Steinway Announces Early Termination of HSR Waiting Period

          Steinway Announces Early Termination of HSR Waiting Period

PR Newswire

WALTHAM, Mass., Sept. 5, 2013

WALTHAM, Mass., Sept.5, 2013 /PRNewswire/ --Steinway Musical
Instruments,Inc. (the "Company") (NYSE: LVB), a global leader in the design,
manufacture, marketing and distribution of high quality musical instruments,
and investment firm Paulson & Co. Inc. ("Paulson") today announced that the
Federal Trade Commission (the "FTC") has granted early termination of the
waiting period under the Hart-Scott-Rodino Antitrust Improvements Act of 1976,
as amended (the "HSR Act"), relating to the previously announced proposed
acquisition (the "Acquisition") of all outstanding shares of common stock of
the Company by Pianissimo Acquisition Corp. ("Purchaser"), an affiliate of
Paulson. Accordingly, the condition to the closing of the Acquisition with
respect to the expiration of the applicable waiting period under the HSR Act
has been satisfied.

As previously disclosed, on August 21, 2013, Purchaser commenced a cash tender
offer to acquire all of the outstanding shares of the Company's common stock.
Upon the successful closing of the tender offer, stockholders of the Company
who tender their shares in the tender offer will receive $40.00 per share, net
to the seller in cash, without interest thereon and less any applicable
withholding taxes. The tender offer is being made pursuant to an offer to
purchase and a related letter of transmittal, each dated August 21, 2013, as
amended from time to time, and a merger agreement entered into on August 14,
2013 by and among the Company, Pianissimo Holdings Corp. ("Parent") and
Purchaser. Pursuant to the merger agreement, after completion of the tender
offer and the satisfaction or waiver of all conditions, Purchaser will merge
with and into the Company and all outstanding shares of the Company's common
stock, other than shares held by Parent, Purchaser, the Company or any of
their respective subsidiaries or shares held by the Company's stockholders who
validly exercise appraisal rights under Delaware law, will be converted into
the right to receive $40.00 per share, in cash, payable without interest
thereon and less any applicable withholding taxes.

The tender offer will expire at midnight, New York City time, at the end of
the day on September 18, 2013, unless extended in accordance with the terms of
the merger agreement and the applicable rules and regulations of the
Securities and Exchange Commission (the "SEC"). The completion of the tender
offer remains subject to certain conditions as described in the tender offer
statement on Schedule TO filed by Parent, Purchaser and Paulson with the SEC
on August 21, 2013, as amended from time to time.

About Steinway Musical Instruments,Inc.

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
www.steinwaymusical.com.

About Paulson& Co. Inc.

Paulson& Co. Inc. is an investment management firm with approximately US$18
billion in assets under management and has offices in New York, London and
Hong Kong.

Notice to Investors

This press release is neither an offer to purchase nor a solicitation of an
offer to sell any securities. The solicitation and the offer to buy shares of
the Company common stock has been made pursuant to a tender offer statement on
Schedule TO, containing an offer to purchase and related tender offer
documents, filed by Purchaser, Parent and Paulson with the SEC on August 21,
2013. The Company filed a solicitation/recommendation statement on Schedule
14D-9 with respect to the tender offer with the SEC on August 21, 2013. The
tender offer statement (including an offer to purchase, a related letter of
transmittal and other tender offer documents) and the
solicitation/recommendation statement, each as may be amended from time to
time, contain important information that should be read carefully before
making any decision to tender securities in the tender offer. These materials
will be made available to the Company's stockholders at no expense to them and
may also be obtained by contacting the Company's Investor Relations Department
at 800 South Street, Suite 305, Waltham, Massachusetts 02453, telephone number
(781) 894-9770 or ir@steinwaymusical.com. All of these materials (and all
other tender offer documents filed with the SEC) will also be made available
at no charge at the SEC's website (www.sec.gov).

Cautionary Notice Regarding Forward-Looking Statements

This press release contains forward-looking statements with respect to the
tender offer and related transactions, including the benefits expected from
the acquisition and the expected timing of the completion of the transaction.
When used in this press release, the words "can," "will," "intends,"
"expects," "is expected," similar expressions and any other statements that
are not historical facts are intended to identify those assertions as
forward-looking statements.Such statements are based on a number of
assumptions that could ultimately prove inaccurate, and are subject to a
number of risk factors, including uncertainties regarding the timing of the
closing of the transaction, uncertainties as to the number of stockholders of
the Company who may tender their stock in the tender offer, the possibility
that a governmental entity may prohibit, delay or refuse to grant approval for
the consummation of the transaction, and general economic and business
conditions.The Company does not assume any obligation to update any
forward-looking statement, whether as a result of new information, future
events or otherwise.Risk factors that could cause actual results of the
tender offer to differ materially include the following: failure to obtain
any regulatory approvals or satisfy conditions to the transaction, the
inability to obtain adequate financing, the risk that the Company's businesses
will suffer due to uncertainty related to the transaction, the competitive
environment in our industry and competitive responses to the transaction as
well as risk factors set forth above. Further information on factors that
could affect the Company's financial results is provided in documents filed by
the Company with the SEC, including the Company's recent filings on Form 10-Q
and Form 10-K.

Company Contact:                   Investor Relations Contact:
Julie A. Theriault                 Harriet Fried
Steinway Musical Instruments,Inc. LHA
(781) 894-9770                     (212) 838-3777
ir@steinwaymusical.com             hfried@lhai.com
Paulson Contact:

Dawn Dover

Kekst and Company

(212) 521-4817

dawn-dover@kekst.com

SOURCE Steinway Musical Instruments, Inc.

Website: http://www.steinwaymusical.com
 
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