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The maker of legendary electric guitars Gibson filed for bankruptcy Tuesday but filed a business continuity plan that has the agreement of most of his creditors.
The company was in trouble for months and faced a crucial debt maturity, which forced him to repay before August 1, or refinance, 375 million dollars in bonds.
Gibson's attempt to diversify into systems audio for the general public through its subsidiary Gibson Innovations would have led to this situation limit.
This strategy began in 2014 with the purchase of the Dutch entertainment company Philips for $ 135 million.
The group finally decided to turn back and focus on musical instruments and professional sound systems, according to a statement released Tuesday
In addition, Gibson Brands the parent company of the Gibson guitars, reached a restructuring agreement with the holders of 69% of the total maturing bonds on August 1 and will receive a credit of $ 135 million.
"This process will be practically invisible to customers, who will continue to benefit from unparalleled products and customer service," said Henry Juszkiewicz, CEO Gibson Brands, quoted in the statement.
The group that produces, among others, the famous guitar model Les Paul, was founded in 1902 and now has its headquarters in Nashville, one of the emblematic places of music in the United States (rock, blues, country …).
Among the stars that left their mark making music with Gibson guitars are BB King Keith Richards (The Rolling Stones), Jimmy Page (Led Zeppelin) and many others.
Gibson Brands also owns the Baldwin pianos created in 1862 and adopted by several large keyboard names such as Igor Stravinsky Leonard Bernstein, Ray Charles and Dave Brubeck.
Juszkiewicz and the president of the firm, David Berryman, together control about 85% of the capital of Gibson Brands, according to documents filed Tuesday in a specialized court in Delaware.
