Steinway Announces Agreement in Principle to Sell Band Division

       Steinway Announces Agreement in Principle to Sell Band Division

PR Newswire

WALTHAM, Mass., Jan. 20, 2012

WALTHAM, Mass., Jan. 20, 2012 /PRNewswire/ --Steinway Musical Instruments,
Inc. (NYSE: LVB), one of the world's leading manufacturers of musical
instruments, announced today that it has reached an agreement in principle to
sell its band division to an investor group led by two current directors of
the Company: Dana Messina, former CEO, and John Stoner, Conn-Selmer President.
Samick Musical Instruments Co. Ltd, the owner of 33% of the Company's common
stock, will provide a portion of the financing and acquire a significant
equity interest in the buyer.

The parties expect to execute a definitive Purchase and Sale Agreement,
subject to committed financing, in the next 30 to 60 days. The definitive
agreement will include a "go-shop" provision under which the Special Committee
of the Board of Directors will be permitted to solicit, receive, evaluate and
enter into negotiations with respect to alternative proposals for a 60-day
period. The Special Committee, with the assistance of its advisors, will
actively solicit alternative proposals during this period. There can be no
assurance that this process will result in a superior offer and there can be
no assurance that the Company will enter into a definitive agreement for any
transaction or that any transaction will be completed.

About Steinway Musical Instruments
Steinway Musical Instruments, Inc., through its Steinway and Conn-Selmer
divisions, is a global leader in the design, manufacture, marketing and
distribution of high quality musical instruments. These products include Bach
Stradivarius trumpets, Selmer Paris saxophones, C.G. Conn French horns,
Leblanc clarinets, King trombones, Ludwig snare drums and Steinway & Sons
pianos. Through its online music retailer, ArkivMusic, the Company also
produces and distributes classical music recordings. For more information
about Steinway Musical Instruments, Inc. please visit the Company's website at

"Safe Harbor" Statement Under the Private Securities Litigation Reform Act of
This release contains "forward-looking statements" which represent the
Company's present expectations or beliefs concerning future events. The
Company cautions that such statements are necessarily based on certain
assumptions which are subject to risks and uncertainties which could cause
actual results to differ materially from those indicated in this release.
Further information on these risk factors is included in the Company's filings
with the Securities and Exchange Commission.

|Contact:  |Julie A. Theriault    |
|Telephone:|781-894-9770          |
|Email:    ||

SOURCE Steinway Musical Instruments, Inc.

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