Gibson responds to bankruptcy reports, claiming new strategy “will lead to the best financial results the company has seen in its history”

PHOTO CREDIT: Scott Wintrow/Getty Images

Don’t You Dare Give Up Gibson!

Gibson fired back regarding reports that it is running out of time to resolve its debt issues, in which it outlines hope for the future of the company, though the sad part is that some of its current brands may tend to leave the group or disappear completely.

Claiming it has “met all current obligations to the bondholders,” the company intends to further “focus its Philips brand consumer audio business on those products that have greater growth potential.”

Gibson stating other plans on “eliminating product segments that do not perform to our expectations and have little upside in the future.”

This sets the end to the development of the Gibson-owned Cakewalk music software at the end of last year.

Nevertheless, the said strategy will “lead to the best financial results the company has seen in its history within the next year,” the company states, “and an ability to pay back the company’s debt in whole within several years.

Get back to the financial success we had”

“We have been monetizing assets like stock holdings, real property and business segments that could not achieve the level of success we expected. By monetizing these assets, we can reduce debt and generate funds to contribute to business segments that are thriving. It is important to our business to get back to the financial success we had to achieve the best financial terms in the refinancing of our company.” – CEO Henry Juszkiewicz

Enough to say, we’ll be keeping tracks for the company’s next moves with interest.

Gibson has 100 brands under its name including Epiphone, Dobro, Valley Arts, Kramer, Steinberger, Tobias, Slingerland, Maestro, Baldwin, Hamilton, Chickering, and Wurlitzer.

And other audio brands includes KRK Systems, TASCAM, Cakewalk, Cerwin-Vega!, Stanton, Onkyo, Integra, TEAC, TASCAM Professional Software, and Esoteric.