EDowning wrote:
Please enlighten me...How do plastic modelers provideWar contractors making military models a royalty pain $$ support for warbirds?
Chicago Sun-Times, Feb 14, 2005 by Maureen O'Donnell
Model hobbyists have long been vexed about having to pay royalties to automotive companies for the privilege of building snazzy car replicas from kits.
But paying the defense industry for models of military aircraft or tanks? That's the equivalent of double-dipping, hobbyists say. They're heating up message boards and lobbying politicians with complaints about the licensing fees.
"If I want to build an F-16 or an F-15, or a Navy Tomcat, or an Abrams tank -- or anything like that -- then I think the royalties have [already] been paid for by the taxpayer," said Tom Surlak, a retired Air Force major from Aurora who has built thousands of models in his 56 years. "This is the manufacturers trying to capitalize on something twice."
Licensing demands have increased in the last few years, said John Long, chairman and CEO of Northbrook's Revell-Monogram, one of the world's biggest makers of model and hobbycraft kits.
"What really upset people is when companies like Boeing and Lockheed Martin wanted royalties" for military replicas, Long said, adding that the development and design costs "have been paid for by government money, taxpayer money.
"All it does is it raises the price," Long said. Generally, the royalty makes up 3 percent to 15 percent of the asking price, he said.
More important than money, though, is the principle, critics say.
"Were it not for taxpayer funding, the item would not exist," said hobbyist Scott Van Aken, who lives near St. Louis and publishes a modeling Web site.
It's a trademark thing
Chicago-based Boeing, with 2004 earnings of $52.5 billion, says the company isn't trying to milk the consumer. "It's used to protect intellectual property," spokesman Ken Mercer said. "This is not a revenue stream. . . .The royalties end of this are minuscule and barely cover the cost of managing such an effort."
Lockheed Martin says it needs to protect its trademark consistently, or risk eroding its rights.
"The U.S. government uses the products and services Lockheed Martin provides, royalty-free," said Jeffery Adams, a spokesman for the world's largest defense contractor. "Lockheed Martin retains all patents for inventions it develops, as well as trademark rights for all products it produces for the U.S. government."
The company wants to ensure that the models are accurate, high- quality and safe, Adams said.
Mike Bass said Boeing has been giving him headaches for a couple of years. He's head of New Jersey's Stevens International, an importer and distributor of hobby kits.
"I have a 50-page document here from Boeing that they want me to sign," Bass said. "It's ridiculous."
Boeing has "pockets of endless depth," he said. "Who's going to put up the dollars to fight them?"
Boeing wants a licensing agreement from a Stevens supplier -- a Chinese maker of model Boeing aircraft, he said.
Tell Lockheed Martin 'I paid'
Bass said he understands that Boeing wants to protect intellectual property like the 747. But for military aircraft, "U.S. tax dollars have already paid for this," he said. He worries that the red tape required by the military manufacturers will ultimately result in fewer model kits for U.S. aircraft. "In 10 years, am I not going to see any American airplanes because nobody wants to deal with this?"
Bass is lobbying his congressman, Rep. Robert Andrews (D-N.J.), for help.
General Dynamics of Falls Church, Va., maker of the Abrams tank and the Stryker armored vehicle, has a unique way of handling the issue. In exchange for licensing rights, toy makers have to donate to the Marines' Toys for Tots campaign, General Dynamics spokesman Kendall Pease said.
"When you hear from Lockheed Martin, tell them I flew one of their aircraft, the C-141," in the Persian Gulf War, Surlak said. "I paid royalties. . . . I willingly went in harm's way."
Copyright The Chicago Sun-Times, Inc.
Provided by ProQuest Information and Learning Company. All rights Reserved.
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