RELATED: Investors want a new CEO at Gibson
“To implement the agreement, the company and its U.S. subsidiaries today filed pre-negotiated reorganization cases under chapter 11 of the U.S. Bankruptcy Code,” Gibson said.
“The filings will allow the company’s musical instruments and professional audio businesses to continue to design, build, sell, and manufacture legendary Gibson and Epiphone guitars, as well as KRK and Cerwin Vega studio monitors and loud speakers, without interruption,” Gibson said.
RELATED: Gibson initially pushed back against bankruptcy talk
Though some investors earlier had reportedly pushed for a leadership change at Gibson, there was no indication in Tuesday’s announcement that the company’s current chief executive, Henry Juszkiewicz, was going anywhere, at least for now.
"We are grateful for the continued support from our employees, customers, dealers, partners and suppliers as we move through the restructuring process," Juszkiewicz said in the company’s statement. "The Gibson name is synonymous with quality and today's actions will allow future generations to experience the unrivaled sound, design and craftsmanship that our employees put into each Gibson product."