In April S&P Global Ratings lowered the company's corporate credit grade to "selective default," indicating that it was at risk of going bankrupt. But since then, Guitar Center has refinanced its roughly $1 billion worth of debt, which, taken in combination with its same-store sales increases of recent quarters, has brightened its horizons considerably, according to the Los Angeles Times.

“We had a really strong year last year,” CFO Tim Martin told the newspaper. “We’ve been progressively getting better each quarter, and that’s not something a lot of retailers can say right now.”

The retailer is set to roll out six Guitar Center and 30 Music & Arts stores (the latter sells and rents band and orchestral instruments) and to offer music lessons. It is also ready to spend some $55 million to $80 million on revamping the Guitar Center stores, in addition to making the merchandise more accessible to customers who want to try it out, the newspaper reports. And like Barnes & Noble, Guitar Center is adding seating and serving up coffee.

“In the day-to-day operations of the company," Frank Alkyer, publisher of Music Inc. magazine told the newspaper, "they’re being very aggressive and smart at what they’re doing.”