Steinway may be in a company buying mood



Steinway may be in a company buying mood Expand / Collapse
Author
Message
Posted 11/6/2009 10:55:17 AM
Forum Newbie

Forum NewbieForum NewbieForum NewbieForum NewbieForum NewbieForum NewbieForum NewbieForum Newbie

Group: Administrators
Last Login: 8/14/2007 2:51:08 PM
Posts: 2,
Post ID: 96851
11/6/2009 12:00:00 AM

Let's discuss 'Steinway may be in a company buying mood'.

With a substantial influx of capital and the company's chief executive officer noting the current market has some "interesting acquisition opportunities," Steinway Musical Instruments soon may be going shopping. On Thursday, Steinway, parent company of Conn-Selmer in Elkhart, Ind., announced it received $27 million in cash from Samick Musical Instruments Co. as part of a common stock agreement.

-from
the Truth
Click here to view the story
....
Posted 11/6/2009 11:10:38 AM


Junior Member

Junior MemberJunior MemberJunior MemberJunior MemberJunior MemberJunior MemberJunior MemberJunior Member

Group: Forum Members
Last Login: 9/7/2007 12:58:47 PM
Posts: 64,
Post ID: 96853

I was baffled why Chris Rouen of Seneca, S.C. would write in to the Truth opinion saying, “Now that it's over, who won? The customer. They are buying a quality product at an affordable cost. …. The customer has spoken. They don't care. They are buying the product they want at a competitive price, regardless of where it is made,” that’s not what I’m reading here today.

 

Now understand I’m only a factory worker with one basic accounting course, but I was astounded to read today’s balance figures which for me showed:

 

  1. From July, August and September with the decertification ending on July 30th, money coming in dropped 18%, however they were able to show net profit of .6 million. We know wages were cut from $24 to $17 (after decertification) plus we hear on the line Conn Selmer is only paying high wages for work done in their job classification otherwise it’s even more reduced. (that’s one way of pulling a profit out of a lose)
  2. Last year 3rd quarter of 2008 Conn Selmer had to pay premium wages to entice the crossovers (or as the article they were required to pay higher wages, why) so they showed a loss of $260,000.00
  3. For most of 2009 customers dropped off buying product to the tune of 30% and profit fell 79% from the same period last year.

 

Messina has working cash of 50 million; well we know Mr. Jong Sup Kim just bought common stock at 37% above market value giving an influx when they needed it.

 

You got to hand it to the Kirkland-Messina team they learned well from Drexel Burnham Lambert.

 

You realize numbers can be presented in different ways, I hope this colors the numbers a little bit more truer to what actually happened. What do others think of my analysis?

....
Posted 11/6/2009 11:16:44 AM


Forum Guru

Forum GuruForum GuruForum GuruForum GuruForum GuruForum GuruForum GuruForum Guru

Group: Forum Members
Last Login: 10/8/2008 8:47:18 PM
Posts: 1,531,
Post ID: 96854
I don't really understand what you're getting at. What conclusion, after your analysis, did you come to? Data should always be augmented by some sort of position statement.

How's that?

....
Posted 11/6/2009 11:19:43 AM


Junior Member

Junior MemberJunior MemberJunior MemberJunior MemberJunior MemberJunior MemberJunior MemberJunior Member

Group: Forum Members
Last Login: 9/7/2007 12:58:47 PM
Posts: 64,
Post ID: 96855

 

Well I was figuring that customers were not buying as they had pre strike.
....
Posted 11/6/2009 11:25:13 AM


Forum Guru

Forum GuruForum GuruForum GuruForum GuruForum GuruForum GuruForum GuruForum Guru

Group: Forum Members
Last Login: 10/8/2008 8:47:18 PM
Posts: 1,531,
Post ID: 96856
I would say you're probably right. Sales in many industries slowed down during the same period. Companies responded with aggressive cost-cutting measures to hold profit as steady as possible.

Just because it happened "post-strike" doesn't mean it was caused by the strike.

Post hoc, ergo propter hoc.

....
Posted 11/6/2009 11:39:40 AM


Junior Member

Junior MemberJunior MemberJunior MemberJunior MemberJunior MemberJunior MemberJunior MemberJunior Member

Group: Forum Members
Last Login: 9/7/2007 12:58:47 PM
Posts: 64,
Post ID: 96857

I agree with you all companies are cutting cost to increase profits however I started asking if Chris Rouen is right given the revenue figures.
 
In other post I wrote, “This is not what prestrike was like or the past 40 years according to past UAW president Allen who has said, even in the recession of the 70’s we always had backorders.  Currently I doubt their producing at the vast numbers with the different models and six month to two year back orders that have always been a part of UAW 364 working there.” 


Therefore this does show pre-strike figures were high and there loss can not be attributed to the economy.

....
Posted 11/6/2009 7:30:27 PM


Contributor

ContributorContributorContributorContributorContributorContributorContributorContributor

Group: Forum Members
Last Login: 1/25/2009 1:46:21 PM
Posts: 185,
Post ID: 96912
Roncz, first of all I'm sorry all the union members lost there jobs! That being said they had nobody to blame but themselves, not going to debate the contract proposal that was offered but you stated one of the issues was the mandatory overtime and pay cuts from $27 down to what $19 an hour. You can't expect any sympathy for not being bright enough to accept the contract and still have jobs. Management is in management to help get the work done however it see's fit to do so.
....
Posted 11/7/2009 8:23:51 PM


Junior Member

Junior MemberJunior MemberJunior MemberJunior MemberJunior MemberJunior MemberJunior MemberJunior Member

Group: Forum Members
Last Login: 9/7/2007 12:58:47 PM
Posts: 64,
Post ID: 97005

Gosh, you seem to quoting I said $27 down to $19 and that mandatory overtime was the issues.  Actually I’m interviewing the former strikers right now to produce a movie (watch www.connselmerstrike.com for upcoming details how to order) that would explain just these very questions.
 
The strikers are saying it’s more then just a big pay cut some say as much at 50% (average $8).  Think about your wages, your skills and years you learn all that, then one day management comes in and says you will not be working for 50% less. Would that be ok?
 
The strikers are saying it’s more then overtime we always worked overtime but when HR Larry Knight talked to me and we discussed the contract he said it was the normal two days notice, I told him he was wrong I research the contract and it says two hours before quitting time you will have to stay and work overtime.  Would you like to cancel yours plans whenever your boss walks up and says Johnny everyone else gets to go but I’m going to hold you back per contract, this could be abuse?
 
The strikes wanted not the verbal understanding the company always leads the executive board on to believe but we ask this time to put it in writing all workers get to come back (we’re quoted saying that in the paper) This time we did not trust the company. Verbal understandings have been changing over the past contracts.
 
The strikers are saying their not sure they wanted to go back and work for a hostile management, they saw management sacrificing quality and it made the proud workers sick. 
 
We don’t expect your sympathy just your understanding that the strike was a bit more complicated then the standard labor dispute.

....
« Prev Topic | Next Topic »