Moody’s Downgrades Gibson’s Credit Rating

Wednesday, August 30th, 2017
Gibson Brands CEO Henry Juszkiewicz

Gibson Brands CEO Henry Juszkiewicz

Moody’s Investors Service has released the following news about its decision to downgrade Gibson’s Rating:

Moody’s Investors Service has downgraded Gibson Brands, Inc.’s Corporate Family Rating (CFR) to Caa2 from Caa1 due to increasing concerns about the company’s liquidity position. The rating outlook is negative.

The downgrade reflects Moody’s concerns about the company’s ability to meet all of its financial obligations in 2016 and 2017 that include over $80 million due to a consumer electronics supplier and $45 million in near-term outstanding indebtedness, if the ABL revolving credit facility is not refinanced. The expiration date of the ABL was recently accelerated to May 2017 from January 2018 because the company was in violation of a covenant. “However, we expect that the company will be able to refinance the ABL based on the strength of the underlying assets,” says Kevin Cassidy, Senior Credit Officer at Moody’s Investors Service.

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Axe Music Calgary to Close

Friday, August 18th, 2017

axe calgaryIn a Facebook post published last night, Axe Music’s Calgary location announced it is closing operations when its current lease runs out on May 31, 2018. The company says the current depressed economic situation in Calgary, which is caused mostly by a prolonged downturn on the oil industry, as well as manager Brian Cymbaluk’s recent cancer diagnosis are the reasons for the decisions to close.

Axe Music’s Edmonton location and e-commerce business at AxeMusic.com will remain open.

The full Facebook post reads: 

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‘Music Go Round’ Registers to Franchise Throughout Canada

Monday, August 14th, 2017

Music go roundMusic Go Round, an established American MI retailer specializing in used instruments and gear, is now registered to franchise in Canada. With nearly 35 franchised stores in the United States and a well established e-commerce website, the brand is seeking prospective franchise owners in Canada to further develop its North American footprint.

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NAMM Releases its 2017 Global Report for Members

Friday, August 11th, 2017

Screen Shot 2017-08-11 at 2.10.08 PMFor its members, NAMM has released its 2017 Global Report, which highlights industry trends globally and includes snapshots of 25 countries.

“Any doubts about the global nature of the music and sound products business have long since been erased, and with more than 120 countries and regions now attending The NAMM Show, a global perspective of our industry is an ever-increasing need,” says NAMM. The 2017 Global Report features retail sales figures, unit sales information, analysis, and import/export numbers for musical instruments and products.

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Steve’s Music Montreal Being Forced to Move

Thursday, June 22nd, 2017

steve's musicSteve’s Music’s flagship Montreal location, one of the best known musical instrument stores in Canada, is being forced to move from its St. Antoine Street location. Later this summer it will be moving to a new address on St. Catherine Street East.

“We’re moving because we’re forced to, not because we want to,” store manager Sheldon Sazant told the Montreal Gazette newspaper.

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ESTA Announces New Alliance with NAMM for 2018 Show

Wednesday, June 14th, 2017
ANAHEIM, CA - JANUARY 19:  A general view of atmosphere at the 2017 NAMM Show Opening Day at Anaheim Convention Center on January 19, 2017 in Anaheim, California.  (Photo by Jesse Grant/Getty Images for NAMM)

(Photo by Jesse Grant/Getty Images for NAMM)

The Entertainment Services and Technology Association (ESTA) has announced an alliance with the National Association of Music Merchants (NAMM) to work with them in expanding the NAMM Show to include a special focus on the live event technology community. The show annually welcomes more than 100,000 professional attendees from 139 countries.

This opportunity was made possible by the addition of a new building coming online at the Anaheim Convention Center, where the show is held every January. The additional space will allow The 2018 NAMM Show to offer the event technology industry a diverse show floor, robust professional education, and a series of relevant networking events.

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