Several Krell-related sources, such as dealers and others, reached out to me on Monday to share the surprising news they had just received in that morning’s email – top Krell executive Walter Schofield has left the company. Other than that basic fact, dealers didn’t know much more as the terse communication from Krell contained very little information. Speculation is running rampant…
See more on what I’ve learned about developments at Krell
Krell Industries LLC, a manufacturer of fine high-end amplifiers and other electronics, is no stranger to turnover in its top executive position as the company has struggled for years with a specialty channel undergoing a transformation. However, on Monday the company abruptly announced the departure of Chief Operating Officer Walter Schofield – a key player that many dealers felt was leading a beneficial turnaround at the company ever since he joined it back in August 2018.
It was a key hire for the company, as just months earlier in 2018, rumors were swirling around that Krell may be going out of business. Within a month of joining, Schofield went to CEDIA 2018 along with VP Gordon Shackleford to lay out their plans for a revitalization of the Krell brand…and business. Shortly after CEDIA, Shackelford left the company to pursue other opportunities, leaving Schofield to lead the transformation.
COO Schofield is Out
Now Schofield is out, leaving a lot of questions about the company in his wake. Also departing the company is Lenny Lucatino, Krell’s Network Systems Administrator. It is not known if this is a related departure, somehow connected to Schofield’s situation…or simply coincidental.
The notification to dealers was signed by Rondi D’Agostino, Krell’s owner, and was just four sentences long. It was notable both for what it said and for what it didn’t say.
An Effective Date Two-Weeks Old
The first thing I noticed is that there is no attempt to explain this situation to dealers, even though one of them – Schofield – is a key person in dealer relations. The second thing I saw is that this communication, sent to dealers on July 25th, indicates that these executives left the company on July 11th – two weeks earlier.
While it does include the perfunctory, “We thank them for their service to Krell and wish them will [sic] in there [sic] future endeavors,” it provides little information on what happens now – other than to list new communications points for dealers.
Statements from D’Agostino and Schofield
I reached out to both Krell owner Rondi D’Agostino and Walter Schofield, both of whom declined to speak with me directly. However, they both did provide a short statement on the situation.
Rondi D’Agsotino: “There is nothing to say other than Walter and [I] could not agree and so [we] went our separate ways.”
Walter Schofield: “All I can say is that it was time for me to move on, and I did so amicably. I wish Krell all the best, and I hope people continue to support the brand.”
More sources may emerge with additional details as this story circulates. I will update it if anything new or meaningful comes out.
See more on Krell by visiting krellhifi.com.
Only surprise is how long this took to happen
Ted go back far as you have to right here on your site I hate to say I told you so
but,…. I DID!
Walter Schofield was the wrong choice from the ‘getgo’
The past 4 years seem to disagree with you.
Not smart to bash industry veterans, especially one as well liked and respected as Walter.
Walter tried valiantly to resurrect an older regarded brand that had potential. I am certain he will show up somewhere where he can use his skills well.
I’ve known Walter for over twenty years both as a colleague and a competitor. He’s the consummate AV professional and has no doubt forgotten more about selling and marketing high end audio than most will ever know. He’s left Krell in a far better position than when he joined them and, should he choose to do so, he’ll go on to better things I’m sure.
Whatever axe you have to grind with Walter you’’re doing yourself no favors by trying to sharpen it here
I worked directly with Walter for the past 13 months. During that time it was extremely apparent to me that he was the ideal person for the job of turning Krell around! I witnessed everything he had so selflessly done to professional present the brand, improve product reliability and QC, improve customer service and dealer/distributor relations, and forged a serious top-to-bottom business plan to take the company proudly into the future. On top of all of that, everything Walter promised he delivered, and humbly.
I’ve worked professionally in the audio industry since 1984, have owned manufacturing and distribution companies, consulting agencies and rep firms, and have worked with some highly reputable audio brands. There is absolutely no question that Walter Schofield is at the top of his game, with few, if any, better educated and experienced to run an audio brand. Walter was THE reason why I accepted an offer to work with Krell last year, and he not only proved to be exceptional at what he does and all that he had accomplished (at Krell), but he’s a true gentleman and someone I am proud to call a friend.
Kevin, you do yourself a disservice and to anyone who would consider doing business with you for making such unprofessional statements about Walter and his time at Krell.
And yet, NO ONE knows who you are, or cares. Haters like you are not welcome. Your comments were classless and unprofessional, probably much more akin to your own demented personality. Seek professional counseling and stay away from tall building ledges is my advice to you. Good luck listening to your little Bose system!!!!
Read my post below. Ask any sales manager who has been around the block. Oh, they know KM. ;)
Lol. I “hope” people continue to support the brand… hmmm.
I beg to disagree, Walter did a phenomenal job with Krell. They will miss his expertise.
When you have company ownership Like this one that has a very specific and focused view On what they believe should be done and how It’s often very difficult I’m not nearly impossible for outside executives For new executives or veteran executives for that matter fit themselves into the companies owner vision Oh what should be happening Without a question The ownership vision will win . I have great respect for Walter And I consider him a fine executive But As one other poster noted He was probably not the ideal choice for this particular job I’m not sure there is one I am sure other competent executives will belly up to the bar I take a shot I think industry needs companies Like Krell But likewise Those companies Have to present a stable trustable business to do business with This kind of turmoil without explanation does not create that kind of feel.
Walter had great passion and enthusiasm towards dealers and the KRELL brand as a whole. Not sure what happened, but I wish Walter and KRELL the very best!
People like Walter are a reason why I miss the audio industry. Antics and drama like this from audio companies are a why reason I don’t.
Although I left the business some years ago I still remained in touch with some of it, attending audio events and dropping into retailers occasionally. One of the standouts in the last few years was Krell, and Walter’s enthusiasm and passion for the brand and category reminded me of the best brand representatives it was my privilege to know during my years in stereo retailing myself. IMO if he wasn’t the person for that job, then no one is really.
Walter is a gentleman who worked very hard to rebuild Krell, and his passion and experience should be lauded, not diminished. I am sorry that this did not work out for him, but I am sure he will land with a company that will appreciate his talent and what he has to offer.
Walter has always been a gentleman, and from my perspective, he had a passion for music, audio, and yes doing the best for Krell. Hope to see him at a show in the future, I’ll gladly buy him a drink.
I first worked with Walter in retail in the mid-late 1990s and have kept up with him, both personally and professionally, since. Walter’s overall capabilities and knowledge of business, combined with his passion for the audio industry, professionalism, and tenacity tackling challenges, leave no doubt in my mind he was the right choice for Krell. It’s a shame to see things unravel this way when there seemed to be so much momentum building in the right direction.
Walter is a wonderful person and an incredibly astute veteran of our industry. He was passionate about the Krell turnaround and it was evident in the positive press and direction the company the past few years. Wherever he lands is lucky to have him.
It’s well known that the poster with the initials KM ships wherever and to whoever…. However. ;) I predict that Mr. Schofield knows him well. Maybe he terminated once or twice? It’s a small industry.
I’ve known Walter since we were both kids, close to 40 years. He was an instant friend who has become a lifelong friend. It is a shame that his time at Krell has come to and end, I don’t know the details of the company’s situation at present, but I know that Walter was trying very hard to do right by the brand, putting all his passion and energy into it (as he always does). I’m sure he will find his way into a new position quickly and I wish the best for Rhondi and Krell. These things are never easy.
As a former Krell dealer since the 1980s, as well as a Krell equipment owner, I felt Walt was doing a fine job of rebuilding the Krell brand. I have also known Rondi for that same long time. It is a tough (rock and a hard spot comes to mind) job to run and rebuild a company like Krell.
I wish all well and hope that Krell can continue with it’s resurrection. The new equipment sounds great!
Thanks for sharing your thoughts Jeff.
I’m firmly on the side that thinks Walter WAS the right guy for the job. The business is completely different today than it was when Krell started and it needs visionaries who understand branding, without which a company cannot survive. There ain’t no “build it and they will come” in this biz.
its not management , its a change in the business – high-end audio was a small audience at best now due to changes dealers with expensive equipment to sell just sit in the back -also retail stores are vanishing -at the speed of shopping malls , be leave me I know I am in the TV repair business and guess what , life long audiophile ..just bought a pair of evolution 400 love-em
Art,
No doubt the only constant in life is change…so I see your point. How is the TV repair business holding up?
Ted