This Day On The Street
Continue to site right-arrow
This account is pending registration confirmation. Please click on the link within the confirmation email previously sent you to complete registration.
Need a new registration confirmation email? Click here
Stocks Under $10 with 50-100% upside potential - 14 days FREE!

Steinway Acknowledges Unsolicited Proposal For Band Business; Announces New Chairman

Stocks in this article: LVB

WALTHAM, Mass., July 5, 2011 /PRNewswire/ -- Steinway Musical Instruments, Inc. (NYSE: LVB), one of the world's leading manufacturers of musical instruments, announced that Chairman Kyle Kirkland, CEO Dana Messina, Conn-Selmer President John Stoner, and certain members of management made an unsolicited proposal to acquire the Company's band instrument and online music divisions. In connection with the proposal, Mr. Kirkland has agreed to step down as the Company's Chairman, a position he has held since 1995.

The board has appointed a Special Committee to consider this proposal and strategic alternatives. In addition, the board has appointed Michael Sweeney, one of the Company's independent directors, to the position of Chairman. Mr. Sweeney is currently Chairman of the Board of Star Tribune Media Holdings and previously served as the president of Starbucks Coffee Company (UK) Ltd.

"First, it was a profound honor for me to serve as Chairman of the Company for so many years. Dana Messina and I have always felt that it was our duty to maintain the integrity of this American icon, and I believe we have been successful despite many economic and competitive challenges," stated Mr. Kirkland. "Second, although it was a difficult decision for me to step down, we felt it was appropriate to have an independent director lead the board through the process of evaluating offers for company assets. Finally, I am looking forward to continuing as an active member of the board and will serve the interests of all our stakeholders with the same respect for our people and brands that I've always had."

Mr. Messina said, "On behalf of the board and management, we'd like to thank Kyle for his vision and leadership over the last 16 years. Nearly two decades ago, we started on a journey which resulted in the creation of one of the world's most prestigious musical instrument companies. Since that time, we have sold over $5 billion of musical instruments, generated steady returns to investors and provided rewarding employment to thousands of employees. Our products are better than they've ever been and our balance sheet is solid. Mr. Kirkland's legacy with Steinway is secure."

In connection with Mr. Kirkland's departure as Chairman, the Company will recognize a severance charge of $1.1 million. Details of the management offer for the band and online music businesses have not been disclosed. There can be no assurance that any potential purchaser or the Company will enter into a definitive agreement for any transaction or that any transaction will be completed.

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, Selmer Paris saxophones, C.G. Conn French horns, Leblanc clarinets, King trombones, Ludwig snare drums and Steinway & Sons pianos. Through its online music retailer, ArkivMusic, the Company also produces and distributes classical music recordings. For more information about Steinway Musical Instruments, Inc. please visit the Company's website at

Contact: Dennis M. Hanson

Telephone: 781-894-9770

1 of 2

Select the service that is right for you!

Action Alerts PLUS
Try it NOW

Jim Cramer and Stephanie Link actively manage a real portfolio and reveal their money management tactics while giving advanced notice before every trade.

Product Features:
  • $2.5+ million portfolio
  • Large-cap and dividend focus
  • Intraday trade alerts from Cramer
  • Weekly roundups
TheStreet Quant Ratings
Try it NOW
Only $49.95/yr

Access the tool that DOMINATES the Russell 2000 and the S&P 500.

Product Features:
  • Buy, hold, or sell recommendations for over 4,300 stocks
  • Unlimited research reports on your favorite stocks
  • A custom stock screener
  • Upgrade/downgrade alerts
Stocks Under $10
Try it NOW

David Peltier, uncovers low dollar stocks with extraordinary upside potential that are flying under Wall Street's radar.

Product Features:
  • Model portfolio
  • Stocks trading below $10
  • Intraday trade alerts
  • Weekly roundups
Dividend Stock Advisor
Try it NOW

Jim Cramer's protege, David Peltier, identifies the best of breed dividend stocks that will pay a reliable AND significant income stream.

Product Features:
  • Diversified model portfolio of dividend stocks
  • Alerts when market news affect the portfolio
  • Bi-weekly updates with exact steps to take - BUY, HOLD, SELL
Real Money Pro
Try it NOW

All of Real Money, plus 15 more of Wall Street's sharpest minds delivering actionable trading ideas, a comprehensive look at the market, and fundamental and technical analysis.

Product Features:
  • Real Money + Doug Kass Plus 15 more Wall Street Pros
  • Intraday commentary & news
  • Ultra-actionable trading ideas
Options Profits
Try it NOW

Our options trading pros provide daily market commentary and over 100 monthly option trading ideas and strategies to help you become a well-seasoned trader.

Product Features:
  • 100+ monthly options trading ideas
  • Actionable options commentary & news
  • Real-time trading community
  • Options TV
To begin commenting right away, you can log in below using your Disqus, Facebook, Twitter, OpenID or Yahoo login credentials. Alternatively, you can post a comment as a "guest" just by entering an email address. Your use of the commenting tool is subject to multiple terms of service/use and privacy policies - see here for more details.
Submit an article to us!


DOW 17,795.66 +17.51 0.10%
S&P 500 2,067.03 +5.80 0.28%
NASDAQ 4,758.73 +10.3340 0.22%

Brokerage Partners

Rates from

  • Mortgage
  • Credit Cards
  • Auto

Free Newsletters from TheStreet

My Subscriptions:

After the Bell

Before the Bell

Booyah! Newsletter

Midday Bell

TheStreet Top 10 Stories

Winners & Losers

Register for Newsletters
Top Rated Stocks Top Rated Funds Top Rated ETFs