Audio Research Financial Troubles


Was wondering if anyone had noticed that there seems to be a lot of ARC for sale on this site (62 right now) and on eBay there is 268 listings for ARC. Is this in response to the rumor of ARC having financial troubles and people are worried they may go under. Does anyone have an update on this or other info or am I being paranoid? And has the demand for ARC equipment gone down due to this? It appears that the ARC stuff is not selling. Your thoughts.Thanks.

128x128skyhawk51

Showing 2 responses by ghdprentice

Audio Research’s problems are long over. Nothing to do with the viability of the business, but of a highly leveraged buy out by a great guy with the best intentions and a change in the interest rates. If there is some components available on-line, I would snap them up. Audio Research is going no where and they makes some of the very best components in their price range available. I know, I own quite a few of them.

@jetter 

 

 It’s all about cash flow. Ongoing operations have mismatches between purchases and the delay of revenue from sales as well as ongoing cash obligations to pay staff. It is a multi national company so it also has fluctuations in currencies… etc. etc. etc.  This is not in any way intended to be an exhaustive list. I have communicated with Trent (the former owner), and learned much more through my friend dealer who spoke to him often.  In addition there were tube cost increases. Anyway, it is a shame what happened, because he was doing great things for the company. The new owner is very committed and has deep pockets.