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Story And Clark Expands Manufacturing

SENECA, PENNSYLVANIA - - April 15, 1997 - - QRS Music, Inc. ("QRS") announced today that its’ Story & Clark Piano manufacturing division has signed a contract with DCB Construction, Franklin, Pennsylvania, to build a 13,000 square foot addition to the main 26,000 square foot facility located on Quaker Drive.

Ed Keefer, Story & Clark president, said the new building should be completed and in operation during August. He added that the new facility will greatly improve work flow and provide separate assembly space for the Company’s new grand piano line, the Hampton. Also, the QRS Pianomation™ system assembly and distribution has recently been moved from the Florida facility to Story & Clark creating yet the need to increase assembly and storage space. When the new addition is complete, the Company will have 51,000 square feet of production, assembly, office and showroom space. Keefer said the increased space will produce certain efficiencies and several new jobs. Presently, Story & Clark employ 45 people.

The official introduction of the Hampton Grand Piano was at the winter National Association of Music Manufacturers (NAMM) show in January and the resulting orders have required more manufacturing space. The Hampton has classic Victorian styling and is the first grand yacht tail piano to be introduced and manufactured in the United States since the early 1900’s. Keefer said the production level is presently set at about 100 pianos per year. However, the order flow has been "very brisk" and the yearly production levels may have to be increased. Hamptons are being shipped but, the backlog is still growing.

In 1992, QRS acquired Classic Player Piano, Inc. the last of the remaining manufacturers of player pianos, whose products are marketed under the Story & Clark name. The acquisition brought QRS back to its corporate roots. Its founder, Melville Clark, who founded QRS in 1900, was also one of the original owners of the company that became Story & Clark. Both player and acoustic pianos are manufactured under the Story & Clark name. The Company has facilities in Buffalo, New York; Naples, Florida; and Seneca, Pennsylvania.

The QRS Pianomation system can turn any piano into a reproducing player piano. A patented hardware and software process can store and transport Musical Instrument Digital Interface ("MIDI") information as an analog signal. This process gives QRS the ability to store, and wirelessly transmit, MIDI performance data in an analog format from a controller (CD, video, cassette, DAT) to the receiver on the piano. This creates numerous possibilities. For example, most off-the-shelf audio equipment has a left and right channel available for use. State of the art technology permits QRS to store the digital signal in an analog format on the left channel of the software which operates those players. This leaves the right channel available for live prerecorded audio music, even vocal recordings. Pianomation blends them together in perfect harmony and perfect synchronization. The Pianomation MIDI System is the first product of its kind to "marry" analog and digital technology.

QRS’ extensive catalog collection of traditional piano rolls for player pianos is the largest in the world. Those player piano rolls captured the key movement and timing of the artist. Composers and original artists who have recorded on QRS rolls include: George Gershwin, Liberace, Ferrante & Teicher, Peter Nero, George Shearing, Roger Williams and many others. These classics are being republished in a CD format.

QRS Music, Inc. World Wide Web site is http://www.QRSMusic.com. QRS is also on America On Line (Keyword: QRS). QRS Music, Inc. stock is traded on the NASD Electronic Bulletin Board market system with the symbol QRSM