“It has become impossible to continue business”: Fernandes Guitars – the company behind iconic electrics played by Billie Joe Armstrong, Kirk Hammett and Robert Fripp – has filed for bankruptcy

Fernandes Guitars, the Japanese guitar company best known for its budget import models and innovative electric guitar pickup, the Sustainer, has filed for bankruptcy.

The news was announced in a statement on the company’s website, posted on July 13, which reads [translated from Japanese]:

“Fernandes Co., Ltd. (hereinafter referred to as ‘Fernandes’) is currently owed a considerable amount of debt to multiple creditors, and unfortunately, it has become impossible to continue business.

“We apologize for the inconvenience caused to creditors and related parties, but in light of the total amount of debt, Fernandes plans to file for bankruptcy proceedings as soon as possible.

“Creditors and business partners who have claims or debts against Fernandes will be contacted in writing by the attorney representing them in the bankruptcy proceedings… We apologize for the inconvenience and thank you for your patronage over the years.”

Tokyo Shoko Research states that, as of January 2024, the company owed 433.89 million yen (approximately $2.75m). It blames its worsening performance on the second-hand market and intensifying competition.

Fernandes Guitars was founded in 1969, first as Saito Musical Instruments, before it was renamed to Fernandes Co. Ltd three years later. It quickly gained a reputation for its copies of popular US-built guitars.

Two main lines were produced: Fernandes, based on Fender instruments, and Burny, which specialized in Gibson replicas.

Initially, guitars were produced in Japan. For a time, these also made their way to the USA where they were sold as cut-price alternatives to the big US brands (although pressure from Fender and Gibson forced the company to soften the similarity of its logos in the ’80s).

As a result of their affordable price tags, Fernandes guitars gained a reputation as good-quality beginner guitars that players wouldn’t outgrow.

Billie Joe Armstrong is perhaps the brand’s most iconic proponent, having owned his iconic ‘Blue’ Fernandes Revival RST-50 Strat-a-like since the age of 10, and played it live at nearly every Green Day show.

Kirk Hammett acquired a Fernandes FST-13 – nicknamed ‘Edna’ – in the early ’80s, which appears on the cover of Metallica’s The $5.98 E.P.: Garage Days Re-Revisited (a budget Fernandes S-style may have also cropped up on the cover of the metal giants’ latest album, 72 Seasons, too.)

The company has produced a number of signature guitars over the years for artists including Brad Gillis, Dave Kushner and Robert Trujillo, as well as Japanese guitar stars Hotei and Hide. Even Keanu Reeves had an endorsement with the brand for a time.

Although the company ceased building guitars for the USA over the past decade, its Sustainer pickup continued to be a popular product outside of its native Japan.

The Sustainer operates in a similar way to the EBow, in that it uses electromagnetism to vibrate the string on its own, which is activated by a switch mounted to the guitar. However, unlike the EBow, guitarists can use a pick with the system.

Its otherworldly sustain proved popular with sonically adventurous players. Prog royalty Robert Fripp and Steve Hackett both use Fernandes Les Paul-style models fitted with Sustainer pickups. Other users include the Edge, the Smashing Pumpkins and Radiohead’s Ed O’Brien, who included the unit on his signature Fender EOB Sustainer Strat.

While the future is uncertain for Fernandes, it remains to be seen whether another, larger company will bail out the brand – with over five decades of history, an iconic pickup and some high-profile artist associations, it could prove to be a savvy move.