INDIANAPOLIS (December 19, 2007) — As part of the International CES Best of Innovations Design and Engineering Awards program, the Consumer Electronics Association (CEA) and the Industrial Designers of America (IDSA) have recognized Klipsch’s Image headphones and XF-48 floorstanding speaker as being among the best designed and engineered products for 2008. 

Since 1989, the Innovations program has provided a showcase for the industry’s top creative products. This year a preeminent panel of independent industrial designers, engineers and members of the trade press honored exceptional consumer electronics products in 32 categories. Image and the XF-48 were selected as honorees in the headphone and home theater divisions respectively.

About Image Headphones 

Image is the world’s smallest, lightest full-range in-ear headphone design.

It utilizes patent-pending Contour Ear Gels that are anatomically designed to accurately fit inside the human ear canal. These soft, oval silicon tips reduce ear fatigue as well as provide an amazing seal for excellent noise isolation and increased bass response.

In order to continue Klipsch’s 60-plus years of delivering stunningly precise audio, Image employs extended-frequency exclusive KG926 balanced micro-armatures.

Image headphones features aluminum bodies finished in anodized copper and sleek, aerodynamic-shaped black “tails.” These flexible “tails” reduce cable stress and serve as an acoustic dampener to minimize cable noise.

Priced at $349, Image works with the iPhone™ and virtually any device that has a standard headphone jack. These headphones also come with a carrying case and pouch, a ¼-inch adaptor, an airline adaptor, five sets of different-sized ear gels, and an ear gel cleaning tool.

About the ICON Series XF-48 

A perfect complement to flat-panel displays, the fully active XF-48 floorstander—the flagship model in Klipsch’s ICON Series—employs dual high-output fiberglass cone woofers with powerful neodymium motor structures and two passive radiators to unleash the kind of bass you hear and feel.

But what makes this speaker remarkably superior is an all-new, patent-pending Tractrix® Horn-loaded tweeter with XT™ technology. For over 60 years, horns have been the driving force behind Klipsch’s stunningly precise sound, and this latest design moves the company farther ahead by allowing the slender XF-48 to deliver an extremely smooth response with constant directivity.

The XF-48 has a beautifully crafted aluminum extruded enclosure that features an anodized black-grain finish and high-gloss black accents. It is shipping now and can be purchased through the specialty retail market for $2,498 a pair.

Image and the XF-48, along with all of this year’s Innovations winners, will be on display in the Innovations Showcase at the Sands Expo and Convention Center/The Venetian at the 2008 International CES.

INDIANAPOLIS (October 24, 2007) — Since 1946, Klipsch has trusted horn-loaded technology to deliver its accurate, efficient and compromise-free acoustics. While Klipsch founder and audio pioneer Paul W. Klipsch received his first loudspeaker horn patent in February 1943, the company’s latest horn patent was issued earlier this month.

Roy Delgado, Klipsch principal engineer of commercial products, designed the skew horn for a loudspeaker, which was issued as patent #7,275,621. Delgado, who has worked for the company for 21 years and secured a total of three patents, also has two other horn designs awaiting patent approval and one in the application stage.

“It took me eight months to design the skew horn. I had some issues along the way but stayed completely motivated as I love a challenge,” said Delgado. “I am glad I stuck with it, as it is now a proprietary technology that lets Klipsch manufacture wide dispersion speakers that fill a broad area with smooth, consistent sound, while also reducing the number of speakers required in an installation.”

The company’s customary horn technology allows its traditional “box” products to deliver a focused, symmetrical sound coverage, but it is a design that doesn’t always suit surround speakers, especially in-wall models. Because they lie flush with the wall, it is very difficult for in-wall surround speakers to cover a wide area with high-performance sound.

The skewed horn solves the problem by providing extraordinarily wide and consistent coverage. It does so by applying either two vertically or horizontally stacked exclusive Skewed Tractrix® Horn-loaded tweeters that point in opposite directions. The technology, currently featured in the Klipsch R-5650-S and KS-7800-THX in-wall surround speakers, outperforms conventional designs by maximizing dispersion, clarity and efficiency, while minimizing room interactions that blur sonic detail.

According to Jim Hunter, Klipsch senior director of engineering operations, applying for a patent is not an easy task. It is a long process that is measured in years. In fact, the company applied for the skewed horn patent in 2004. The process, however, can be drawn out even longer as Klipsch is still waiting to receive a patent on a separate application that was filed six years ago.

Once a “unique” idea is established, it is then up to the Klipsch engineering team to do a patent search. And according to Hunter, many times it is discovered that an idea is not so “unique.” “There’s the old saying, ‘the ancients are stealing our inventions,’" he laughs. “With the millions of patents that are out there, it’s really difficult to be the first one to come up with an exclusive design.”

When a company deems a design concept unique, a patent attorney typically gets involved. The attorney puts a legal spin on the patent application before it is submitted. Then, the application sits in an examiner cue where it waits to be reviewed. Hunter mentioned that an application may have to be re-filed several times before it gets approved.

In addition to be being a lengthy process, patent applications can be very expensive. According to Hunter, it can cost as much as $20,000, with the majority of the amount going towards legal fees, and that’s if everything goes smoothly.

United States patents are good for 17 years. After that, anyone can utilize the information for free. “A patent is an exchange,” said Hunter. “The inventor shows the world how to do something, and the world lets him or her use it exclusively for 17 years.”

List of 30 patents associated with Paul W. Klipsch and/or the Klipsch company: 

Patent #	Date	Description
2,205,982	June 1940	Firearm Design
2,230,803	February 1941	Wave Network
2,231,013	February 1941	Prospecting with AC Current
2,232,612	February 1941	Recording Seismic Waves
2,232,613	February 1941	Seismic Prospecting
2,238,023	April 1941	Equalizer
2,243,418	May 1941	Electrical Prospecting
2,251,549	August 1941	Electrical Mixing Circuit
2,293,024	August 1942	Methods of Electrical Prospecting
2,302,699	November 1942	Firearm Vibration Control
2,310,243	February 1943	Loudspeaker Horn
2,373,692	April 1945	Loudspeaker Design
2,450,003	September 1948	Rotating Band Tester
2,537,141	June 1951	High Frequency Horn
D-163700	June 1951	Room Corner Loudspeaker
2,612,558	September 1952	Crossover Network
2,731,101	January 1956	Rebel Loudspeaker
3,330,966	July 1967	Logarithmic Converter Circuit
D229566	December 1973	Belle Klipsch Loudspeaker
4,138,594	February 1979	Folded Horn Loudspeaker
D253699	December 1979	Professional Loudspeaker System
D253700	December 1979	Professional Midrange Speaker
D253819	January 1980	Low Frequency Loudspeaker
D254491	March 1980	High Frequency Loudspeaker
4,210,233	July 1980	Bifurcated Path Low Frequency Horn
4,237,340	December 1980	LB-76 Crossover Network
4,387,786	June 1983	Anechoic Chamber Design
5,000,286	March 1991	Modular Loudspeaker System
5,898,138	April 1999	Loudspeaker Having Horn Loaded Driver and Vent
7,275,621	October 2007	Skew Horn for a Loudspeaker

INDIANAPOLIS (November 26, 2007) — At last month’s two-day Hilly Hundred biking event in Southern Indiana, a team of 20 cyclists from Klipsch, a locally-based speaker company, proudly pedaled 100 miles in support of their health and the Indiana Children’s Wish Fund (ICWF), a not-for-profit organization that grants wishes to Indiana children with life-threatening illnesses.

Through the generosity of its employees and outside sponsors, including Five Seasons Sports Club, Klipsch raised $6,300 for ICWF. More importantly, a 15-year-old girl with chronic and severe asthma will soon be traveling with her family to Walt Disney World in Orlando, Fla.

Mike Klipsch, president of Klipsch, along with ProMotion Fitness, an outside firm that manages the Klipsch wellness program, spearheaded the ICWF fund-raising efforts.

According to Mike Klipsch, Klipsch instituted its employee wellness program four years ago, and when preparing its fiscal year 2008 health plan, he decided to merge the company’s fitness and charitable goals, resulting in the Klipsch/ICWF Hilly Hundred Challenge.

“I wanted to put a fresh ‘spin’ on fitness, fundraising and fellowship, especially since several Klipsch employees, including myself, are avid cyclists,” says Mr. Klipsch. “My goal for the Hilly Hundred Challenge was two-fold. Not only did it benefit a worthy cause and get us out in the community, it was a fun way to promote employee health.”

According to 56-year-old Gary Westfall, a cost accountant for Klipsch, the company wellness program and Hilly Hundred changed his life. After partaking in a Klipsch-sponsored health assessment four years ago, he received some unfavorable results, prompting him to get a physical. Much to his surprise, Gary discovered he was a diabetic and showed signs of once having a heart attack.

“I immediately changed my lifestyle,” says Westfall. “Today, through a healthy diet and exercise regime, I’ve lost 47 pounds and am no longer a diabetic. It took me a year to train for the Hilly, but it was well worth it as I helped make a child happy and benefited my health. In fact, participating in the event was one of the better things I’ve done in my life.”

Every Klipsch employee who participated in the Hilly, logged over 50 hours of cardio with ProMotion and raised $100 for ICWF, received a free Klipsch jersey and pair of biking shorts. Klipsch ordered additional biking gear to sell on its web site with all the proceeds going to ICWF.

For employees who could not participate in the Hilly, but still wanted to help out, Klipsch hosted a special wear-jeans-to-work day that raised $455. Each employee had to donate $5 to ICWF in order to dress casual.

According to Terry Ceaser-Hudson, executive director of the Indiana Children’s Wish Fund, an average wish costs $5,500. Since its founding in 1984, the organization has made nearly 1,700 dreams come true. This year alone, ICWF will have granted 130 kids between the ages of three and 18 their wishes.

“Klipsch has been a great partner and we appreciate their dedication to this event,” says Ceaser-Hudson. “Their employees are driven and devoted and most importantly, they understand the importance of granting a wish for an Indiana child.”

About Indiana Children’s Wish Fund 

Indiana Children’s Wish Fund, a 501C-3 not-for-profit organization, grants wishes to Indiana children, ages 3-18, who suffer from a life-threatening illness. Wishes range from trips to Disney, meeting celebrities, shopping sprees and much more. An average wish costs $5,500 and funding for wishes is made possible through the support of corporate donation, individuals and fundraising events. To date, the organization has granted nearly 1,700 wishes for Indiana children. For more information regarding Indiana Children’s Wish Fund, go to: www.indianachildrenswishfund.org

INDIANAPOLIS (July 6, 2007) — Much like the Grateful Dead generated a tightly-knit community of “Deadheads” through its concert experiences, the Klipsch speaker company has inspired its own set of dedicated cult-status followers by way of an online forum, consisting of over 25,000 active members.

For the past six years, Klipsch has honored its passionate fans by hosting an annual summer Pilgrimage. An event that allows them to meet Klipsch staff and fellow forum members, tour the company’s facility, listen and comment on product demonstrations, win high-performance audio products, as well as enjoy a commemorative meal.

This year’s gathering, which took place at the company’s headquarters in Indianapolis, Ind. on June 23, brought in 80 forum members from all over the country, including one from Canada. In fact, half were return attendees from the previous year.

Forum member Mike Hurd, 29, of Nipigon, Ontario drove 998 miles to participate in the one-day event. “The trip was absolutely worth it,” he said. “Meeting the forum fanatics face-to-face was priceless, as well as listening to wonderful new product.”

According to Hurd, he first heard Klipsch when he was 16 years old and it turned him into a fan for life. “Listening to those Klipschorns burned an image in my mind, one of utter disbelief of how good they sounded,” he commented. “As far as I am concerned, Klipsch makes performance their number one priority, regardless of product category. Their speakers consistently deliver top-notch performance for less than their closest competitors.”

A visit to the klipsch.com forum will further demonstrate the devotion these folks hold for the Klipsch brand. Christy Luquet, screen name D’tel’s wife, of Picayune, Miss. made this post after attending this year’s Pilgrimage, “Klipsch as always … is one of the best companies in America to do business with.”
Additionally, Chad Miller, screen name Mace, of West Lafayette, Ind. posted, “Wow. What a great day! Many thanks to the Klipsch team … Great facility, great people, great products. First class all the way around …”

“These online ambassadors, many of which have earned ‘industry expert’ reputations, are essentially trusted ‘human yellow pages’ for us,” said Mike Klipsch, president of Klipsch. “It’s because we understand their value and appreciate their devotion that we host our annual Pilgrimage.”

Mr. Klipsch also said that Klipsch is one of the few manufacturers in the consumer electronics industry to offer such a broad, unregulated forum for consumers to share information, troubleshoot, and, in some cases, blow off a little steam.

“We don’t edit anything on the Klipsch.com forum,” said Klipsch. “We leave it all there—good and bad. We’ve received a lot of great feedback from this free-expression experiment. And it’s resulted in a Klipsch community with an incredibly high level of genuine customer intimacy and positive interaction. And to give you an idea of how this forum has grown, we had a little over 5,000 members in 2001, today we have over 25,000!”

LOS ANGELES (January 22, 2007) — Klipsch Audio Technologies announced today that it is hosting the upcoming post-premiere parties for two of Sundance Film Festival’s most anticipated films: Black Snake Moan, starring Samuel L. Jackson, Justin Timberlake and Christina Ricci, and Chapter 27, with Jared Leto and Lindsay Lohan. The post-premiere party for Black Snake Moan will be held on January 24 and Chapter 27’s will be held on January 25 in Park City, UT. Both events promise to be main destinations for top stars, and will serve as a celebration of Klipsch Audio Technologies’ growing commitment to organically supporting cinema’s most compelling independent films.

“Klipsch Audio Technologies has chosen to support Black Snake Moan and Chapter 27 because these two extraordinary films and its stars echo our core values of power, detail and emotion,” said Judy Klipsch, vice chairman of the Klipsch Group. “Partnering with these films and supporting their releases is a natural fit for the brand, as the stars in these films have made successful crossovers from film to music, music to film, just as Klipsch has expanded beyond its core strength of audio technology to achieve greatness.”

The collaboration between both films and Klipsch, a leader in home entertainment and audio technology, is part of the company’s ongoing involvement in the entertainment industry at large. As part of their commitment to supporting the film industry, in 2005, Klipsch outfitted the historical Aidikoff Theater in Beverly Hills with a state of the art cinema sound system in order to provide the ultimate sound experience for screenings for celebrities, industry influencers and the press. In addition, Klipsch has executed numerous entertainment marketing initiatives in both film and music at marquee events such as the MTV Video Music Awards, the ESPY Awards, the Grammys, and the Sundance Film Festival.

About the Films:
Black Snake Moan, a Paramount Vantage film, stars Samuel L. Jackson, Justin Timberlake, and Christina Ricci. Set in a small Tennessee town, Black Snake Moan tells the story of two unlikely souls who are about to be drawn together at the sticky crossroads between rage and love. It will premiere at the Sundance Film Festival on January 24.

Chapter 27 is set in New York City, December 1980 and tells the story of a young man, Mark David Chapman (Jared Leto), who arrives in New York with the intent to kill John Lennon. A depressed and unstable soul, Chapman is torn between his love and awe for John Lennon's persona and his desire to kill Lennon in order to gain notoriety for himself. Scheduled to premiere at the Sundance Film Festival on January 25, Chapter 27 also stars Lindsay Lohan as Judy, a fan of John Lennon who makes friends with Champman.

For inquires on both post-premiere events:
Tom Meyer-Klipsch
Explicit Events
323.525.1024
info@explicitevents.com

For inquiries about Black Snake Moan:
Bladimiar Norman
Paramount Vantage
732.979.3340
Bladimiar.Norman@paramountvantage.com

For inquiries about Chapter 27:
Craig Bankey
PMK/HBH Public Relations
310.289.6200
craig.bankey@pmkhbh.com

INDIANAPOLIS (October 16, 2007) — Last May, Fred S. Klipsch, chairman and CEO of multi-brand global loudspeaker company Klipsch Group, Inc., donned a dark robe and angular cap and shook several Ph.D.-level hands while receiving an honorary degree at Purdue University’s spring commencement ceremony.

The Purdue Trustees and state of Indiana selected Mr. Klipsch for a doctor of technology based on his lifelong credentials. Mr. Klipsch has successfully distinguished himself as an entrepreneur and philanthropist whose record of significant accomplishments and contributions to business, industry, higher education and charitable organizations spans nearly half a century.

“To be recognized by your peers in any area is clearly a great honor,” said Klipsch. “For that recognition to be an honorary Ph.D. from Purdue University exceeds any reasonable expectation.”

In addition to his Klipsch Group involvement, Mr. Klipsch serves as vice chairman of Health Care REIT, Inc. (NYSE:HCN). His most important charitable contribution has been working with the Educational Choice Charitable Trust, an organization that provides alternative private school education options to economically disadvantaged families in Indianapolis, Ind.

According to Dr. Matthew Stephens, a professor in Purdue’s industrial technology department and steward of Mr. Klipsch’s nomination, an honorary degree is one of higher education’s most significant accolades.

“We do not take honorary degrees lightly,” said Stephens. “Recipients are people who have done great things for industry and mankind. They must be a true citizen of the world and Dr. Klipsch falls into that category.”

The honorary degree process starts with a preliminary evaluation and if considered valid, moves through several committees consisting of professors, deans and department heads before finally reaching the university president and board of trustees where the final decision is made. Additionally, friends, co-workers, business partners and the like are asked to submit testimonial letters to Purdue on the nominee’s behalf.

Stephens said it is an extremely tough evaluation process, and many times nominees don’t even realize they are being considered for the degree. “We try to keep everything confidential as we don’t want to get someone’s hopes up. It’s that hard to get this kind of recognition from our university,” he said.

Mr. Klipsch is an avid, ongoing supporter of Purdue University and its College of Technology. According to Dennis Depew, dean of the College of Technology, Mr. Klipsch is a highly valued member of the Dean’s Executive Council. “We are very appreciative of his sincere commitment and involvement with our university,” he said.

Fred S. Klipsch Biography
Raised in Indianapolis, Ind., Mr. Klipsch earned his bachelor’s degree in industrial education from Purdue in 1964. Upon graduation, he was commissioned as a second lieutenant in the U.S. Air Force and stationed in Southern California, where he worked on his master’s of business administration at California State College at Long Beach, earning the degree in 1968. 

He returned to Indianapolis and worked four years for IBM, gaining valuable insight into corporate structure. That led to an opportunity with Overhead Door Co. of Indianapolis, where he eventually became president, co-chairman and co-owner. His success at Overhead set the stage for several other business opportunities, including the acquisitions of Hospital Affiliates Development Corporation and Klipsch & Associates in 1989. While Hospital Affiliates Development Corporation developed into Windrose Medical Properties Trust after a 2002 IPO, Klipsch & Associates became Klipsch Group, Inc. in 2006. Also, in 2006, Windrose merged with Health Care REIT. 

Furthermore, Mr. Klipsch was inducted into Junior Achievement’s Central Indiana Business Hall of Fame in 2006 and named Indiana Heartland’s Ernst & Young Entrepreneur of the Year® in 2000. 

Mr. Klipsch also enjoys volunteering his services and support, including being active with the President's Council and the John Purdue Club at his alma mater. He has served on the Indianapolis Campaign Steering Committee and the College of Technology Dean's Executive Council.

INDIANAPOLIS (August 29, 2007) — For Klipsch maintenance technician Tommy Peck—who will celebrate 34 years of employment with the speaker company’s Hope, Arkansas-based manufacturing facility on September 27—being a loyal employee means everything. Perhaps that’s how the 61-year-old managed to become the company’s longest-standing worker.

“Loyalty is such a rarity these days, so I take pride in the fact that Tommy has given us his talent and support all of these years. And Tommy isn’t the only one in Hope to carry such devotion. Currently, we have 21 other employees who have worked there over 20 years,” said Mike Klipsch, president of Klipsch Audio Technologies. “I truly admire and appreciate their ongoing commitment as their diligence and support have greatly contributed to our company’s success.”

A skilled carpenter and 40-year Hope resident, Peck vividly remembers the day he was hired. “I was so excited as I had put an application in two years prior,” he recalls. “Back then, you had to know someone to get into Klipsch and for me, it was my next-door neighbor. Because it was so hard to get into Klipsch, I made a promise to myself that by getting in; it was going to be that much harder for the company to get me to leave. And look; I have been here over three decades.”

Peck considers himself a “jack of all trades” as he is charged with keeping the Hope factory in tip-top shape. It is at this location where the company assembles and tests its top-of-the-line Reference Series products, legendary Heritage Series speakers as well as the soon-to-launch flagship Palladium floorstander. At one point, Peck was even responsible for insulating the facility’s anechoic chamber (echo-free room) where the products are carefully evaluated. “That was certainly a different experience. I had never done anything like that before, and once the chamber was finished, it was eerie standing inside as I could hear my heart beating,” he said.

Talking with Peck, you’ll find that he speaks very highly of the company’s late founder and audio legend Paul W. Klipsch.

“When he was alive, Paul Klipsch treated me and everyone else here with the up most respect. He treated you like family and his office door was always open. He was a great listener and even though he was a proven genius, he was a down-to-earth guy who didn’t act like he knew more than you.” 

Paul Klipsch was also known for his many eccentricities, and Peck bared witness to those traits as well. Peck said he’ll never forget when Paul Klipsch would go to town and swing his leg over every parking meter. When he came across one that was taller than the rest, he reported the inconsistency to the mayor.

While most folks don’t pay attention to such variances, Peck admired Paul Klipsch for taking great pride in everything he did. He said Paul Klipsch would call monthly meetings and often tell everyone they should treat each and every speaker “like a peach.” Meaning, the products had to be handled with extreme care so they wouldn’t bruise.

Peck also remembers that for every 1,000th Klipschorn® that was made at the factory, Paul Klipsch would get a case of champagne to celebrate. Plus, everyone who worked on the milestone speaker got to write their name inside the cabinet.

More recently, when the 60th Anniversary Klipschorn was launched in 2006, Peck and Karen Joy, another longtime Hope employee, proudly presented the company’s current owner Fred Klipsch with the limited-edition design as well as a certificate of authenticity. “It was an amazing feeling being able to present something so special to the owner of the company,” he said. “At first, I was really nervous and didn’t know what to say, but I was told to just be myself.”

To this day, Peck still loves his job and does everything he can to keep the factory running smoothly. However, the company can’t rely on Peck forever as he hopes to retire on his 35th anniversary. “I’m ready to spend more time fishing on the Mississippi river and tending to the cattle on my 60-acre farm,” he said.

INDIANAPOLIS (December 20, 2007) — In October, Klipsch—the number one speaker brand in the United States—commissioned Orange County Choppers™ (OCC)—the country’s best-known custom bike builder—to fabricate a speaker-inspired chopper that reflects the company’s rebellious spirit and no-compromise audio legacy.

Klipsch and the famous Teutul ‘American Chopper’ family will unveil the rumbling, muscular machine at a private Klipsch-hosted Robert Cray concert at the Body English nightclub inside the Las Vegas Hard Rock Hotel during the International Consumer Electronics Show (CES). TLC will then air the American Chopper Klipsch® bike build episode on March 13, 2008, at 9 p.m. ET. 

Like every OCC chopper, the Klipsch bike is unique. It reflects the 61-year-old company’s true personality by featuring its signature black and copper color scheme, horn and woofer adornments, detailed Paul W. Klipsch (PWK) tributes, as well as Klipsch logos on the air filter and black leather seat.

For those who are unaware, proprietary horn-loaded technology has—and will always be—the driving force behind Klipsch’s highly acclaimed and stunningly precise sound. In fact, Paul W. Klipsch founded the company in 1946 on the promise of a corner horn-loaded speaker design.

“We customize theme bikes for lots of different companies, but this one is second to none,” said Paul Teutul, Sr. “It really incorporates Klipsch’s standards of high-performance, high-quality audio into a truly unique ride.”

The partnership between Klipsch and OCC does not stop with this amazing bike. Orange County Choppers is currently building a new 92,000-square-foot headquarter facility in Newburgh, N.Y. and has chosen Klipsch as its preferred audio provider. From the retail area to the shop floor and from the gym to Paul Sr.’s new office, more than 100 Klipsch speakers will bring dynamic sound to the entire building.

“The Klipsch name has always stood for high-performance audio,” said Paul Sr. “Whether it’s their headphones, home theater products or commercial designs, everything I’ve heard from Klipsch sounds fantastic. It was a no-brainer to have them outfit our new headquarters.”

According to Mike Klipsch, president of Klipsch, the partnership makes perfect sense because both companies know how to enrich the lives of their customers. “It’s not about buying a chopper or a speaker, it’s about passion, performance and embracing a treasured lifestyle,” he said. “When it comes to building our respective products, no detail is overlooked and each design is meant to enhance the owner’s experience.” 

All trademarks are the property of their respective owners.

About Orange County Choppers™ 

Orange County Choppers (OCC) is a New York-based custom motorcycle manufacturer founded by Paul Teutul, Sr. and Paul Teutul, Jr. in 1999. OCC was started as a sideline to Paul Sr.’s steel manufacturing business, which was founded in the 1970s. The Orange County Choppers’ shop is featured weekly on ‘American Chopper,’ a reality TV show that airs on Thursday nights at 9 p.m. EST on TLC. 

INDIANAPOLIS (June 9, 2008)—Since 2001, Klipsch—a global manufacturer of premium sound solutions and one of the first U.S. loudspeaker companies—has hosted an annual summer pilgrimage, honoring its most passionate audiophile fans. The 2008 weekend event will take place June 20 and 21.

If the past is any indication, this year’s celebration of everything Klipsch will bring a significant number people from around the country—and from outside it—to the company’s headquarters, located on the northwest side of Indianapolis, Ind. While it’s exciting for those who visit here, it’s equally so for Klipsch employees, who voluntarily donate time and a lot of effort to make the event a success.

Audiophiles Abound
Typically, pilgrimage guests are members of the klipsch.com online forum community, currently made up of over 29,000 registered users. And often times, the company gets return crusaders year after year.
“Much like the Grateful Dead generated a tightly knit community of ‘Deadheads’ through its concert experiences, we’ve inspired our own set of dedicated cult-status followers by way of our on-line forum,” said Amy Unger, klipsch.com forum moderator. “For many of these forum members, visiting Klipsch is like visiting the ‘promised land’.”

At this event, attendees are treated to a behind-the-scenes tour of the Klipsch Engineering and Technology Center, which is one of the most advanced audio research facilities in the world. Fans also interact with Klipsch staff, including executives, to learn the impact that Klipsch’s patented horn-loaded technology has made on the audio industry, and how it will influence the future of home entertainment products. And last but not least, pilgrims get to participate in new product listening sessions, where they are encouraged to provide feedback to engineering staff.

After attending last year’s Pilgrimage, forum member Chad Miller of West Lafayette, Ind. posted, “Wow. What a great day! Many thanks to the Klipsch team … Great facility, great people and great products. First class all the way around …”

A Pilgrimage that began with Hope
The annual Klipsch Pilgrimage began in February of 2001, when a small group of devout audiophiles toured the company’s Hope, Arkansas manufacturing facility, which at that time housed the engineering department. After engineering functions were relocated to Indianapolis, the event resumed and has been a staple on the Klipsch calendar ever since.

“In 2000, I was working tech support in Hope, taking calls from end users,” noted associate engineer Trey Cannon, who has been a part of every Pilgrimage. “Through that experience, I got to talk to lot of our customers. They expressed an interest in visiting the plant. I sent a request to chairman and chief executive officer Fred Klipsch, received his blessing and the Pilgrimage began—though it was first called the Hope Tour.”

For Steve Phillips, home theater customer service specialist, the event has special meaning, too—he attended the Hope Tour before joining the Klipsch staff in 2002. He has been a willing volunteer since he’s been here: “There’s a lot of work that goes into the room and system set ups; I help Trey after hours on my own time, because I really am dedicated to the success of the event and the fact that its meant a lot to me personally.”

In Touch with our Heritage
Klipsch manager of engineering operations, historian and seven-year Pilgrimage veteran Jim Hunter sees it as a way to acknowledge the company’s heritage. “I think it hearkens back to when we were a much smaller company. In those days, customer service was a part of engineering and we talked to our customers regularly, so we were close to them. These guys were—and are—rabid sound fanatics. And through the years, they’ve had impact on our products.”

For these and other company volunteers, the annual trek Klipsch customers make to Indianapolis has become a much-anticipated event. And thanks in part to their efforts, Klipsch has maintained its remarkable customer loyalty for over 60 years.

INDIANAPOLIS (April 3, 2008) — Since their introduction in 1999, Klipsch® Reference Series speakers have been sold exclusively through specialty A/V storefronts. Last month, however, this sales strategy shifted slightly when six retailers, authorized by Klipsch, began selling the fourth generation of this premium home audio lineup on their web sites.

After much consideration and planning, Klipsch selected the following retailers to help successfully launch the series online: Crutchfield, Vanns Electronics, ABT Electronics, OneCall, Sound Distributors and Sixth Avenue Electronics. All six retailers will carry the complete Reference IV line—everything from floorstanders to subwoofers.

According to Paul Jacobs, president and COO of Klipsch Group, Inc., there were two major reasons behind this new online distribution strategy.

First of all, over the past several years, Klipsch has filed multiple lawsuits against unauthorized companies selling its products over the Internet. Not only does this unfortunate scenario violate Klipsch’s trademarks and reputation, it also negatively impacts online shoppers who, unbeknownst to them, end up buying B-stock, or even used, products that are devoid of any warranty or customer support. “For those who prefer to purchase our Reference products online, we are making it possible for them to buy from a reputable source that provides A-quality products, expertise and support,” said Jacobs.

Secondly, in certain markets, especially areas where there has been retail consolidation, it can be difficult for consumers to find and purchase the Reference Series. “By having these products online, consumers don’t have to spend a lot of time and effort trying to find our speakers. They now have the ability to order product 24 hours a day, seven days a week,” said Jacobs.

When it came to choosing its online partners, Klipsch went about it very strategically. All six retailers had to meet the following criteria: MAP pricing adherence, call-in tech support at least 16 hours per day, ownership of all warranty repair, top-notch online security, clear privacy statements, real-time order status reporting, archival of sales records for two years, high-level business insurance, no eBay sales on current merchandise, sales to end-users only and strict adherence to Klipsch branding guidelines.

“These six retailers have been selling direct for many years and have earned a solid reputation with not only Klipsch, but the entire industry,” said Jacobs. “They know our products and know how to provide the absolute best customer care, so there was no doubt in my mind when it came to selecting them as our online partners.”

Jacobs also mentioned that in addition to serving a consumer segment that prefers the online shopping experience, he is confident the increased brand exposure in this controlled environment complements and strengthens Klipsch’s more traditional channels.

INDIANAPOLIS (July 8, 2008) — The Indianapolis Art Center’s Frank M. Basile Auditorium has long been a showcase for many of the Art Center’s events. Now, it has moved into an entirely different—and more technologically advanced—realm, thanks to a new state-of-the-art cinema surround speaker system from Klipsch, an Indianapolis-based, global manufacturer of premium sound solutions for the home and commercial markets.

According to Tammy Bowman, major gifts officer for the Indianapolis Art Center and the Marilyn K. Glick School of Art, “Before the installation, the one glaring drawback in the auditorium was its sound system; this help from Klipsch takes us from second class to world class. The system sounds wonderful!”

A wide variety of Klipsch professional cinema speakers fill the 220-seat Basile Auditorium with powerful and detailed audio, including several KPT-325-N behind-the-screen systems and a KPT-418-SW subwoofer. But more notably, this is one of the first sound installations in the world to use Klipsch’s new wide coverage cinema surround speaker, the KPT-12-VB.

Featuring exclusive Virtual Boundary Array Technology, or VBAT, the KPT-12-VB is a high-output design with ultra-wide coverage, meaning that one of these surround speakers can replace two conventional units. VBAT also reduces the number of amplifier channels required for a typical cinema installation, as well as cuts labor costs and additional wiring. 

Indianapolis-based Advanced Residential & Commercial Electronics installed the entire sound system. According to Joe Monfort, president of Advanced, the Art Center wanted a system that was easy to use and flexible enough to accommodate future upgrades. “With the help of Klipsch engineers as well as input from the folks at the Art Center, we were able to design a state-of-the-art cinema audio system that can accommodate the auditorium’s many uses.”

Overall, this new equipment will allow the Art Center to add more film entertainment to its traditional mix of presentations and demonstrations.

“We’re really pleased that we were able to install our latest cinema sound technology in a venue so close to our headquarters,” said Mark Kauffman, Klipsch cinema technician. “It represents a great opportunity for the Indianapolis Art Center and for Klipsch.”

To celebrate the arrival of the new speakers and as part of Two Worlds, One Language Through Art, the Art Center, in conjunction with Klipsch, will present the Klipsch Chinese Film Festival. The free, four-part film series provides a range of insights into China and Chinese people from historic to contemporary times. This summer celebration runs now through August 23, 2008.

The films, shown on select Tuesdays at 6:30 p.m. through the run of Two Worlds, One Language Through Art, include “Raise the Red Lantern,” to be screened on July 8; “Farewell My Concubine” on July 22; “Still Life” on August 5 and “Be There or be Square,” which will be shown on August 19.

The Art Center isn’t the only place in the Indianapolis area that relies on high-performance Klipsch speakers. The company’s products can also be experienced at: the Dinosphere Exhibit at The Children’s Museum of Indianapolis; the NCAA Hall of Champions; the Junior Achievement building; the Eiteljorg Museum; the Keystone Art Cinema, owned by Landmark Theatres; the Galaxy Stadium 14; Regal Village Park Cinema 17; Clay Terrace outdoor shopping mall and the Jazz Kitchen, as well as several other restaurants and retail locations.

Globally, Klipsch is a leader in the professional cinema sound market. The world’s largest cinema chains, including Regal Cinemas and Malco Theatres, turn to Klipsch to provide the power, detail and emotion of today’s complex film soundtracks. In fact, 50 percent of all new theaters in North and South America, as well as Korea and Australasia install Klipsch products.

About the Indianapolis Art Center
As one of the foremost art centers in the Midwest, the Indianapolis Art Center designs programs and provides an environment to inspire and advance the creative process. Art classes in all media—from life drawing to glass blowing—are available to all ages and levels of experience. Designed by world-renowned architect Michael Graves, the Indianapolis Art Center is located in Broad Ripple Village along the banks of the White River. Web site: www.IndplsArtCenter.org

About Advanced Residential & Commercial Electronics
Established in 1992, Advanced Electronics is a Professional Contracting company principally engaged in the design, sales, installation, and service of electronics systems for residential and commercial applications. Systems consist of Audio, Video, Corporate Boardrooms, Hospitality & Nightclub A/V, Sports Bars, Security, Closed Circuit Surveillance, Home Theatre, Lighting Control, Telephone, and related products and services. Advanced Electronics has extensive experience in systems automation and integration. Web site: http://www.avdesigners.com

INDIANAPOLIS (June 18, 2008) – Klipsch Group, Inc. and Circuit City Stores, Inc., today announce that Circuit City will be introducing a superior selection of home audio equipment, including products offered under the Klipsch and Energy brands in all of Circuit City’s nearly 700 stores nationwide and online at www.circuitcity.com.

Klipsch Group, Inc. is a leading global force in premium sound solutions, owning four of the audio industry’s most respected brands: Klipsch®, Energy®, Mirage® and Jamo®. Select Klipsch and Energy products will be merchandised in Circuit City stores, with the rollout beginning in August.

With respect to the 62-year-old Klipsch brand, Circuit City will carry its high-value, high-performance Synergy Series assortment of home theater products, including floorstander and bookshelf models, center channels, surround speakers and subwoofers, with prices ranging between $250 and $900 per pair. A compact, five-model home theater bundle will also be part of the selection.

For Energy—which has over 30 years of loudspeaker engineering and manufacturing experience—this new partnership marks the first time the brand has ever been offered through a national retailer. The complete six-piece Take Classic home theater system, with its sleek design, exceptional performance and unbeatable value, will retail for less than $600.

“We could not be more thrilled to incorporate Klipsch Group products into our home entertainment experience,” said Phillip J. Schoonover, chairman, president and chief executive officer, Circuit City Stores. “They say a picture is worth a thousand words, but in a home theater, a picture can only be as good as it sounds, and with the Klipsch and Energy brands, our customers will truly be investing in world-class audio to match their world-class home entertainment system.” 

Fred Klipsch, chairman and chief executive officer of Klipsch Group, Inc, completely agrees with Schoonover. According to Klipsch, studies have shown that consumers will identify one TV as having a better looking picture than another, even when the only difference between the two TVs is a high quality speaker system. 

“Spending your entire home theater budget on a television alone is like buying a premium car without a high-performance engine,” said Klipsch. “This new partnership will not only help consumers understand the important role sound plays in a home theater system, it will also broaden market penetration and exposure for the Klipsch and Energy brands, as well as make Circuit City a new destination for purchasing premium audio.”

About Circuit City Stores, Inc.
Circuit City Stores, Inc. (NYSE:CC) is a leading specialty retailer of consumer electronics and related services. The domestic segment operates through 687 Superstores and 9 outlet locations in 158 U.S. markets. The international segment operates through approximately 800 retail stores and dealer outlets in Canada. Circuit City also operates Web sites at www.circuitcity.com, www.thesource.ca and www.firedog.com.

INDIANAPOLIS (January 25, 2008) — Nearly 600 attendees gathered at the Body English nightclub inside the Las Vegas Hard Rock Hotel and Casino on January 8—evening two of the International Consumer Electronics Show—to witness Orange County Choppers™ (OCC) unveil its latest creation: the Klipsch® Chopper. Watch footage from event.

All three members of the famous Teutul “American Chopper” family—Paul Sr., Paulie and Mikey—were present, along with the show’s film crew, to celebrate OCC’s completion of the Klipsch chopper, an epic piece of machinery that reflects the speaker company’s rebellious spirit and no-compromise audio legacy. 

“Our bike rocks—literally! For us to be part of something like this is too cool for words, but you definitely feel it once you sit on it,” said Mike Klipsch, president of Klipsch Audio Technologies. “High performance all-around—it’s ‘eye-catching style meets sheer brute strength’.”

Cheers ensued immediately following the Teutul’s grand entrance into the nightclub, especially for Mikey, who’s well known for adding comic relief to the chopper-based reality series. Unfortunately, Paul Sr. couldn’t coast in coolly and rev the bike’s engine like he normally would because of code violations; but that did not stop the crowd from chanting “fire it up” for three minutes straight. All three spoke to the enthusiastic crowd, and Paulie discussed the intricacies of the bike and the Klipsch and OCC partnership.

Klipsch executives also weighed in about the alliance. “This collaboration makes perfect sense as we do more than just build bikes and speakers, we create powerful and emotional experiences for our customers that stir the soul and lift the spirit,” said Klipsch.

Like every OCC chopper, the Klipsch bike is unique. It reflects the legendary 62-year-old company’s true personality by featuring its signature copper and black color scheme, horn and woofer assemblies, a working iPod® dock, detailed Paul W. Klipsch (PWK) logos on each chrome wheel’s blade-like spokes, as well as Klipsch logos on the air filter and black leather seat.

For those who are unaware, proprietary horn-loaded technology has—and will always be—the driving force behind Klipsch’s highly acclaimed and stunningly precise sound. In fact, Paul W. Klipsch founded the company in 1946 on the promise of a corner horn-loaded speaker design.

“We customize theme bikes for lots of different companies, but this one is second to none,” said Paul Sr. “It really incorporates Klipsch’s standards of high-performance, high-quality audio into a truly unique ride.”

Also as part of the partnership, OCC is currently building a new 92,000-square-foot corporate facility in Newburgh, N.Y. and has chosen Klipsch as its preferred audio provider. From the retail area to the shop floor and from the gym to Paul Sr.’s new office, more than 100 Klipsch speakers will bring dynamic sound to the entire building.

“The Klipsch name has always stood for high-performance audio,” said Paul Sr. “Whether it’s their headphones, home theater products or commercial designs, everything I’ve heard from Klipsch sounds fantastic.”

On February 4, Klipsch hosted a special bike unveiling at its corporate headquarters in Indianapolis, Ind. for employees. “This is a big, once-in-a-lifetime deal for us and we wanted everyone inside the company to be a part of it,” said Klipsch. Watch footage from event.

TLC aired the “American Chopper” episode featuring the Klipsch bike on March 13, 2008.

Additional Chopper Details

• 10 ft. long and weighs 600 pounds 
• Back tire is 300 mm 
• Size and type of engine: A S&S 117 cubic-inch motor (1916CC) 
• 120 horsepower with 135 foot-pounds of torque 
• Six-speed transmission 
• 3.5-gallon gas tank with a half-gallon reserve 
• Features a pair of Klipsch K-77D horns and an RVX-42 woofer

About Orange County Choppers™
Orange County Choppers (OCC) is a New York-based custom motorcycle manufacturer founded by Paul Teutul, Sr. and Paul Teutul, Jr. in 1999. OCC was started as a sideline to Paul Sr.’s steel manufacturing business, which was founded in the 1970s. The Orange County Choppers’ shop is featured weekly on “American Chopper,” a reality TV show that airs on Thursday nights at 9 p.m. EST on TLC.

INDIANAPOLIS (January 17, 2008) — Mark Casavant, former vice president of business development for Klipsch Group, Inc., has been promoted to two new positions: vice president of product development for Klipsch® and Jamo® brand architectural loudspeakers and vice president of product development for Mirage® and Energy® brands.

According to Klipsch Group president and chief operating officer Paul Jacobs, “Mark brings years of valuable experience to these positions. His background in product development management and in developing new markets will be of great value to our brands.”

Since joining Klipsch in 1991, Mark has held several other high-profile positions at the company, including: director of market development, e-commerce and computer audio; national training director; and southeastern sales representative. He also managed the product development of the award-winning Klipsch Synergy Series® and ProMedia® lines.

Prior to his arrival at Klipsch, Mark gained years of industry experience managing a custom audio/video installation firm in Florida. He earned his B.A. in business administration from Flagler College, a private school in St. Augustine, Fla.

INDIANAPOLIS (February 28, 2008) — Some 25 years ago, Dan Taylor was president of the fledgling Inter-Society for the Enhancement of Cinema Presentation, working hard to build the organization—then in its fourth year—from its small group of charter members to a more representative number of cinema professionals. On March 11, at the opening breakfast for ShoWest 2008, Dan will be recognized for those successful efforts as he receives the Inter-Society’s highest honor, the Ken Mason Award.

The award, named for the founder of the organization, Ken Mason, former vice president of Kodak, salutes those who have had a positive effect on the Inter-Society and on the cinema industry.

Dan Taylor began his involvement in the 1970s, working as a projectionist at the Sack Theatres in Boston while pursuing a BS in Mass Communications from Emerson College. After graduation, he held a variety of positions with industry suppliers, including Kintek and Sony. Later, as president of Dan Taylor Marketing, he improved the quality of theater presentations by marketing new technologies to exhibitors.

In 2007, Dan joined the Klipsch Professional Cinema Division, bringing his expertise to an organization that continues to grow worldwide. “Ever since Klipsch got into the professional cinema market in 1980, I have held its loudspeaker designs in the highest regard,” said Taylor. “It’s great to be an official advocate of the industry’s most impressive line of professional audio solutions. It’s my job to make sure that all of our valued cinema partners get the best sound for their theaters.”

In addition to Dan’s award, the Klipsch Cinema Division will be highly visible at ShoWest, held at Bally’s and Paris in Las Vegas, March 10–13. Our trade show display will introduce new cinema loudspeakers, featuring Virtual Boundary Technology, which use Klipsch patented skewed horns mounted side by side to reduce the number of speakers needed in a large auditorium. New crossover networks will also be premiered.

INDIANAPOLIS (January 30, 2008) — Things haven’t come easily to Patrick Henry Hughes. The 19-year-old was born without eyes and has been confined to a wheelchair since childhood. Despite these challenges, Patrick has excelled; today, he is majoring in Spanish at the University of Louisville and performs as a trumpeter in the marching band with his father, who wheels him through the band’s choreographed segments.

His remarkable story recently came to the attention of the ABC hit series “Extreme Makeover: Home Edition.” Through the efforts of the program and local volunteers, the Hughes family recently took possession of a new, highly automated 3,200-square-foot home built from the ground up in just 106 hours. And Klipsch was a part of it all, providing surround speakers for the Hughes family’s new home theater systems.

According to Phil Deddens, owner of Super Home Systems in Louisville, the project was one of the most comprehensive his firm has undertaken, requiring 15 people working eight hours each to install all of the major pre-wiring for the two home theatres, telephones and security systems. “We worked ahead of the electricians, installing the wiring in the rafters even before roofing was begun,” Deddens noted. The final home theater installation included Klipsch CDT-3650-C in-ceiling speakers and RW-5802 subwoofers.

The Klipsch architectural loudspeakers are part of a unique voice-operated system that allows Patrick to change channels on the flat-screen televisions, adjust the audio levels, open doors, get the time and temperature and even operate the security system through simple spoken commands.

In addition to the ABC series’ cast and crew, hundreds of laborers from the Louisville area worked around the clock to make the dream house a reality. Deddens’ schedule was particularly hectic: “Our crew of 15 worked alongside 30 electricians, 20 HVAC installers and two plumbers per bathroom. It was definitely a crazy day.”

A crowd of over 5,000 greeted the Hughes family at the unveiling of their home. Patrick was given a 3-D model so that he could “see” his new residence. The episode is slated to air on February 17.

"Headphones, headsets and speakers for mobile music, in particular for phones, are becoming increasingly important. The alliance with Klipsch will enable us to expand our share of the mobile music market and further strengthen our mobile music offering. With its exceptional engineering, design capabilities and respected brand name, Klipsch was the clear choice to bring enhanced music performance to our products. By coming together with Klipsch, we are able to combine both companies' voice and Bluetooth® capabilities along with acoustic expertise to provide customers with the absolute best in terms of design, quality and functionality in mobile music accessories," said Morten Steen Jørgensen, president, GN Mobile.

"We are delighted to work together with GN Mobile and are confident that GN Mobile's market position and heritage in voice and wireless Bluetooth technology combined with our experience in high-performance audio reproduction will produce the most advanced products available for this growing market segment," said Mike Klipsch, president, Klipsch Audio Technologies. "The partnership with GN Mobile not only facilitates our entry into the headphone and headset market, but it also gives us increased brand exposure in channels in which we do not currently compete."

With approximately 35 percent of the global Bluetooth headset market, GN Mobile is the leading provider of hands-free communication solutions, including its Jabra brand of products, and a global innovator in mobile personal communications. Jabra branded products, including industry-leading Bluetooth headsets, are available in more than 80,000 retail outlets worldwide making it one of the most successful brands of Bluetooth headsets on the market today. Several of GN Mobile's range of Jabra products has achieved international acclaim and numerous industry awards, including the Red Dot and IF Design Awards.

GN Mobile's mission is to provide customers with essential lifestyle-enabling mobile accessories that enhance the mobile experience. Most recently GN Mobile has concentrated its efforts on mobile headsets for the fashion and music market including the Jabra JX10 designer Bluetooth headset and the Jabra BT620s Bluetooth stereo headset, one of the world's first headsets to provide users with hi-fi stereo music direct from their Bluetooth stereo mobile phone, MP3 player or PC. In addition to Jabra, GN Mobile has a strong OEM business and designs and produces Bluetooth headsets and accessories for leading handset and mobile device manufacturers.

Some of the world's largest and best known brands use Klipsch technology including international names such as Hard Rock Cafe, Microsoft, Apple and Dell. One of America's very first speaker companies and celebrating its 60-year anniversary in 2006, Klipsch is committed to best-in-class audio solutions. The company boasts one of the most advanced professional audio research facilities in the world at its headquarters in Indianapolis.

The Klipsch brand is well known to music and movie lovers and gaming enthusiasts everywhere for its excellent two-channel and surround sound systems for home theaters, computers and game consoles. In addition, Klipsch has a long history as a provider of commercial cinema products. It develops audio products designed to create the most engaging, emotional and dynamic entertainment experiences.

The market for mobile music is experiencing considerable growth rates with convergence between mobile phones and digital music opening up new product categories and products such as MP3 Players and iPod helping to drive consumer demand. IMS Research predicts that the market for music phones will grow at a CAGR of over 100 percent to 2009. By 2008, around half of all handsets shipped will be music enabled (MP3 or other format). This equates to 475 million units. (Source: IMS Research 2005)

Brandnamez.com conceded all five points of the lawsuit and agreed to a lifetime ban that prevents Brandnamez.com, its owners and any future businesses they own from ever selling Klipsch brand products.

Klipsch has also terminated another dealer that was proven to have engaged in transshipping, or providing products to unauthorized resellers in violation of the established Klipsch dealer agreement. To date, Klipsch has severed ties with 19 dealers in accordance with its zero tolerance policy, which represented well over $6 million in business annually.

"Winning our case against Brandnamez.com eliminates another unauthorized Internet reseller that was very visible and harmful to our legitimate dealer network," said Mike Klipsch, executive vice president and chief operating officer. "We will continue to track down and stop any and all unauthorized activity."

FactoryDirectSound.com, another unauthorized web site, has signed a cease and desist agreement with Klipsch that mimics the settlement with Brandnamez.com. FactoryDirectSound.com was one of many web sites infringing on Klipsch's copyrights and trademarks that have removed the brand from their pages, presumably to avoid being named as defendants in a future lawsuit. Klipsch pursued and obtained the additional requirement of a binding lifetime ban on any sales of Klipsch products.

Since January 2004, Klipsch has obtained agreements, settlements or judgments against the following unauthorized Internet resellers:

1. Syris Holding Corporation, parent company of the web site HomeTheaterPhiles.com
2. 50TopSellers.com
3. AuthorizedElectronics.com
4. TheBestPriceStore.com
5. Crazyeddie.com
6. Brandnamez, LLC dba brandnamez.com
7. FactoryDirectSound.com

"When we began this effort to eliminate unauthorized Internet sales there were more than 80 offenders," said Mike Klipsch. "Today, there are only a few holdouts and we are closing in on them quickly. We have succeeded by educating the public, enforcing our zero tolerance policy and following through on our promise to take legal action against violators."

Klipsch is continuing its relationship with NetEnforcers.com, a brand protection company that assists Klipsch with shutting down auctions by unauthorized dealers using third party web sites such as Ebay and Yahoo. Through April 2005, NetEnforcers has terminated 395 unauthorized Ebay auctions on behalf of Klipsch.

"There are very few companies in this industry that have been around as long as Klipsch has so we are really proud to be celebrating six decades of success and longevity," said Fred S. Klipsch, chairman and CEO of Klipsch Group, Inc. "I believe our accomplishments lie in our ability to continually innovate and find ways to address an ever-broadening range of customers' needs."

To commemorate its 60th anniversary, Klipsch will host a series of year-long activities starting with the introduction of the limited edition 60th Anniversary Klipschorn® at the 2006 Consumer Electronics Show in Las Vegas. With only 200 pairs available, this speaker is crafted for high-quality sonic performance and adorned with distinct aesthetic features that make it a collectors' item.

Founded by legendary audio pioneer Paul W. Klipsch in 1946, Klipsch is one of the longest-established North American loudspeaker companies. From humble beginnings in Hope, Ark., the company has evolved into a globally recognized speaker brand that employs 262 employees worldwide and is sold in 75 countries.

The Four Laws of the Klipsch Universe

Klipsch has always been devoted to producing no-compromise, premium-quality audio products. The company has been able to achieve and maintain its superior, best-in-class performance status by consistently following the theory "efficiency is inversely proportional to distortion." As efficiency rises, distortion falls. This classic observation applies to every Klipsch loudspeaker and results in reliable, durable products that deliver powerful, detailed audio performance.

Based on sound acoustical science, Paul W. Klipsch discovered that the use of horn technology was and is the best way to get high efficiency and low distortion from a loudspeaker. In addition, horn technology also brings the added benefits of controlled directivity, flat frequency response and wide dynamic range. Together, these design principles are and will always be the foundation for every Klipsch product.

As Klipsch moves into the future, it will continue to keep an eye on the past. As the industrial design of its products continues to advance to keep up with the times, the foundation of its work - horn-loaded technology - remains constant.

Klipsch History

Paul W. Klipsch founded the company on the promise of a corner, horn-loaded speaker design. Movie theaters and concert halls had long used horns to reproduce motion picture soundtracks, however those horns, at over nine feet long, were much too large for use in the home. Klipsch's solution was to fold the horn back onto itself and place the speaker cabinet in a corner, making the walls of the room an extension of the horn. An unquestionable success, the Klipschorn®, patented in 1945, is still considered by many to be the finest loudspeaker ever made and is the only speaker in the world that has been in continuous production for 60 years.

In the mid-80s, Fred Klipsch saw a loudspeaker advertisement in a magazine that bore a familiar name - his. He tore out the then Klipsch & Associates ad and carried it around with him for three years before calling the company's founder. Although they had never met, Fred Klipsch and Paul Klipsch discovered that they were cousins and, without an heir Paul Klipsch began talking about a way to keep his privately held company in the family.

In 1989, Fred Klipsch and his wife Judy bought the promising loudspeaker company and moved the headquarters to their hometown of Indianapolis, Ind., keeping manufacturing in Hope, Ark. Since then, the company has significantly grown its product portfolio and business operations. In fact, last month Fred Klipsch announced a reorganization of the company's operations into five business divisions, each categorized by brand or distribution geography. The two brand management companies are Klipsch Audio Technologies and Jamo International (Klipsch purchased the Jamo brand in February 2005). The three newly formed distribution management divisions are Klipsch Group Americas, Klipsch Group Europe and Klipsch Group Asia. Overseeing these is a new parent company Klipsch Group, Inc.

*Source: NPD Techworld market tracking data Jan. - Nov. 2005.

"These changes to our structure will not effect the customer-facing portion of our business," said David Kelley, president, Klipsch Group Americas. "Business partners will continue to work with the same brand-specific sales reps and independent distributors that they always have. This is a strategic and structural change to allow for centralized distribution decision-making for all the current Klipsch Group brands and any additional brands that we may acquire."

Klipsch Group President, Paul Jacobs, states that the company's strategy is to accelerate global growth with multiple brands: "This new structure is the foundation we need to reach our very aggressive growth objectives. We now have in place a distribution operation that can support any acquisition activity we choose to pursue, helmed by two of our most experienced and knowledgeable executives."

In addition to overseeing and optimizing the distribution relationships and practices, Kelley and Jespersen also manage the sales teams and distributor networks in their respective geographies. Kelley and Jespersen report to Paul Jacobs, president of Klipsch Group, Inc. which is the parent company for the distribution companies. Klipsch Group Americas will be located at Klipsch Group global headquarters in Indianapolis, IN, and Klipsch Group Europe and Klipsch Group Asia Pacific will be headquartered in Copenhagen, Denmark with a subsidiary being opened in Asia.

This anticipated growth must be managed in a coordinated and orderly fashion within each market," said Managing Director Jespersen. "Markets where one brand makes sense, another may not, and this new organization gives us the ability to place the right products with the right retailers and contractors. The singular corporate structure will help avoid market conflicts and maximize established supplier/reseller relationships."

Since joining Klipsch in 1992, Kelley has held several leadership positions including key account manager, regional manager, director of sales, national sales manager, international sales manager, vice president of sales and senior vice president of worldwide sales. With over 20 years in the industry, Kelley began his career at Highland Superstores where he started as a sales associate and later held a variety of management positions. At the time, he was the youngest manager in the company's history.

Jespersen joined Klipsch in March 2005 as director of global distribution strategy. He brings to Klipsch more than 30 years of international consumer electronics sales and distribution experience. He served as president of the International Division of Harman Consumer Group and director of European activities for JBL and Harman Kardon. Jespersen most recently established distribution activities in Denmark for Marantz electronics and Audio Pro speakers.

About Klipsch Group Americas, Klipsch Group Europe, Klipsch Group Pacific

Established in 2006 as wholly owned subsidiaries of Klipsch Group, Inc., The Klipsch Group, Inc. distribution management companies-Klipsch Group Americas, Klipsch Group Europe and Klipsch Group Asia Pacific-are responsible for the sales of Klipsch and Jamo branded loudspeaker products in their respective geographies. These groups will work in a cooperative fashion to develop global platform and product strategies that maximize R&D and Capitol resources insuring the Klipsch group of brands stay on the cutting-edge of product, technology and brand development. These companies will have the full financial resources and intellectual capital of the entire Klipsch group at their disposal.

As part of the relationship with VantagePoint, Klipsch named two new senior executives to the management team from VantagePoint portfolio company Aurora, Inc. John Carter, former chief engineer of Bose Corporation, has been named chief technology officer of Klipsch. The former CEO of Harman Consumer Group, Tom Jacoby, joined Klipsch as chief development officer and vice chairman.

In 2004, Klipsch Audio Technologies reported double-digit annual sales growth for the seventh consecutive year. The Company is ranked as the number one speaker brand in all U.S. distribution channels maintaining a 13 percent market share, according to NPD Techworld, a point-of-sale market-tracking firm. During the last five years, approximately 50 percent of new and retrofitted movie theatres around the world have installed Klipsch loudspeakers.

"The partnership with VantagePoint is exciting because we are working together to execute a global strategy that will extend our market impact well beyond the 75 countries and 5,000 storefronts we're in today," said Fred Klipsch, chairman of the board of directors and CEO of Klipsch. "VantagePoint brings the resources and knowledge to help us build a high-growth global company."

"As the market leader, Klipsch has a premier management team, reputable brand and well established distribution, providing the right platform for growth," said Cynthia Ringo, managing director, VantagePoint Venture Partners. "The company is also well positioned to tap into exciting changes in audio technology, readily meeting new demands for high-quality speakers across multiple categories."

Management Team Expansion

The executive management team at Klipsch, which was formed in the early 1990s, has expanded with the addition of John Carter and Tom Jacoby, two accomplished senior level executives with extensive backgrounds in consumer electronics and global organizations. John Carter has been named to the newly created position of chief technology officer and Tom Jacoby joined as chief development officer and vice chairman, also a new position.

Carter brings 29 years of technology and product development expertise to Klipsch. As Chief Engineer of Bose Corporation, he managed the development of technologies such as the Acoustic Wave® Music System, Lifestyle® Home Theatre, QuietComfort® Acoustic Noise Canceling® Headset and others. Carter was instrumental in Bose's entry into the automobile OEM business and led the product and business development of Bose's patented noise reduction technology.

Jacoby brings 25 years of high-level consumer electronics industry management experience to Klipsch. He served as president of JBL Consumer Products, Inc.; president and CEO of the Harman Consumer Group, a market-leader in consumer electronics; and executive vice president and chief marketing officer of Harman International Industries, Inc. He has an extensive background in corporate operations, global management and strategic consulting.

"We have built a strong executive management team over the last ten years and we welcome Tom and John as new members," said Chairman Fred Klipsch. "They bring invaluable experience to Klipsch, particularly in the areas of technology and global operations."

About VantagePoint Venture Partners

VantagePoint Venture Partners is one of the world's most active venture capital firms with more than $2.8 billion in committed capital. As a multi-stage investor, the firm funding and resources for all stages of a company's lifecycle from seed round through late stage and privately negotiated investments in public companies. Founded in 1996, VantagePoint is based on a full-service 'Partner-Team' approach that provides entrepreneurs with a blend of technology, marketing, legal, operations, and corporate-finance expertise. The firm is organized around five technology practice groups including CleanTech, Communications, Healthcare, Semiconductor & Components, and Software and Internet sectors.

The acquisition immediately expands the global footprint of Klipsch Audio, Inc. and improves the operational cost structure of both subsidiaries. Jamo, recognized for its technological innovation and Danish design, is a premier European speaker brand that also has significant distribution in Asia including 135 company-operated retail stores in China. Klipsch Audio Technologies is one of America's very first speaker companies-established in 1946-and ranked number one in all U.S. speaker distribution channels maintaining a 13 percent market share, according to NPD Techworld, a point-of-sale market tracking firm.

"We acquired Jamo as part of our strategy to accelerate global growth with multiple brands," said Fred Klipsch, Chairman and CEO of Klipsch Audio, Inc. "We will maximize our resources and buying power to benefit both Klipsch and Jamo. We are pleased to have such a quality, Danish brand as part of our family of products."

"The stability of Klipsch supports the continued growth of the Jamo brand," said Poul Henning Pedersen, interim managing director and director of product creation for Jamo International Aps. "Our partners will be pleased to learn that distribution stays the same and Jamo is a fully funded, independently operated company under the Klipsch Audio parent company."

Paul Jacobs, president of Klipsch Audio Technologies, will also serve as president of Jamo International Aps. Product development and design will be completely separate to maintain the distinctive character of both brands. Jamo headquarters will remain in Glyngøre, Denmark and Helge Fischer will continue to guide Jamo U.S. operations out of the Chicago office.

About Jamo International Aps
Based in Glyngøre, Denmark, Jamo designs, manufactures and markets a range of high-quality consumer speakers, electronics, control systems and accessories for retail and residential contracting distribution channels. Jamo was founded in 1968 with a focus on innovative technology and Danish design. Today, the Jamo brand is highly regarded and its products are sold in more than 80 countries. Jamo's mission is to create sound solutions that make a difference. Jamo International Aps is a wholly owned subsidiary of Klipsch Audio, Inc.

"We are building a structure that allows us to support the company's current brands but also gives us the flexibility to support additional future expansion," said Fred Klipsch, chairman and chief executive officer, Klipsch Group Inc. "This reorganization gives us the opportunity to place the right products with the right retailers on a global level while keeping Klipsch's legacy of delivering quality branded products intact."

In support of this reorganization multiple promotions are announced. First, T. Paul Jacobs has been appointed president and chief operating officer of Klipsch Group, Inc. Previously Paul had been president of both Klipsch and Jamo. Prior to his promotion as president, Jacobs served as executive vice president and chief operating officer of the Klipsch Worldwide Products Group where he was responsible for overall direction of the company's sales, marketing, engineering and product development functions, as well as being a critical member of the senior management team.

The Klipsch Group also today announced the promotion of Michael F. Klipsch to president and chief operating officer of Klipsch Audio Technologies and the appointment of John Frank to managing director, Jamo International. Klipsch and Frank will be responsible for all operations including engineering, product development, marketing, sourcing and logistics for their respective brands. Both men will report to Paul Jacobs, president of the Klipsch Group. "We are confident that Mike and John will lead Klipsch and Jamo to continued global growth and expansion," said Jacobs. "Mike's knowledge of the audio industry combined with John's global product development management skills will be incredible assets in Klipsch's evolution."

Michael Klipsch, who most recently held the position of executive vice president and COO, Klipsch Audio Technologies, will be responsible for global brand management of Klipsch loudspeakers. As president, he will guide the company's strategic direction and manage day-to-day operations of the organization.

Since joining Klipsch in 1996, Michael Klipsch has held several leadership positions including chief counsel, senior vice president of operations, executive vice president and chief operating officer. Prior to joining Klipsch Audio Technologies, Klipsch was a partner with the law firm of Bingham, Summers, Welsh and Spilman. He has 10 years of law practice experience with specializations in complex business transactions, debt/equity offerings and business reorganizations

Managing director John Frank will be responsible for the Jamo brand worldwide for Jamo International. With his role, he will capitalize on the technological innovation and Danish design that has defined the company. John was previously at Kompan A/S (a subsidiary of Lego Holding Company) and brings with him over 20 years of experience in global product development. John has received numerous awards during his career including the prestigious Danish Design Award in 1997.

INDIANAPOLIS (September 29, 2006) — Klipsch Audio Technologies, a leading provider of premium audio products, today announced that its Hope, Arkansas-based manufacturing facility has been chosen by the Arkansas Institute for Performance Excellence (AIPE) as a 2006 Commitment Award winner.

The Arkansas Institute for Performance Excellence, formerly Arkansas Quality Award, provides opportunities for all organizations within the state to measure their progress in striving for performance excellence.

Using the nation’s prestigious Malcolm Baldrige National Quality Award program as a guide, the AIPE offers a four-tiered award sequence that quantifies company growth. State businesses can apply at any one of the following levels: Challenge, Commitment, Achievement or Governor’s Award, which is the top honor.

Handpicked by a select panel of judges, Klipsch was evaluated for the Commitment Award based on the following seven criteria: leadership; strategic planning; customer and market focus; measurement, analysis and knowledge management; human resource focus; process management; and results.

“It’s truly an honor to be chosen for this esteemed accolade that recognizes quality and performance achievements,” said Mike Klipsch, president of Klipsch Audio Technologies. “We’ve been manufacturing loudspeakers in Hope for over 60 years and this Commitment Award is a testament to our dedicated employees who have helped make Klipsch a global leader within the consumer electronics industry.”

The Commitment Award level is for companies that have progressed to the point of demonstrating serious dedication to the use of quality principles to attain performance excellence. Recognition is given to those organizations that have advanced the knowledge and skills gained from the initial steps and have a solid plan to move towards larger goals.

Klipsch was one of three organizations to receive a Commitment Award. A special ceremony was held on September 25 at the Hot Spring Convention Center in Hot Springs, Ark., to honor award recipients at every level. President Mike Klipsch, director of manufacturing Jack Sparks and human resources manager Donna Garner were present to accept the award on Klipsch’s behalf. More than 250 businesses and civic leaders throughout the state attended the event.

The Klipsch manufacturing facility employs 82 individuals and manufactures the wooden speaker cabinets for the company’s highly acclaimed Reference Series as well as the vintage Heritage Series, which was developed by audio pioneer and company founder Paul W. Klipsch during the early days of Hi-Fi. Additionally, the company’s professional cinema products, which are used by top theater operators around the world, are built at this location.

About The Arkansas Institute for Performance Excellence (AIPE) 

The private business community created the Arkansas Institute for Performance Excellence program in 1995. This not-for-profit organization provides a framework that encourages Arkansas organizations to engage in continuous quality improvement and to provide education and recognition to these organizations. Based on the broad representation attending the September 25 celebration, the program has achieved statewide acceptance through organizations that understand the value of quality in today’s workplace.

INDIANAPOLIS (September 13, 2006) — On September 8, Klipsch Audio Technologies, a leading manufacturer of loudspeakers, filed suit in the U.S. District Court for the Southern District of Indiana against the following Internet sites for sales violations: DigitalCraze.com, ReliableAudioVideo.com, and SoundCityExpo.com.

Klipsch is seeking recovery of damages as well as an injunction to prevent the defendants from inducing authorized dealers to transship Klipsch products, interfering with the contractual relationships between Klipsch and its authorized dealers, infringing on Klipsch trademarks, illegally using Klipsch’s copyrighted materials, and otherwise competing unfairly with Klipsch.

President Mike Klipsch said that the lawsuit filed against these three sites is nearly identical to the lawsuits Klipsch filed against brandnamez.com in December 2004 and crazyeddie.com, 50TopSellers.com, AuthorizedElectronics.com, TheBestPriceStore.com and HomeTheaterPhiles.com in January 2004. He explained that Klipsch accomplished everything it set out to do with the previous lawsuits including securing a lifetime ban that prevents the web sites, their owners and any future businesses they own from ever selling Klipsch brand products.

“The web sites we’ve sued in the past removed any trace of Klipsch from their web sites just days after we filed the lawsuits,” Mike Klipsch said. “Unfortunately, there are still some hold-outs trying to capitalize on the hard work and substantial investment that Klipsch and its authorized dealers have made in our brand identity. Our solid resolve in this matter simply will not allow free-riders and their unscrupulous, corrupt business practices to damage the quality, integrity and value of the authorized Klipsch dealer network.”

Mike Klipsch said DigitalCraze.com, ReliableAudioVideo.com and SoundCityExpo.com illegally use Klipsch’s trademarks and copyrighted materials -- critical pieces of the positive image Klipsch has projected since 1946. He said the Klipsch brand is registered in over 30 countries and that the Indianapolis-based company would not permit this relative newcomer to damage the global brand image Klipsch has spent 60 years building. 

Klipsch is continuing its relationship with NetEnforcers.com, a brand protection company that assists Klipsch with shutting down auctions by unauthorized dealers using third party web sites such as Ebay and Yahoo. Klipsch officials said NetEnforcers.com has the bandwidth to continuously and tirelessly investigate Internet sales violations, file the appropriate paperwork with the third party web sites, and remove illegal auctions the same day they are found.

INDIANAPOLIS (January 8, 2007) — As part of a corporate-wide strategy to accelerate global growth via multiple loudspeaker brands, Klipsch Group, Inc. recently placed five longtime audio industry veterans into new leadership roles at its wholly owned Klipsch Group Europe and Klipsch Group Asia Pacific distribution management companies.

“Since the formation last year, Klipsch Group Europe and Klipsch Group Asia Pacific have been successfully selling the Klipsch, Jamo, Mirage, Energy and athena loudspeaker brands in their respective regions,” said Paul Jacobs, president of Klipsch Group, Inc. “To ensure the continued success of these distribution divisions, we are hiring one and promoting four key employees to build a premier management team that will meet our very aggressive growth objectives.”

Per Magh, former Jamo market manager, has been promoted to director of marketing and operations for Klipsch Group Europe and Klipsch Group Asia Pacific. He is now heading up the office operations at the Niva, Denmark headquarters and distribution center, as well as continuing in his sales role for the Nordic Distribution Company. Additionally, Magh ensures that the company uses consistent and effective sales and marketing techniques for the Klipsch, Jamo, Mirage, Energy and athena brands throughout the European and Asia Pacific markets.

Prior to joining Klipsch in 2005, Magh worked as a sales manager in the professional products division for Bose Denmark, as a sales director for Harman Consumer Europe and as a brand manager for JBL, resulting in over 25 years of industry experience. Additionally, he has a degree in electronic engineering.

Dick Tuerlings, former Audio Products International director of European sales, has been promoted to director of distribution strategy for the Klipsch, Mirage, Energy and athena brands. He is charged with handling export forecasting, inventory control, market data collection, strategic business planning and sales training for all distribution channels. He also serves as the liaison between Klipsch Group Europe and the speaker brand companies regarding export market requirements.

In the consumer electronics industry for 19 years, Tuerlings has spent the last six at Audio Products International (API), makers of the Mirage, Energy and athena speaker brands, setting up a successful distribution strategy in Europe. Klipsch Group, Inc. purchased API last August as another step in its strategic plan of adding successful loudspeaker companies to its portfolio of products, as well as improving operations on a global level. Prior to API, Tuerlings worked in specialty A/V retail management, as an A/V buyer and as a CEDIA trainer in the U.K.

New to the company, Lars Johansen has accepted the position of dire