If they were not doing well, then how were they able to afford the cost of the plastic, molds, etc of these new swivel joints? I'm sure they'll be keeping the traditional upright. As for the warranty, it's far from free. When a customer would buy a new XL21 upright, they not only pay for the high mark up price but the cost of all of the tune ups and replacement parts are included in that price. I wouldn't think an Oreck costs more than $100 to build, and that estimate is very generous.
~Alex