FOR IMMEDIATE RELEASE
August 19, 2002
FENDER® & GRETSCH® JOIN FORCES
Iconic Companies Ink Deal,
Take Gretsch To Global Level
SCOTTSDALE, AZ - Fender Musical Instruments Corporation (FMIC) and Fred Gretsch Enterprises, Ltd. (Gretsch) proudly announce today that the two companies have entered into an agreement wherein FMIC has been granted the exclusive rights to develop, produce, market and distribute Gretsch guitars worldwide.
As part of the deal, which is effective as of January 1, 2003, FMIC will be responsible for all aspects of the Gretsch stringed instrument product lines and brand names, including Gretsch® guitars and basses, Synchromatic® guitars, Electromatic® guitars and Gretsch’s line of parts and accessories. Development of future new products, including Gretsch branded amplifiers, is also a part of the deal.
Citing FMIC’s success in worldwide sales, marketing and distribution as the reason for which it was considered a viable company to approach, Gretsch looks to expand its brand name awareness and market share with the help of FMIC’s established assets.
FMIC Chairman & CEO Bill Schultz, and Gretsch President Fred Gretsch, have also had a long term mutual respect for one and other, and the decision to work together in expanding the reach of Gretsch products to a global level is a perfect fit for these two iconic manufacturers.
Explains Fred Gretsch, “Our goal as a family business has always been to enjoy a steady growth as a company without sacrificing our ideals. Today’s Fender shares that same belief, and the Gretsch name deserves the benefit of working with a company that will help achieve our goals while maintaining our long time standards of quality and integrity. That’s Fender.”
Beginning January 1, 2003, FMIC will take over existing Gretsch inventory and they will begin to market and distribute the product to FMIC’s worldwide network of retailers and distributors.
Fred Gretsch has entered into a consulting agreement in which he will work with FMIC throughout the changeover, helping to create a smooth business transition and to ensure the integrity of The Gretsch Guitar Company’s 120-year heritage. He will also consult on product development and quality control, and he will continue to be an active part of Gretsch’s artist relations.
“These are very thrilling times for both Fender and Gretsch,” says Bill Schultz. “We are very much looking forward to working on expanding Gretsch’s reach around the world, and we are all excited that this will lead the way to the possibility of more American-made products in the future.”
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