Preliminary unaudited 2008 results as compared to prior year:
Sales Q4 Full Year ----- -- --------- Band (27%) (8%) Piano (25%) (5%) Domestic (30%) (10%) Europe/Asia (20%) flat Total (25%) (6%)
2009 Band Operations Outlook:
-- Challenging U.S. market -- Dealers face tight credit markets -- Minimal surplus inventory at the dealer level -- Band revenue down 10 - 15%
2009 Piano Operations Outlook:
-- Challenging global markets -- Production/sourcing matched to demand -- Reduction of available financing for U.S. piano dealers -- Institutional demand stable -- Piano revenue down 20 - 25%
About Steinway Musical Instruments
Steinway Musical Instruments, Inc., through its Steinway and Conn-Selmer divisions, is one of the world's leading manufacturers of musical instruments. Its notable products include Bach Stradivarius trumpets,
"SafeHarbor" Statement Under the Private Securities Litigation Reform Act of 1995
This release contains "forward-looking statements" which represent the Company's present expectations or beliefs concerning future events. The Company cautions that such statements are necessarily based on certain assumptions which are subject to risks and uncertainties which could cause actual results to differ materially from those indicated in this release. These risk factors include the following: changes in general economic conditions; recent geopolitical events; increased competition; work stoppages and slowdowns; ability to successfully consolidate band manufacturing; impact of dealer consolidations on orders; exchange rate fluctuations; variations in the mix of products sold; market acceptance of new product and distribution strategies; ability of suppliers to meet demand; concentration of credit risk; fluctuations in effective tax rates resulting from shifts in sources of income; and the ability to successfully operate acquired businesses. Further information on these risk factors is included in the Company's filings with the Securities and Exchange Commission.
Contact: Julie A. Theriault Telephone: 781-894-9770 Email: ir@steinwaymusical.com
SOURCE Steinway Musical Instruments, Inc.