Peavey to auction off $12 million worth of old unsold guitars, amps and raw materials

Rabs

https://guitar.com/news/peavey-to-auction-off-12-million-worth-of-unsold-guitars-amps-and-raw-materials/

Peavey Electronics is auctioning off a large stock of guitars, amps, pro-audio equipment, components, tools and wood that the company claims it no longer needs for its ongoing operations.

The auction – which includes new and customer-returned products that Peavey estimates is worth over $2 million, and $10 million worth of parts inventory – will take place on 7 August 2019 through the website of asset and capital recovery specialists, CA Global Partners.

While a full catalogue for the auction has yet to be published, the photos accompanying the initial listing show off a huge amount of new or near-new products from Peavey and its various sub-brands – including Valve-King and Vypyr amps, guitar cases, several of the company’s AT-200 self-tuning guitars, and even Budda amps.

In addition to the finished products, the auction also features a large amount of stock related to the making of guitars and amps – saws, drill presses, shapers, sanders, stitchers, presses and components – plus a “large amount” of wood, including maple, mahogany, ash and walnut.

This isn’t the first time Peavey has auctioned off its equipment and materials. Back in 2015, the company sold off a range of speaker and amplifier manufacturing equipment following the closure two of its Mississippi factories, after it moved production overseas due to “changes in the marketplace”.

Guitar.com reached out to Peavey, and COO Courtland Gray explained that the closure of those facilities is in part responsible for this sale.

“As we closed or consolidated a number of manufacturing locations, the excess items all ended up in our 300,000 sq ft warehouse facility,” Gray tells us. “We found the entire facility filled with baskets and pallets of parts no longer used, wood from old guitar manufacturing, necks and bodies that never made it into a completed guitars, and overly accommodated returns from dealers that got forgotten or were left untouched by our repair team.

“Short of another decade of trying to sell it bit by bit, we decided it easiest and most expeditious to have a professional auction company market and sell it. While the return won’t be what any of us want and far less than the fully reserved book value, it will enable us to rent out some or sell all of this facility.”

Peavey still produces guitars and amps in the USA – including the HP2 range of electric guitars, as well as Budda amps – and Peavey assures us that this auction of material and equipment will not have any impact on its USA manufacturing operations.

newi123

Bought stuff in 2015. Twas a bargain!

Sassafras

Better than crushing it all under a bulldozer.

impmann

Sadly no early 90s Peavey Odyssey’s - Id love to own one again

DrBob

I’m all about lot 168, 2 pallets of guitar machine heads ...

Musicman20

I imagine Andertons will be all over this. EPIC DEAL....but not for the customer. 

RichardT

There's been a 'back channel' for some of this stuff for some weeks now via the PV Appreciation Soc FB group.

SteveRobinson

DrBob said:

I’m all about lot 168, 2 pallets of guitar machine heads ...

They are crappy machine heads

guitars4you

Interesting how the Peavey line has 'diminished' in recent years - During the 80's and 90's the brand was in many stores - A dealership that many accounts wanted - It was never the 'best' product but it was the most popular 'middle ground' product - I use to equate it to a Ford dealership v any German motor line

The Bandit for example was probably the best selling 12" mid powered combo on the market place and along with Carlsbro PA, the Peavey PA line was utilised by many bands to solo artist

Big UK/EU distribution in Corby - Proactive USA company with massive expansion during the late 70's to 2000 - Now barely seen in any/many UK dealers other than a few smaller 'mums and pops' independents 

Of course always a few reasons for such a 'decline' - It might not be dead but it is 'sleeping' 

BeardyAndy

If shipping costs wasn't a factor and you had a few grand sitting around you could buy yourself a nice little pop up shop with this auction. 

SteveRobinson

And be stuck with $12m of unsellable junk until you die.

impmann

SteveRobinson said:

And be stuck with $12m of unsellable junk until you die.

This.
Hartley won’t be selling anything cheap he can make money on himself....

BeardyAndy

I wasn't suggesting buying the lot @SteveRobinson ;

But if you lived in Mississippi and bought a couple of lots at the right price you could rent an empty store for a couple of months and turn a quick profit.

57Deluxe

set up a crowdfunder whereby all who co-op get a prorata discount...

RichardT

RichardT said:

There's been a 'back channel' for some of this stuff for some weeks now via the PV Appreciation Soc FB group.

My mistake, having looked at the auction catalogue the stuff on FB is completely different - T-series and onwards bodies, necks, hardware etc.  - though presumably it's emerged from the same warehouse cleanout exercise.