audio research sells out good or bad ?

Tomryan, your so right wallstreet and all foreign exchanges drive business today. And most of the major companies are run by younger ladies and gentlemen and in many cases they have never experienced tough economic times like we are going through today. Expected returns that are unattainable is where desperation and brand killing begins.

I don't think SGR is unintelligent. They have analyzed profits and probably have a reasonable expectation of Return On Investment, not an unreasonable one. That being said, expected ROI nowadays is 38-40%. In my particular industry that's insane, when we express that 25% is about all that's possible, they say "O.k.,we understand- we want 38-40%".
That seems to be pretty universal now.

The upside is that if they can attain those types of numbers, all will be well. Buying ARC gear instead of shying away will insure that nothing changes. With ARC's excellent level of customer support, they could take a hit in that department and still be very good, so I wouldn't lose much sleep over it.

Hopefully, they will keep manufacturing in Minnesota, seeing it change to China production would be the first thing to make me NOT consider buying ARC. I pays the bills and takes the lumps in the High End because it helps support products made in the US and other reasonable economies, if I wanted mass produced mass market garbage I would have a different hobby.

RFG

I would expect more HT from the new ARC now. While I do note the case studies of past buyouts I doubt things will be as doom and gloom as many have posted. Either way it will be fun to watch.

"Expected returns that are unattainable is where desperation and brand killing begins". So true.

Audio Research will not be hurt by this transaction ... if anything, it will be bettered by the input of more financial capital. All the personnel will remain and Terry Dorn, who has been the number two man behind Bill Johnson for several years, is now the president. Bill Johnson is "honorary chairman of the board." And, as he has always done, he will still be active in designing and refining ARC products. Even though he is 80 years of age, he is still in good health and still has those golden ears. He still spends part of the year in Minnesota and goes into the office regularly, and the other part of the year he works out of his home office in California. The quality of the ARC product will still be in the tradition of what William Zane Johnson has established over the past 30 odd years. He would never have allowed his company to be bought out if the quality of the product or his personnel were going to suffer. You can bet on that. I have enjoyed so many of the ARC products over the years, and I know I will continue to enjoy the music that ARC makes possible. I have on order now an LS26 preamp and the new VS115 power amp ... I can hardly wait to drive my Merlin VSM-MXe's with those glowing tubes!