Gibson ‘running out of time — rapidly’

Dolebludger

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And let me clarify something. Just because Gibson may go bankrupt does not mean that Gibson guitars are gone for good. Whether in agreement with the creditors or in bankruptcy (Ch. 11 or Ch7), a buyer will be sought for Gibson's physical and intellectual properties (patents, trademarks, and copyrights). Gibson will be sold, regardless of whether by agreement with creditors, Ch. 11, or Ch. 7. "Gibson" is a well respected name in its sector, despite some recent customer experience. There is some value there, though probably not enough to satisfy all debts and pay the equity holders. The creditors will not be paid 100%, but I think they new the risk going in as evidenced by the 8.75% interest rate in a time when solid corporate debt carries an interest rat of around 3%. But I don't think any buyer is going to waste Gibson's name and designs in the industry, so there will still be Gibson guitars "under new management".
 

Thumpalumpacus

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Not that I know of, but if Harleys, Levi’s and bourbon are on the EU’s potential retaliatory tariff block, why wouldn’t Gibson be considered?
My point is, that if Europe imposes a VAT of 12-19%, isn't complaining about American tariffs a touch hypocritical? They've had that in place for what, a couple of decades now, no?

Don't get me wrong, I think free trade is best for all involved nations. But as Ebs has pointed out, the American commitment to free trade hasn't always been reciprocated, even by our allies.
 

Petergrifindor

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Don't get me wrong, I think free trade is best for all involved nations. But as Ebs has pointed out, the American commitment to free trade hasn't always been reciprocated, even by our allies.
Yeah man. A lot of people here think that adding a market of +300.000.000 people, that lives in a high qualified, industrious, productive and rich country would be bad for us.

Now, don´t ask how in hell they arrived at that conclusion, but they do.

At least we are making some progress with the canadians. And I´m confident we will arrive at the same place with the US, sooner than later.
 

paruwi

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Not that I know of, but if Harleys, Levi’s and bourbon are on the EU’s potential retaliatory tariff block, why wouldn’t Gibson be considered?
The point is to 'hurt' the 'supporters' of that blond haired guy at the top
maybe there is a big supporter in the Nashville area, then it might happen....
 

northernguitarguy

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My point is, that if Europe imposes a VAT of 12-19%, isn't complaining about American tariffs a touch hypocritical? They've had that in place for what, a couple of decades now, no?

Don't get me wrong, I think free trade is best for all involved nations. But as Ebs has pointed out, the American commitment to free trade hasn't always been reciprocated, even by our allies.
Them free hospitals don't pay for themselves. Canada has hefty sales taxes as well (13% in Ontario). Cost for civil society.
 

Thumpalumpacus

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VAT has nothing to do with those tariffs
As was pointed out above, the difference between "tax" and "tarriff" is a distinction without a difference. The net result is that European domestic production gets favored, and US exports have a hurdle in front of them.
 
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Bill Hicklin

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Who are those 'Europeans' ?
AFAIK we still have customs regulated by each country
The import duty on any Guitars from outside the EU is 3,7 %
+ the 19%VAT
It was my understanding that the EU slaps a flat 12% import tariff on all non-EU goods. And then the national govermnents pile on 18-20% VAT
 




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