Xenon Posted August 10, 2006 Report Share Posted August 10, 2006 From the Dallas Morning News: http://www.wfaa.com/sharedcontent/dws/bus/...n1.1f2d766.html Asset sale is granted Brook Mays liquidation to bring store closings; no interruption planned for rental business 12:00 AM CDT on Thursday, August 10, 2006 By BRENDAN M. CASE / The Dallas Morning News Brook Mays Music Co.'s stores and retail inventory will be liquidated following a $33.4 million asset sale approved Wednesday by a federal bankruptcy judge. The liquidation, which will result in the closure of 62 stores in eight states, including 12 in the Dallas-Fort Worth area, is expected to wipe out hundreds of jobs. Business will continue as usual for thousands of rental customers, including school bands throughout Texas, said Scott Bernstein, who heads SB Capital Group LLC, which is leading the Brook Mays purchase. "There's no interruption in the rental business," said Mr. Bernstein, speaking at U.S. Bankruptcy Court in Dallas, minutes after Judge Stacey Jernigan approved the sale. "For those customers who have rented instruments from Brook Mays, there will be no difference in the level of service," he said. Mr. Bernstein said he hasn't decided if he will still be in the rental market a year from now, but he said, "We think it's a very attractive business." It was unclear Wednesday how many of Brook Mays' 800 employees will be able to keep their jobs. While the new owners will need workers to continue the rental business, employees at retail stores are expected to lose their jobs in coming months. SB Capital said it would hold going-out-of-business sales for Brook Mays' retail inventory, which consists largely of musical instruments. The process is expected to conclude by the end of November. SB Capital has two half-owners: Mr. Bernstein, who maintains offices in Great Neck, N.Y., and the Schottenstein Stores Corp., a retail holding company based in Columbus, Ohio. Its partners in the Brook Mays purchase were EMCC Inc., Tiger Capital Group LLC and Palisades Collection LLC. The group submitted the highest bid in a Tuesday auction for Brook Mays' assets. Pleased with results Its offer was 16 percent higher than the initial bid of $28.7 million made last week by National Music Funding Corp. and Great American Group LLC. "We were pleased," said Stephen McCartin, a Dallas bankruptcy lawyer representing Brook Mays. "We think it was a successful auction." Brook Mays has more than 1,000 creditors and 60,000 rental customers, according to its bankruptcy filing. Creditors didn't object to the sale, seeing it as the best outcome to an undesirable situation. The sale proceeds will go to secured creditors including J.P. Morgan Chase, Mr. McCartin said. Unsecured creditors include Yamaha Corp. of America, Conn-Selmer Inc. and Kawai America Corp. As part of the bankruptcy proceedings, Brook Mays also obtained $210,000 by selling some intellectual property rights to Yamaha. Brook Mays declared Chapter 11 bankruptcy on July 11 after several months of looking for a buyer. It listed debts worth more than $70 million and assets of between $10 million and $50 million. Brook Mays chief executive Bill Everitt, looking somber at court Wednesday, declined to comment on the sale. Mr. Everitt's family had owned the business since the early 1950s. Founded in Dallas in 1901, Brook Mays had sales of about $150 million last year. It operates stores under 10 brands, including the corporate name. Over the last year, Brook Mays has faced rising competition, liquidity problems and a huge adverse judgment in a civil lawsuit. Encountering problems In an e-mail interview last month, Mr. Everitt said last year's back-to-school season was weaker than usual due to "budget restraints at some school districts, softer enrollment in instrumental music programs, competitive pressures and a higher demand for used vs. new instruments." In addition, he said, there was an "industrywide excess of entry-level instruments," due in part to the entry of big-box retailers into the business. Last year, a jury found Brook Mays liable in a civil suit alleging that the Dallas company had made false advertising statements about First Act Inc., a Boston-based musical products company. Jurors awarded First Act $20.7 million in December. Brook Mays' insurers paid $16.7 million last month to settle the case, but the payment was not the source of the company's liquidity problems, said Mr. McCartin, the company's bankruptcy lawyer. Staff writer Maria Halkias contributed to this report. E-mail bcase@dallasnews.com Quote Link to comment Share on other sites More sharing options...
MartinHorn Posted August 10, 2006 Report Share Posted August 10, 2006 So because this is a liquidation, no store's gonna replace the Brook Mays' in our area? Quote Link to comment Share on other sites More sharing options...
sax5warrior Posted August 10, 2006 Report Share Posted August 10, 2006 bout time they leave "oh yea, we have low prices and the best service" whatever. Im going to Mr. E's now for repair, i shop at music123.com Quote Link to comment Share on other sites More sharing options...
bluebellbrass07 Posted August 10, 2006 Report Share Posted August 10, 2006 QUOTE (sax5warrior @ Aug 10 2006, 12:23 PM) Im going to Mr. E's now for repair, i shop at music123.com Buying an instrument of the internet is just plain dumb. Every horn plays differently. And as every Mr. E's Ive been to has a terrible sheet music library Quote Link to comment Share on other sites More sharing options...
sax5warrior Posted August 10, 2006 Report Share Posted August 10, 2006 Buying an instrument of the internet is just plain dumb. Every horn plays differently. No, not buy horns, buy accessories I also agree buying horns through internet are pointless and idiotic. Quote Link to comment Share on other sites More sharing options...
the_DRUM_MAJOR Posted August 11, 2006 Report Share Posted August 11, 2006 NOOOOOOOOOOOOOOOOOOO!!!!!!!!!!!!!!!!!!!!!!!!!!!!! Brook Mays branch of H&H is the only one around here that offred repair service with my warranty policy..I don't know where else to go.. Quote Link to comment Share on other sites More sharing options...
MartinHorn Posted August 13, 2006 Report Share Posted August 13, 2006 There is actually a great business around here called Rivard Brothers that does good repairs for our city. Quote Link to comment Share on other sites More sharing options...
thesnareguy Posted August 13, 2006 Report Share Posted August 13, 2006 lonestarpercussion.com Quote Link to comment Share on other sites More sharing options...
x04ty29er Posted August 14, 2006 Report Share Posted August 14, 2006 I agree with MartinHorn, they are quite promt and do the job well. However, if you BUY an instrument from them, I do believe they will try to rip you off. Do your research before making any purchases from them. Quote Link to comment Share on other sites More sharing options...
whitewing09 Posted August 14, 2006 Report Share Posted August 14, 2006 OmG people buy music from stores?? Quote Link to comment Share on other sites More sharing options...
Miken Posted August 23, 2006 Report Share Posted August 23, 2006 BMG was the company that won the bid for my district a few years ago. In my two semesters of trying to deal with them, I'd found it incredibly difficult to get parts / repairs done to old equipment, and their prices on new stuff were much higher than Lone Star Percussion, Columbus Percussion, Steve Weiss Music, or any other company I checked. Mike Quote Link to comment Share on other sites More sharing options...
the_DRUM_MAJOR Posted September 11, 2006 Report Share Posted September 11, 2006 well i heard theyre going bankrupt because brookmays lost a slander suite against wal mart..apparently they said that the wal mart instruments were low quality..something like that lol Quote Link to comment Share on other sites More sharing options...
Hawkeye Posted September 11, 2006 Report Share Posted September 11, 2006 I think that is part of it, the battle was against the FirstAct which are sold by Wal-Mart. The store by me is closing, even though they said that they weren't going to close. Quote Link to comment Share on other sites More sharing options...
Aegis Fang Posted September 11, 2006 Report Share Posted September 11, 2006 so that would explain why I saw the H&H in my area having a closeout sale. Quote Link to comment Share on other sites More sharing options...
whitewing09 Posted September 11, 2006 Report Share Posted September 11, 2006 Wohh i just noticed the other day! my band folder has brooks mays on it!! Quote Link to comment Share on other sites More sharing options...
the_DRUM_MAJOR Posted September 11, 2006 Report Share Posted September 11, 2006 yea im kinda pissed though because H&H was the closest music store in my area, music and arts is way on the other side of town..and ..i reallly need some reeds!!! hahaha Quote Link to comment Share on other sites More sharing options...
ClaireAnnette07 Posted September 15, 2006 Report Share Posted September 15, 2006 Yeahh, I got a new clarinet mouthpiece,a new clarinet shoulder case (in blue,haha) , a pack of two mouthpiece teeth things and a solo book for only $112. That's less than the original price of the new mouthpiece alone! I guess it's true that good things come out of rotten things because I need my clarinet repaired and i have to go like, an hour away to do it now Quote Link to comment Share on other sites More sharing options...
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