Louisville Orchestra musicians say filed documents underestimate assets

Posted on: June 14, 2011

In Tuesday’s (6/14) Courier-Journal (Louisville, Kentucky), Elizabeth Kramer writes, “The legal dispute between the Louisville Orchestra and its musicians’ association continued Monday as the players questioned the numbers behind one of the documents the orchestra recently filed in federal bankruptcy court. In an objection filed with the court, the Louisville Orchestra Musicians’ Association argued that the numbers in the orchestra’s disclosure statement lack sufficient background and detail to be credible. They also argued that the orchestra has made estimates that undervalue its assets, including its music library and many of the instruments it owns. … Orchestra officials, who filed their statement May 30 in support of their reorganization plan, did not respond to the musicians’ filing Monday. … Rob Birman, the orchestra’s chief executive, declined to comment because he had not yet seen the musicians’ objection. … While the orchestra projected that it would generate just over $300,000 if forced to liquidate its assets, the musicians said that underestimated the value of those assets. … The musicians are asking the court not to approve the disclosure statement and to terminate the orchestra’s exclusivity period, during which only management can offer a reorganization plan. This would allow other parties to submit reorganization plans for the orchestra.”

Posted June 14, 2011