<HTML><FONT FACE=arial,helvetica><FONT SIZE=2>The latest news...
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<BR>Bill Bremmer RPT
<BR>Madison, Wisconsin
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<BR>Baldwin Piano & Organ Company Announces Debtor In Possession Financing
<BR>Arrangement With General Electric Capital Commercial Finance Inc. And
<BR>Delisting By The Nasdaq Stock Market</FONT><FONT COLOR="#000000" SIZE=5 FAMILY="SANSSERIF" FACE="Arial" LANG="0"><B>
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<BR></FONT><FONT COLOR="#000000" SIZE=2 FAMILY="SANSSERIF" FACE="Arial" LANG="0"></B>
<BR>MASON, Ohio, June 27 /PRNewswire/ -- Baldwin Piano & Organ Company announced
<BR>today that it has entered into a debtor in possession financing arrangement,
<BR>subject to Bankruptcy Court approval, with General Electric Capital
<BR>Commercial Finance (GECC). The loan will permit the Company to continue its
<BR>reorganization/restructuring efforts under the protection of the United
<BR>States Bankruptcy Code. Mr. Bob Jones, chief executive officer and president
<BR>of Baldwin, in a statement, said, "This lending arrangement will provide
<BR>Baldwin the opportunity to continue its restructuring efforts and devote its
<BR>energies to its day-to-day operations. GECC's commitment, coupled with our
<BR>enhanced efficiencies, will permit the Company to engage in its normal course
<BR>of business during the traditionally slow summer season in the piano
<BR>manufacturing industry. Current management will continue to explore any and
<BR>all alternatives to enhance values, increase performance, and produce quality
<BR>pianos."
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<BR>Mr. Kenneth W. Pavia, chairman of Baldwin, stated "Management continues to
<BR>implement its restructuring plans. GECC, our primary lending partner, has
<BR>permitted us to continue our operations, meet our current obligations, and
<BR>begin to build a new Baldwin Piano & Organ Company. I am optimistic in
<BR>regard to the direction of the Company and look forward to its eventual
<BR>success."
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<BR>In an unrelated matter, the Company announced the delisting of the Company's
<BR>stock on Nasdaq. In a letter to the Company dated June 19, 2001, Nasdaq cited
<BR>the Company's recent bankruptcy filing and Nasdaq Marketplace Rules 4450(f)
<BR>and 4330(a)(3) as determining factors in its decision. Mr. Jones, in a
<BR>statement, said, "While we regret Nasdaq's decision, the Company understands
<BR>the ramifications of it seeking protection under Chapter 11 of the United
<BR>States Bankruptcy Code. We look forward to restructuring the Company,
<BR>regaining investor confidence, and applying for future listing on Nasdaq. In
<BR>the interim, our stock is eligible to trade in the over-the-counter market."
<BR>Mr. Pavia stated that "While Baldwin's current shareholders continue to
<BR>suffer, the Company is proceeding to disentangle itself from the horns of the
<BR>legacy issues which have negatively impacted performance." </FONT></HTML>