AR's 50th

[ninohernes]

What month in 2004 will mark the 50th birthday of AR?

[tysontom]

>What month in 2004 will mark the 50th birthday of AR?

Probably October 1954 since that was the date that AR launched the AR-1. The company incorporated a little earlier than that, but was not officially in business until after the October New York Audio Show of that year. Also, October was the month that the AR 40th Birthday Party was celebrated, and who wants to have the anniversary during the heat of summer!

With the fate of AR now unclear, I doubt if a 50th anniversary will be done unless it is done by the afficionados in this group.

--Tom Tyson

[ninohernes]

This group should get together to celebrate, that would be neat to finaly meet everyone in person. Also, What is the current status of AR? I know that Recoton was bought by Gemini, and thats about it.

[tysontom]

>This group should get together to celebrate, that would be

>neat to finaly meet everyone in person. Also, What is the

>current status of AR? I know that Recoton was bought by

>Gemini, and thats about it.

Joe,

"The current status of AR" is to me a mysterious subject! I had the understanding that Gemini Industries was buying the assets of Recoton, Inc., but apparently they withdrew their bid back in June. I think Audiovox (to be a part of Audiovox Electronic Corp [AEC]) did purchase the assets for about $40M, but I do not know any details other than that.

Does anyone else have additional information on the current disposition of AR and the rest of the Recoton audio-products assets?

--Tom Tyson

[tysontom]

Let me answer my own question. I researched this and found that Audiovox definitely acquired the assets of Recoton, along with some debt. As to the future of AR I am not sure, but it obviously appears that Audiovox will certainly do something with it. Following, therefore, is the public press release -- for historical-information purposes only -- available off the Audiovox site:

HAUPPAUGE, N.Y., Jul 16, 2003 /PRNewswire-FirstCall via COMTEX/ -- Audiovox Corporation (Nasdaq: VOXX) today announced that its previously disclosed acquisition of the audio assets of Recoton Corp. has been completed.

The Company, through one of its wholly owned subsidiaries, acquired Recoton's U.S. audio operation, which includes the well known brands of Jensen, Advent and Acoustic Research in addition to Recoton German Holdings GmbH, an audio business with 2002 sales of $70 million for approximately $40 million and the assumption of $5 million of debt related to the acquired German subsidiary. This transaction combined with the already substantial market share of Audiovox, creates one of the largest U.S. audio suppliers of mobile entertainment products.

Pat Lavelle, President and CEO of AEC commented, "We believe this acquisition will enhance our current distribution and give us the opportunity to broaden our penetration in key retailers here in the United States as well as expand our product distribution in Europe." Lavelle continued, "Customers and suppliers alike have expressed their desire to rebuild the Jensen, Acoustic Research and Advent brands in the U.S. and Recoton Germany is already well-established with the number one market position in car amplifiers and speakers and number two in home speakers." Lavelle continued, "We have hired several of the Recoton sales, engineering and research and development staff members as well as some of the operational personnel. We will manage the acquisition from our New York offices, however we will keep an R&D facility in Lake Mary, Florida. Although there is much work to be done, I'm confident in our ability to rebuild the Jensen name and improve Audiovox's position in this market."

Audiovox Corporation is an international leader in the marketing of cellular telephones, mobile security and entertainment systems, and consumer electronics products. The Company conducts its business through two subsidiaries and markets its products both domestically and internationally under its own brands. It also functions as an OEM (Original Equipment Manufacturer) supplier to several customers. For additional information, please visit Audiovox on the Web at http://www.audiovox.com.

Except for historical information contained herein, statements made in this release that would constitute forward-looking statements may involve certain risks and uncertainties. All forward-looking statements made in this release are based on currently available information and the company assumes no responsibility to update any such forward-looking statement. The following factors, among others, may cause actual results to differ materially from the results suggested in the forward-looking statements. The factors include, but are not limited to: risks that may result from our ability to keep pace with technological advances; significant competition in the wireless, mobile and consumer electronics businesses; quality and consumer acceptance of newly introduced products; our relationships with key suppliers and customers; market volatility; non-availability of product; excess inventory; price and product competition; new product introductions; the possibility that the review of our prior filings by the SEC may result in changes to our financial statements; and the possibility that stockholders or regulatory authorities may initiate proceedings against Audiovox and/or our officers and directors as a result of any restatements. Risk factors associated with our business, including some of the factors set forth herein, are detailed in the Company's Form 10-K for the fiscal fourth quarter and year ended November 30, 2002 and its Form 10-Q for the three months ended May 31, 2003.

[ninohernes]

I sure hope that they dont disgrace the AR name like recoton did. They need to go back to the AR roots, an Acoustic Suspension loudspeaker system, and a good one, not some plastic junk!

[ToastedAlmond]

Let's see what happens. I didn't realize Audiovox was in Hauppauge, N.Y. About 1971 I worked at a Lafayette Radio Electronics warehouse in Hauppauge, filling orders outbound for the retail stores.

[Guest Bret]

>mysterious subject!<

Yes, it is, or was. After I read the Gemini deal I read something akin to the Acoustic Reseach *brand* being bought but not the company, or vise-versa.

I still think there ought to be an opportunity in here, somewhere, for a group of enterprising people who have a connection.

Anyone feel like a white knight? I know it's too late to really be a white knight. . . how about, "Anyone feel like a pirate?" At 3-5 times EBITDA (sans the cable and programmable remote control rebranding business) AR really ought to be CHEAP, shouldn't it?

Bret

[kkantor]

White Knight, White Feet, wasn't that an old Velvet Underground album????

Seriously, I've talked with several suitors over the year, and the problem is getting a handle on what AR "is" and what would take to build a company around what remains: 2 letters and some niche appeal. No engineering, no marketing, no manufacturing, no leadership, no product line. Further, distribution channels are FULL, and a re-start brand like AR has to be heavily financed to win back distribution. It WILL happen, this you can bet on. But the business and financing model is not a no-brainer.

-k

>

>Yes, it is, or was. After I read the Gemini deal I read

>something akin to the Acoustic Reseach *brand* being bought

>but not the company, or vise-versa.

>

>I still think there ought to be an opportunity in here,

>somewhere, for a group of enterprising people who have a

>connection.

>

>Anyone feel like a white knight? I know it's too late to

>really be a white knight. . . how about, "Anyone feel like a

>pirate?" At 3-5 times EBITDA (sans the cable and programmable

>remote control rebranding business) AR really ought to be

>CHEAP, shouldn't it?

>

>Bret