Tone Deaf reported the other day on the woes besetting EMI Worldwide, which is facing the prospect of being repossessed by bankers and being split up and sold. As the financial reporting season kicks in, in London and New York, the news isn’t looking much better for their rivals.
Warner Music Group revealed their results this week, increasing revenue 3.5% year-on-year to $918 million in the quarter to Dec. 31, 2009, however it recorded a net loss of $17 million. Generally revenues were up across most areas of the group – even in the recorded music sector, shock horror – but to put it bluntly, the company still operates like it’s 1991 – digital revenue only counted for 22% of recorded music revenue.
Over at Universal, the results aren’t out yet, but they have a new head honcho – legendary music biz ball buster Lucian Grainge. Grainge, who started at CBS in 1979 as an 18 year old punk entrusted with talent scouting, struck gold when he signed the Psychedelic Furs as his first contract.
Working his way up through the ranks over the years at various record companies, in 2005 he was appointed chairman and chief executive of Universal Music Group International (UMGI), which handles the group’s affairs outside the US. Now he’s got the top job and is moving to New York to take up the reins as worldwide CEO. Described by the man he is replacing as a ‘killer shark’, Grainge has pioneered embracing the digital revolution and alternative income streams. His outgoing boss doug Morris once said: “He is so deceptive with that little kind face and those little glasses. Behind them, he is actually a killer shark.” Grainge, when asked what he thought of the comments, replied “I loved it”. It’s always good to see record company sharks being honest about their role in the world.
Got to love the year 2010……
