Immediate priorities will be to review the current business operations, establish the overall direction of the organizations and implement business programs and procedures to obtain maximum profits. Rice commented: "Cerwin Vega has been a household name for many years, synonymous with value and bass. It has broad brand recognition in just about every speaker category - mobile/car, hi-fi, multi-media and pro - but has limited market share. This is because during the last few years the company has not reverse engineered products that consumers were asking for, nor at the prices they were willing to pay."
He is confident that the company has the skilled workforce capable of turning its fortunes around. "Our biggest priorities are to staff up, develop new products and rapidly bring them to market, cut costs through better procurement and out-hustle our competition," he continued. "There is huge upside, especially at a time when the speaker markets are expected to grow."
To expedite this, the Stanton Group will shortly be integrating KRK Systems into the Cerwin Vega operation in Simi Valley. "The engineering and marketing integration will bring new technology to CV, while KRK will enjoy CV's experienced high-volume manufacturing resources."
Before joining Cerwin Vega and KRK, Dave Rice had developed a successful career in MI retail - most recently as general merchandising manager for Musician's Friend; he was also pro audio, recording and DJ buyer for Guitar Center and president of California-based Pro Sound & Stage Lighting.
Welcoming him aboard, Gerard Cohen commented: "We are very fortunate to have Dave at the helm of Cerwin Vega and KRK. His extensive industry experience will be a significant asset to the organization and a significant force in poising the companies for future growth."
(Lee Baldock)
