It seems that the back-orders on some Loud products (which ones I am not sure), are at least partly because a key supplier in china is not making them any more for Loud. This is supposedly due to the supplier's financial troubles, but of course that may cover many possible things, and may not be all-inclusive.
Financial dealings in china are not always very "transparent", and direct, frank statements, particularly negative ones, are not a notable part of the culture. That is brought out by the fact that Loud was unaware until recently that the stoppage was permanent..... a remarkable state of affairs by itself.
newspaper article:
Invalid Link Removed
Loud SEC filing:
http://biz.yahoo.com/e/081217/ltec8-k.html
I have no idea how it will turn out, but I suspect that it will be difficult for Loud to continue operations without making some drastic changes, including selling parts of the company. Plus, of course, the obligatory mass layoffs, etc. And that might not be enough if they can't get 1/3 of their products for 6 months, if at all.
The bottom of the SEC filing has a dry, bland statement which amounts to admitting that they might default on debt, run out of cash, lose their customers permanently due to unavailability of product, or go broke.
Not a very positive statement, and after a recent discussion in which it was suggested that Ampeg and other parts of Loud might soon be for sale, rather eerily apropos.
Maybe someone has a position they can offer to Dino? He deserves it for trying to make a difference. There are probably others up there, but I don't know them....
Financial dealings in china are not always very "transparent", and direct, frank statements, particularly negative ones, are not a notable part of the culture. That is brought out by the fact that Loud was unaware until recently that the stoppage was permanent..... a remarkable state of affairs by itself.
newspaper article:
Invalid Link Removed
Loud SEC filing:
http://biz.yahoo.com/e/081217/ltec8-k.html
I have no idea how it will turn out, but I suspect that it will be difficult for Loud to continue operations without making some drastic changes, including selling parts of the company. Plus, of course, the obligatory mass layoffs, etc. And that might not be enough if they can't get 1/3 of their products for 6 months, if at all.
The bottom of the SEC filing has a dry, bland statement which amounts to admitting that they might default on debt, run out of cash, lose their customers permanently due to unavailability of product, or go broke.
Not a very positive statement, and after a recent discussion in which it was suggested that Ampeg and other parts of Loud might soon be for sale, rather eerily apropos.
Maybe someone has a position they can offer to Dino? He deserves it for trying to make a difference. There are probably others up there, but I don't know them....


