A New Report Shows That The Legendary Gibson Guitar Company Is Facing ‘Imminent Bankruptcy’

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After over a century and almost $1 billion in revenues each year, the Gibson guitar company — the minds behind the iconic Les Paul and SG designs — are reportedly facing bankruptcy, as explained in a new report from the Dayton Daily News. According to the report, Gibson’s chief financial officer Bill Lawrence resigned after just six months on the job, which serves as a sure sign that something the signs aren’t looking good, as “$375 million in senior secured notes mature and another $145 million in bank loans become due if they aren’t refinanced by July.”

Without a chief financial officer, Gibson’s owner Henry Juskiewicz is trying to reorganize the company’s finances with large investments in electronics companies purchased over the last few years, “but is facing a battle with creditors over bad business decisions.” However, the Dayton Daily News also cites experts in both music and finance who believe that Gibson might be able to survive and declaration of bankruptcy, due to their overwhelming name value and tradition, with a massive influence on the creation and evolution of rock and roll.

Gibson was founded as a producer of various instruments in 1902 in Kalamazoo, Michigan, and the iconic Les Paul design began production in 1952, since becoming a staple in rock and roll used almost exclusively by the likes of Slash, Jimmy Page, Billy Gibbons, and many more.