FOR IMMEDIATE RELEASE

Gibson Guitar Announces Acquisition of Garrison Guitars
Tuesday, July 3, 2007

Nashville, Tenn...July 3, 2007...Gibson Guitar, the world's premiere musical instrument manufacturer and leader in music technology announced today its acquisition of Garrison Guitars, a company based in St. John's Newfoundland, Canada. The acquisition will further Gibson's expansion in the acoustic guitar market offering a new series of Gibson brand acoustic guitars aimed at the median price point to be introduced at the Summer NAMM convention in Austin, Texas.

 

Garrison Guitars are crafted using the latest technologies and innovations including the Griffiths Active Bracing System, a revolutionary method of guitar construction that took over six years to perfect. The single unit brace combines all the acoustic guitar's top braces into a single unit and allows for the resonance to have an uninterrupted path of travel throughout the instrument and provides enhanced structural stability. Offering a range of instruments in all price points, the G Series features all solid woods, hard shell cases, bolt on necks and UV finishes in a variety of wood combinations. The AG Series offers an affordable line using the patented bracing system technology. The company also manufacturers all solid wood mandolins and mandolas in its 20,000 square foot facility in Canada.

Garrison will join the historic division of Gibson Acoustic guitars offering top quality acoustic performance instruments along with superb craftsmanship. The acquisition allows for Gibson Guitar to offer musical enthusiasts around the world the best acoustic guitar in every major price point. The company's portfolio includes Gibson Acoustic guitars built in Bozeman, Montana, Epiphone acoustic guitars and Garrison acoustic guitars. The company plans on shipping the new Garrison acoustic guitars by August of 2007 and will be Gibson branded.

"We are very excited about the recent acquisition of Garrison Guitars and welcome the entire Garrison family to ours," said Henry Juszkiewicz, Chairman and CEO of Gibson Guitar. "This strategic move will give our consumers several new offerings of Gibson acoustic guitars in a price ranges which also provide quality, craftsmanship and sound that only a true Gibson acoustic guitar can offer. We will continue to work with its founder, Chris Griffiths and expect the popularity of these acoustic guitars to have many musicians worldwide striking a new chord."

"My co-workers and I are extremely excited about our new beginning as the newest edition to the Gibson family of brands. Being a part of Gibson allows us to do so much more than we could have achieved on our own. Furthermore, Gibson's reputation for strong community involvement and the expansion and new job creation is sure to impress everyone here in St. John's, who have supported us so well over the years," said Chris Griffiths, Garrison founder.

The Garrison factory is being retrofitted to produce the new Gibson guitar models and will create over 40 new permanent full time positions to keep up with the demand. Gibson is also investing in new equipment and technologies so that further expansion, which is anticipated, can be considered at the location. The terms of the acquisition were not disclosed.

About Garrison Guitars:

 

Founded by Chris Griffiths of St. John's Newfoundland, Canada in 1999, Garrison Guitars was born to commercialize a revolutionary new bracing system called the Griffiths Active Bracing System. In early 2001, Garrison Guitars opened an acoustic guitar manufacturing company in Canada tooled with the latest robotics, laser cutting, cnc milling and UV finishing. The 20,000 square foot factory produced orders for distribution in North America, Australia, United Kingdom, Norway, Germany, the Netherlands, Spain, China, Japan and Canada. Garrison Guitars was awarded a "Golden Axe Award" for Best Value by Harmony Central in 2000. In addition, Garrison Guitars and its founder have won over 14 different awards for innovation, business planning, export growth, leadership and entrepreneurship.  For more information on Garrison Guitars and Gibson Guitar go to >www.gibson.com

About Gibson Brands:

Gibson Brands, the fastest-growing company in the music and sound industries, was founded in 1894 and is headquartered in Nashville, Tennessee. Gibson Brands is a global leader in musical instruments, consumer electronics, and professional audio, and is dedicated to bringing the finest experiences to consumers by offering exceptional products with world-recognized brands.

Gibson Brands has a portfolio of over 100 well-recognized brand names starting with the #1 guitar brand, Gibson. Other instrument brands include Epiphone, Dobro, Valley Arts, Kramer, Steinberger, Tobias, Slingerland, Maestro, Baldwin, Hamilton, Chickering and Wurlitzer. In professional audio, KRK Systems, TASCAM, Cerwin-Vega, Stanton, and Cakewalk also continue Gibson’s tradition of quality in their respective markets. Consumer electronics brands include Onkyo, Integra, TEAC, and Esoteric.

Gibson Brands recently expanded its reach into consumer markets with the acquisition of Philips' Home Entertainment based in Hong Kong—a company that invented the cassette tape, the CD format, the DVD format and the MP3 format. Under the Philips and Fidelio brand names, Gibson Brands continue to represent the ideal combination of innovation, tradition and a dedication to improving design while maintaining the highest level of craftsmanship.

A global company, Gibson Brands has manufacturing, marketing and research and development centers throughout the world.

All Gibson Brands are dedicated to innovation, prestige and improving the quality of life and music for its customers. Its goal is to provide the most exceptional customer audio products and experiences in the world.

Contacts:

Maureen O’Connor/Eileen Thompson-Ray/Joe Schneider
Rogers & Cowan
310-854-8116/310-854-8137/310-854-8140
moconnor@rogersandcowan.com        
ethompson-ray@rogersandcowan.com
jschneider@rogersandcowan.com