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ICD 08120 .= rs--.- .: ;`3 DIGIT OIJ66048024EE MAP8E MOhTY GREENLY 0_' 10 Labels beefing up their Ai-T A L C Y 3740 ELM promotion ranks, eye LONG BEACH CA 9oso7 '3 indies for staff jobs -4 -4 See page 3 Richie leads parade of superstar releases See page 3 Scorpio fights back, sues MCA for ;35 million See page 6 VOLUME 98 NO. 14 THE INTERNATIONAL NEWSWEEKLY OF MUSIC AND HOME ENTERTAINMENT April 5, 1986/$3.50 (U.S.) Dealers: We're Swamped By Retailers Adjust To Label Hikes Vid Sell -Through Programs FACE INCREASES Timing, especially in areas CONSUMERS BY TONY SEIDEMAN where spring weather has arrived. next month. labels (Billboard, March 8, 15, 22). NEW YORK The spate of recent Most large chains and specialty BY JOHN SIPPEL That's the consensus among rack- All executives surveyed requested video promotions may be too much stores contacted appear to be expe- LOS ANGELES Consumers can jobbing, retailing, and one-stop ex- anonymity. of a good thing, retailers say. They riencing some stress from the pro- expect general sticker increases of ecutives in the wake of price hikes On the rackjobber level, Handle - claim the home video industry has liferation of promotions. "It's a big up to 10 cents on singles and 75 of 3% -5% now in place from the man Co., whose estimated $300 mil - not yet developed an infrastructure (Continued on page 76) cents on $8.98 list albums over the WEA, CBS, Capitol, and PolyGram lion in annual recording sales paces able to support the large amount of the industry, is yet to make a move. sell- through-priced product avail- A spokesman for the Troy, Mich. - able. based racker says the firm has a Retailer concerns include: For policy of not commenting on the The lack of returns privileges to Charity Events Compete Spotlight possible results of price boosts. reduce purchasing risks. lenge is to keep the crush of charity to keep the events distinct in the Another rack says it would be BY PAUL GREIN Inventory costs for promotion - concerts, marches, and recordings public mind. holding meetings to analyze how wide buys. LOS ANGELES The crowded cal- from causing what Bob Geldof has "The only way you can deal with best to adjust prices and absorb Co-op funds and administration, endar of charity events is forcing characterized as "compassion burn- this proliferation of charity events part of the increases. Another especially when buying only part of organizers to compete aggressively out." is to have something that's special states it has absorbed a few small a promotion. for public attention and industry in- Ken Kragen, who organized last and audacious and unique," he says. increases from manufacturers over For video specialty stores, a per- volvement. year's "We Are The World" record- "The key to Hands Across America the past 18 months, but this general ception that many programs are de- The immediate challenge for the ing session and who is supervising is that it's a unique charity event boost from four of the six major signed not for them, but for mass organizers is to separate their event the Hands Across America project that everyone can participate in, branch operations cannot be ab- outlets. from the pack; a longer -range chal- set for May 25, notes that the key is (Continued on page 74) (Continued on page 76) ADVERTISEMENTS Industry Maps Metromedia Will Royalty Route In Get $285M For Anti-Taping Bill Radio Outlets BY BILL HOLLAND BY KIM FREEMAN WASHINGTON Copyright owners NEW YORK Metromedia Inc. has have advanced a royalty sharing agreed to sell nine of its 10 radio plan to counter criticism that the outlets for $285 million, a record proposed home taping royalty bill price for the purchase of a radio will benefit only the big labels and group. their superstar artists. Metromedia Radio president Carl A music industry group unveiled Brazell Jr. is leading a group of in- the new plan in testimony on Capitol vestors in the buyout, which also in- Hill last Tuesday (25) during the cludes Metromedia's Texas State second Senate Copyright Subcom- Networks. mittee hearing on S. 1739, the Home The investment banking firm Morgan Stanley is helping to orga- Audio Recording Act. The plan is MICHAEL HENDERSON has been a distinguished figure in black HOT WAX. It's clear to hear that veteran hit-makers Graham meant to ensure that royalties gen- music since his emergence as Detroit's most sought after Gouldman and Andrew Gold saved the best for themselves nize the leveraged buyout, and will erated from the pending bill will be session man. Now writer /musician HENDERSON boldly opens a when they formed WAX. Major market out -of-the -box CHR & be a part owner of the yet-unnamed shared among lesser-known and as- new era at EMI America with his solo album label debut. AOR action on the first single RIGHT BETWEEN THE EYES new group. Additionally, Brazell is piring artists. BEDTIME STORIES (ST 17181) and the smash first single PB- 14306 --on MN and "Night Tracks." Their tradition recruiting several Metromedia Ra- "DO IT TO ME GOOD TONIGHT." (B 8312) continues. The album MAGNETIC HEAVEN AFL1 -9546. 10 trax (Continued on page 74) (Continued on page 77) from Wax. 10 classix to be. RCA Records. Dig it. s IOSO ANO R oNs Es fi M c\P SM Asso p". EN EN P,NM N Eo e -EA K Pßvç PP O PPGM ADVERTISEMENT www.americanradiohistory.com WRITTEN AND PRODUCED BY MADONNA AND PAT LEONARD FROM THE FORTHCOMING MADONNA ALBUM ON SIRE RECORDS AND THE ORION NAGEN_ SENT: FREDDY DOMA'- 19 2k, 41,wARNER BROS. RECORDS INC. www.americanradiohistory.com N S SSUE April Hot Album Releases Eleven albums are slated for release in April by artists who hit gold or platinum with their last releases, or VOLUME 98 NO. 14 APRIL 5, 1986 in the last 12 months. All are single-disk sets listing for $8.98, unless otherwise noted. 1 NEWS Consumers can expect increases in the price of singles ARTIST TITLE LABEL DATE PRODUCER and albums over the next month. Video dealers say the spate of AEROSMITH CLASSICS UVE COLUMBIA APRIL 7 VARIOUS recent promotions may be too much of a good thing. Organizers of charity events are competing aggressively for industry involve- CULTURE CLUB FROM LUXURY TO HEARTACHE VIRGIN /EPIC APRIL 7 ARIF MARDIN ment. Metromedia has agreed to sell nine of its 10 radio outlets for $285 million. Copyright owners have announced a new royalty JOURNEY RAISED ON RADIO COLUMBIA APRIL 21 STEVE PERRY sharing plan in connection with proposed home taping legislation. KROKUS CHANGE OF ADDRESS ARISTA APRIL 7 TOM WERMAN 0-3 /New albums from Lionel Richie and Journey top the April re- lease schedule. 0-4 /Rock music came under attack at the recent PATTI LABELLE WINNER IN YOU MCA APRIL 21 VARIOUS International 0-6 is Conference on Drugs. /Scorpio Music, which BARRY EASTMOND, WAYNE LOVE JIVE /ARISTA APRIL 27 being sued by MCA Records for counterfeiting, has sued MCA. BILLY OCEAN ZONE BRAITHWAITE LIONEL RICHIE, JAMES 4 Executive Turntable 37 Latin MOTOWN ASAP LIONEL RICHIE SAY YOU, SAY ME ANTHONY CARMICHAEL 33 Gospel 68 Newsmakers STRENGTH NUMBERS A&M APRIL 28 KEITH OLSEN 33 Jazz 70 Album & Singles Reviews .38 SPECIAL IN 35 Dance Trax 78 Inside Track BONNIE TYLER SECRET DREAMS AND FORBIDDEN FIRE COLUMBIA APRIL 7 JIM STEINMAN 37 Classical WHODINI BACK IN BLACK JIVE /ARISTA APRIL 27 LARRY SMITH 9 COMMENTARY Guest Columns: A retailer speaks out; a call VARIOUS ARTISTS LIVE, FOR UFE .IRS /MCA APRIL 21 VARIOUS for support of the "new" Black Music Assn. Letters. 10 RADIO Label promotion executives say AOR stations' increased reliance on classic cuts is making it harder to expose new acts. Out of the Box. Newsline. 0-12 /Promotions. 0-14 /Yesterhits. 0-15 /Vox Jox. Washington Roundup. Strong Month For Superstar Product 16 /Featured Programming. 20 TALENT P.-Ex-Sex Pistol John Lydon's new album, "Album," is Richie, Journey Top list Of April Releases receiving a generic marketing campaign. 21 /Talent in Action. Boxscore. bum, Arista plans releases by two lowup, "The Present," will try again BY PAUL GREIN acts that went gold last time out: with "The Other Side Of Life," which 23 BLACK The distribution deal between Tommy Boy and Warner LOS ANGELES Lionel Richie's Krokus, whose "Change Of Ad- is due April 14 through PolyGram. Bros. has borne its first fruit with "Tender Love" by the Force "Say You, Say Me" leads a parade of dress" was produced by Tom Wer- The $9.98 album was produced by M.D.'s. The Rhythm & the Blues. superstar album releases set for man (story, page 20); and Whodini (on Tony Visconti. 27 COUNTRY True Value Hardware has replaced Wrangler as April. Jive), whose "Back In Black" was The top multi -artist album due in sponsor of the "Country Showdown." Nashville Scene. Richie's Motown album is the fol- produced by Larry Smith. April is IRS's "Live! For Life," which 37 RETAILING A NARM seminar provided advice on cutting lowup to his 10- million- seller "Can't Three noteworthy debut albums is designed to benefit the American down on internal theft. Audio Plus. P-39/New Releases. Slow Down," which won the 1984 are set for release in April. Motown Cancer Society. Among the artists on 1.-42 /Grass Route. Grammy for album of the year. The will issue the first solo album by El the album: Sting with Jeff Beck, the title song logged four weeks at No.