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Before Steinway Goes Private, Here’s an Inside Look at the Famous Factory

The Business Insider
Daily Ticker
Before Steinway Goes Private, Here’s an Inside Look at the Famous Factory

Steinway Musical Instruments (LVB) is about to be taken private in a $438 million deal with an affiliate of Kohlberg & Company, a private equity investment firm.

Last year we toured the Steinway & Sons factory in Astoria. (Watch the above video to see the inside of the Astoria factory, courtesy of Mamta Badkar/Business Insider.) The company is a subsidiary of Steinway Musical Instruments with two factories: one in New York, the other in Hamburg.

Steinway prides itself on having retained manufacturing jobs in the U.S. since all its Grand pianos are made here.

It does however manufacture and market its two lower end Boston and Essex pianos in Asia.

Sales for the company were hit in the New York area and across the world during the recession, with 'hobbyist' buyers cutting back on spending.

At the time, Steinway cut a third of its New York staff, reducing the Astoria factory head count to 215, from about 300.

But the New York market recovered quickly. In fact, in 2011 the company sold 2,013 Grand pianos, not including upright pianos. In the last decade the company averaged about 3,300 grand pianos a year.

See photos and read more: http://www.businessinsider.com/steinways-new-york-factory-photos-2013-7?op=1#ixzz2XoSadVqe

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