The iconic Japanese guitar company, founded in 1969, is known for instruments played by Genesis' Steve Hackett, Kirk Hammett, Robert Fripp, and others.
Fernandez Co., Ltd. ceased operations on July 11. The company posted a notice at its headquarters stating: "We are currently burdened with a considerable amount of debt to multiple creditors, and unfortunately, we are unable to continue our business."
From tsr-net.co.jp:
"The total amount of debt is 433.89 million yen (as of the fiscal year ending January 2024).
The company's business is centered on the sale of the domestic electric guitar brand "Fernandes." The brand is well-known, having signed licensing agreements with famous artists, and it also opened a training school for guitar craftsmen.
In addition to guitars, the company also sold basses, amplifiers, and effects, and manufacturing was generally outsourced. Although there was no capital relationship between the two companies, the company sold its products to Osaka Fernandes Co., Ltd. (Kita-ku, Osaka City), which had a close relationship with the company, as well as to music stores nationwide, and also exported to the United States and other countries. In the January 1999 period, the company's annual sales reached 4 billion yen.
However, in recent years, the company's performance has deteriorated due to the emergence of the second-hand market and intensifying competition. The company attempted to make a comeback by creating a catalog and releasing new products, but in the January 2022 period, sales fell to 166.08 million yen and the company recorded a final deficit of 24.14 million yen. Furthermore, Osaka Fernandes was ordered to start bankruptcy proceedings by the Osaka District Court on April 26, 2023, due to sluggish sales and other factors. As the company's credit also declined, its cash flow reached its limit and it became difficult to continue its business."
