audio research sells out good or bad ?

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!

Return On Investment is the driving force behind many problems in our economy. We have decided as a people that money is the most important thing in the world and the product or service is just a way to get some. Quality of product and service is just a B.S. slogan for far too many companies.

I just retired from Allstate Insurance after 30 years. When they went public 12 years ago they were number 6 in the top 12 insurance companies as regards measured customer service. Today they are number 11 - one more point drop and Allstate is the worst customer service provider in the business. But their profits have been huge and the stock is doing great, thank you. The company has substantially reduced staffing in all departments (especially claims) and profits have risen accordingly. Even though that company provides one of the worst products in the business, they are only concerned about short term profits and are continuing to gut the company to provide them.

I've always gotten a different impression from high end audio companies. I once was told by Nelson Pass (by phone) that he didn't think I, as a tube guy, would be happy with one of his amps. He sounded genuine and this is what makes me wants to actually buy a product from him. I had a similar experience with a high end speaker company. The company rep told me their speakers tend toward the lean and detail end of the spectrum. Advised me not to buy if I liked what he called "The middle body of the note". This is a company who builds products the old fashioned way - to their vision and the best way they know how and someone I'd like to do business with.

Who knows if they will still be producing the same quality components? From what I have read, William Z. Johnson was not sitting in an armchair directing the company. He was still designing many of those great reference pieces.