levels. In 2005, we
solidified our future with the completion of our
$35 million investment in a major R&D facility
in Wyoming, Minnesota. It includes state-of-
the-art testing capabilities to improve quality
and reduce time to market. Examples include
powertrain development cells, a structural lab
that accelerates endurance tests and 620
acres of secluded terrain to test vehicles in
their natural environments. Through advanced
communication technologies like electronic
whiteboards and videoconferencing, Polaris
engineers in our Wyoming and recently
upgraded Roseau development centers are
CHALLENGING THE ATV STATUS QUO
Up until this year, every sport quad on the market
had a straight axle rear suspension. “That kind of
suspension doesn’t deliver the level of control sport
quad buyers are looking for,” said Jim Endrizzi,
Product Manager of Sport/Youth ATVs, whose team
was determined to make Outlaw the best-handling
sport quad on the market. “We knew independent
rear suspension (IRS) was the answer, so we
developed PRO-IRS.” The innovative IRS system
provides three key benefits, Jim said. “Riders
can go faster with less fatigue over rough terrain.
They can straighten out off camber jumps and landings. And they have 11 inches of
ground clearance for fewer hang-ups.” Apparently, the industry agrees. The 2006
Outlaw with PRO IRS won
ATV Sport’s
“Trail Supremacy Shootout,” and was named
“Sport ATV of the Year” by both
ATV Guide
and
ATV Rider
.
LEGACY OF INNOVATION
The new Wyoming research and development
facility includes a structural lab that allows us to
run endurance tests in a fraction of the time it
would take to run them on road.