New York Philharmonic reports record deficit

Posted on: January 11, 2010

In Sunday’s (1/10) New York Times, Daniel J. Wakin reports, “The New York Philharmonic has reported a record deficit for last season, $4.6 million, and projects a shortfall of about $4 million this season. Eric Latzky, the orchestra’s spokesman, said on Friday that the reason for last year’s red ink was a shortfall in annual fund-raising amid the recession; the orchestra fell shy of its $25 million goal by $3.75 million. ‘We are dealing with longer-term deficits now,’ Mr. Latzky said. ‘There is no question that the economic environment has had a significant impact on the New York Philharmonic. We’re looking for solutions for that situation.’ Mr. Latzky said some measures had already been taken, including staff salary freezes, scaled-back parks concerts and the use of fewer substitute players. ‘Our goal is to protect the artistic vision, absolutely, and to build’ on that vision, he said. Last season’s budget of $64.5 million has risen to $68.9 million this season. As at any orchestra, the largest expense comes from musician salaries and benefits. The orchestra’s contract expires after next season. Mr. Latzky declined to comment on whether management would seek a reduction in compensation.”

Posted January 11, 2010