MEDIA GROUP: REED BUSINESS (INFORMATION)
WEB PAGE:VARIETY.COM
(FULL STORY ON THE EMI GROUP WEB PAGE)
EMI to pinkslip up to 1,800 staff
Hands tells staff of restructuring plans
One of the biggest shakeups in the music industry's history is expected to be announced today by EMI.
It is likely that 1,500-2,000 people will be pinkslipped, a slew of artists dropped and departments at individual labels centralized. EMI's key pop labels, Capitol, Virgin and Parlophone, are likely to retain only their individual A&R responsibilities as sales, marketing and administration staffs are merged into a single entity.
A number of EMI offices are expected to close, and it's possible several of the company's smaller imprints will shutter. Speculation is that the profitable music publishing unit and A&R departments will be left largely untouched.
The company is looking to shed annual costs of nearly $400 million, a figure in line with the amount targeted by Edgar Bronfman Jr. when he took over Warner Music Group in 2003. Warner Music staff is now down to about 4,000.
Guy Hands, chief of EMI's new owners, Terra Firma Capital Partners, will deliver a presentation to EMI staff today at the Odeon Cinema in the Kensington section of London.
SOURCE:VARIETY MUSIC NEWS
