EMI CEO Faxon Says No Immediate Layoffs Following Sale
November 14, 2011

On Friday, Citigroup officially found its buyers for EMI, as the recorded music division was sold to Vivendi/Universal Music Group and its publishing arm was sold to a group led by Sony/ATV. Now the fallout begins from the multi-billion dollar deals.

Billboard.biz has released a memo from EMI CEO Roger Faxon, sent to the company's staff late Friday following the announcement of both deals. Faxon notes that both deals will "need to clear the necessary regulatory hurdles" before any changes begin to take place, and until then, "EMI will continue to look much as it does today."

In a Q&A section of the memo, Faxon answers the question "Will there be layoffs?" by saying, "During this transition period it is business as usual for us. That means we will continue to implement our current plans and drive the performance of the business. However, to be very clear we are not planning any transaction-related layoffs, in anticipation of the completion." Of course, there is the likely chance of layoffs happening further down the road when and if the deals eventually are approved and closed.

Faxon notes that legal separation of both the recorded music and publishing divisions of EMI must be completed before either deal can close, followed by applications from UMG and Sony/ATV to anti-trust regulators.

Meanwhile, Vivendi has shot down rumors that it could sell off UMG, following the acquisition of EMI. According to the Financial Times, Vivendi CEO Jean-Bernard Levy said, "We haven't grown Universal Music with two major transactions just to spin it off." He added that "we're not bankers; we're not private equity. Music runs through our veins."

Breaking News
CMG Tampa Appoints John E. Kage Dir. of Branding & Programming at Hot 101.5 FM
Jacobs Media Announces "Tech Trends For Radio" Webinar
November 25, 2015
In Brief - November 25, 2015
November 24, 2015
FCC Fines Drawing Scrutiny In Congress
In Brief - November 24, 2015
November 23, 2015
Bill Hess Named OM At Cumulus-Washington, D.C.
In Brief - November 23, 2015
November 20, 2015
Adams Radio Group Of Delmarva Names Jay Gleason Operations Manager
iHeartRadio Presents Adele¹s Album Premiere Live from Joe¹s Pub 
Radio Mercury Awards Announces Advisory Council
November 19, 2015
Westwood One: The State of American Podcasting
Nielsen: Connecting With Political Millennials Through Music
Jacobs Media Webinar: 10 Mega Trends That Impact Radio
November 18, 2015
Republic Records Promotes Ben Adelson To SVP/A&R
Y100’s TC Wins Dancing with the Savannah Stars
Greater Media's Magic 106.7 To Become Boston's Christmas Station
November 17, 2015
Alissa Pollack To Be Honored At T.J. Martell Foundation’s 16th Annual New York Family Day
Cash Money Records Announces Annual Turkey Giveaways in Miami & New Orleans
Amanda "AJ" Malone Joins iHeartMedia/Indianapolis
Jacobs Media Blogs Radio’s Days as a Primary Traffic Source May Be Numbered
November 16, 2015
Pandora to Acquire Key Assets from Rdio
Music News
Adele Sells 3.38 Million Albums in the U.S., Debuts at #1
Adele Announces European Tour Dates
Quick Hits: Adele, Eagles of Death Metal, Charli XCX, Joe Jonas
Adele's 25 Smashes Sales Record
Quick Hits: Charlie Puth, Coldplay, Jack Ü
Bieber, One Direction Lead Billboard 200 Shakeup
One Direction, The Weeknd Win Multiple AMAs
Rihanna Announces Anti World Tour, Teases New Album
Foo Fighters Release Free EP
Quick Hits: Coldplay, U2, The Cure, Wilco
Chris Martin Talks Influences On New Coldplay Record
Quick Hits: Foo Fighters, Justin Bieber & One Direction, American Music Awards, Paris attacks, Tori Kelly
Adele's 25 Won't Be On Streaming Services
Quick Hits: Kelly Clarkson, Missy Elliott, Jimmy Eat World, Freddie Mercury, Bonnaroo
Zayn Malik Opens Up About One Direction Exit

Manny Simon
VP/Adult Formats,
Republic Records

Search FMQB.com
FMQB Member Login

Not a member yet?
Sign up Now!
Sign Up for Breaking News!
Enter FMQB E-Tracking!