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Thread: Is it the end for Gibson?

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    Axellent Member Mreilander's Avatar
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    Is it the end for Gibson?

    Just came across this mini article. In short, it says Gibson is more than likely going to declare bankruptcy and unless something changes for Fender, they wont' be far behind...
    https://thehustle.co/gibson-facing-bankruptcy/

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    Axe-honerated spellcaster's Avatar
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    It seems likely that if Gibson fails, Fender won't be in a financial position to pick up the pieces. That's probably for the best.....It would turn the guitar world into something not far off a monopoly, and that's unhealthy. Sorry to see Gibson as a brand going under, but it's the logical conclusion to years of Henry J's bad management and misguided offering of products that people don't want. One thing that'll probably happen in a bankruptcy is that the peripheral companies that Gibson bought up (and probably contributed to the business failure) will be split off and the guitar brand will be a stand-alone line again.
    "I know just enough to be dangerous....."

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    Axe-honerated spellcaster's Avatar
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    I wanted to add.....If it comes down to someone else buying the Gibson guitar division, my hope would be that Heritage be the new owner. Part of it is that there would be a sentimental feel to seeing Gibson manufacturing some guitars back where they used to be, Also, I respect that Heritage is building some Gibson-style instruments, but with a level of quality that Henry J's Gibsons have been missing the mark for a long time.
    "I know just enough to be dangerous....."

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    Super Moderator die Bullen's Avatar
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    And to think that Fender was considering an IPO just a few years ago...

    Interesting article but I seriously doubt either brand will cease to exist. Most likely scenario is that they declare bankruptcy and the name is bought by another company. Once the debt is cleared through bankruptcy proceedings there are production assets and the brand name that carry real value. The real question however is what happens then- do Gibsons move to an Asian factory and continue trading on their name? Or does some private company buy the assets and greatly reduce production staff and costs to attempt to make them profitable again. Either is a distinct possibility, although the first scenario is probably more likely.

    SC- I'm not sure if Heritage would have the capital to buy out Gibson, although this would almost certainly be the most desirable outcome for guitar players!

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    Axe-honerated Keletcaster's Avatar
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    Both companies have been trading on there name for a long time.
    Great Guitars Are A Formula Not A Logo.

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    Axetastic itsallintheblues's Avatar
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    Quote Originally Posted by die Bullen View Post
    And to think that Fender was considering an IPO just a few years ago...

    Interesting article but I seriously doubt either brand will cease to exist. Most likely scenario is that they declare bankruptcy and the name is bought by another company. Once the debt is cleared through bankruptcy proceedings there are production assets and the brand name that carry real value. The real question however is what happens then- do Gibsons move to an Asian factory and continue trading on their name? Or does some private company buy the assets and greatly reduce production staff and costs to attempt to make them profitable again. Either is a distinct possibility, although the first scenario is probably more likely.

    SC- I'm not sure if Heritage would have the capital to buy out Gibson, although this would almost certainly be the most desirable outcome for guitar players!
    Heritage sales might go up if Gibson goes away.

    I dont want Gibson to go away, or to cease production. I still want a 335, and even if I dont like Les Pauls, I want them to be available in case I want one

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    Axe-honerated spellcaster's Avatar
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    Quote Originally Posted by Keletcaster View Post
    Both companies have been trading on there name for a long time.
    I think the best we can hope for when a major guitar brand is going down is that it'll end up in the hands of a company that'll care about the guitars, rather than bean-counters that only care about the bottom line. We've all witnessed what CBS did to Fender......We can only hope that Gibson fares better.
    "I know just enough to be dangerous....."

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    Axe-honerated Keletcaster's Avatar
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    I'm thinking Japanese interest like with the high end Gretsch stuff.
    Great Guitars Are A Formula Not A Logo.

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    Super Moderator die Bullen's Avatar
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    Quote Originally Posted by itsallintheblues View Post
    Heritage sales might go up if Gibson goes away.

    I dont want Gibson to go away, or to cease production. I still want a 335, and even if I dont like Les Pauls, I want them to be available in case I want one
    Even if Gibson as a brand were to go away (which I don't believe they will), there are millions of Les Pauls you could buy on the used market.

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    Axe-honerated zontar's Avatar
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    I do agree that even if the current regime falters more & Gibson foes to bankruptcy/receivership/something similar--the name won't die--someone will acquire it--now it may end up on cheap instruments or expensive ones or anything in between or any combination thereof--they could be made anywhere.

    But I must admit one of my first thoughts after seeing this on another forum was what spell thought--wouldn't it be cool if Heritage bought the name & Gibson returned home to their old factory & original city?

    there would be a certain justice to that--considering that Heritage was started by former Gibson employees after Gibson moved all production out of Kalamazoo (where my Les Paul was made)

    Oh--and Gobson already had their CBS period--it was the Norlin era.

    While there were many issues with CBSera Fenders & Norlin era Gibsons--they did make some good ones as well...
    (I own one of each--Norlin era & Gibson & CBS era Fender)
    I've been a pilgrim on this earth, since the day of my birth, I'm a long way from my home.

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