BMG Seeks Davis Successor Best Buy Launches by GAIL MITCHELL "Key Man" Clauses with a Number of Inum Sales
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BMG Seeks Davis Successor Best Buy launches BY GAIL MITCHELL "key man" clauses with a number of inum sales. and MELINDA NEWMAN his top acts, meaning that should he "Arista itself has never been more LOS ANGELES At press time on leave the label, they will be allowed successful in both sales and profits," Indie Label Redline Nov 18, it appeared likely that presi- out of their contracts to go with him. he said. "BMG has called Arista its BY CHRIS MORRIS Best Buy has "taken a bold step dent Clive Davis will formally exit Arista has provided a wealth of pop `crown jewel' for many years, and that LOS ANGELES -Retailer Best outside what other retailers have BMG -owned Arista Records by the and R &B hits for BMG throughout its crown has never shined more bright- Buy has quietly established its own done" in starting up Redline. time his contract ends in June and that history, starting with such acts as ly, with more new artists breaking independent record label, Redline He says the retailer saw enter- LaFace co- founder/co- president L.A. Barry Manilow and Patti Smith in the and more established artists reaching Records, which has already ing the marketplace as a way to Reid will be brought into the label. mid- to late '70s. R &B divas ruled new peaks than ever before. enjoyed some commercial success bring its formidable marketing The potential departure is a result during the '80s with the emergence "I will be weighing BMG's offers to with its first release (Billboard - skills to bear in the label field, by of contract negotiations gone sour of Whitney Houston, as well as with me, which involve both preserving my Bulletin, Nov. 16). selling compilation product that is over BMG and its parent Bertels- strong comebacks by Aretha legacy and, ironically, major support Redline's initial double -album attractive to a breadth of chains. mann's desire to have a successor for Franklin and Dionne Warwick. of a new public media company that I compilation, "The Hard + The "Retail is looking for things to ring the 66-year -old Davis in place as part Currently, Arista and its affiliat- would be forming," he continued. "I Heavy Volume One," was released their cash registers," he says. of Davis' new contract (Billboard - ed labels are represented on the am also very moved by the over- Nov 2 and entered The Billboard Arnold recognizes that not Bulletin, Nov. 17). According to charts by artists like Santana, Hous- whelming outpouring of support from 200 at No. 105 last every competitor sources, Davis has resisted allowing ton, LFO, TLC (LaFace), Jones my artists, the officers and employ- issue. The 30 -track will embrace Best any successor to be named. (LaFace), Sarah McLachlan, Eu- ees of Arista, and those in the indus- set, which features `Some Buy's entry in the As part of Reid's deal, BMG also rythmics, Angie Stone, Goodie Mob try. I fully intend to live up to my con- such aggressive label side and that is expected to buy the remaining (LaFace), and Kenny G. tract ending June 30, 2000, and rock acts as Limp [retailers] have it will take time for 50% of LaFace that it does not al- Coming up for Christmas is a new culminating in the two -hour network Bizkit, Kid Rock, said, "This is a some to come to ready own; estimates of the price album from the late Notorious B.I.G. NBC special in spring 2000 called Coal Chamber, the table. range from $100 million to $125 mil- (through Bad Boy). In early 2000 a Arista's 25 Years Of #1 Hits.' " Powerman 5000, great record." "There are some lion. Davis brought LaFace into the greatest -hits set from Houston and In addition to its deal with LaFace, and Monster Mag- [retailers] who BMG fold in 1989. Although rumors new studio albums from Braxton BMG also has a 50% joint venture net, debuted with [Others] have have said, `This is a of the buyout and Reid's ascension (LaFace) and Run -D.M.C. (Profile) with Sean "Puffy" Combs' Bad Boy sales of 14,000 great record,' " he have been volleyed about for months, are planned. Records, which yielded strong results units, according to said, "I'd never says. "There are Reid has always denied any pending Neither Davis -who was in in the mid -'90s through albums from SoundScan. The others who have deal (BillboardBulletin, June 23). Europe with The Artist-nor BMG Combs as well as Faith Evans, Mase, collection stands at buy a record said, `I'd never buy Reid again adamantly denied the Entertainment president /CEO and the Notorious B.I.G. No. 132 this week. from you" ' a record from you." sale speculation a few months later Strauss Zelnick could be reached for Contacted about the BMG /Davis On Nov 16, Red- Best Buy direc- (Billboard, Aug. 7) in a story about comment. discussions, Combs said in a state- line released a sec- - GARY ARNOLD - tor of special prod- LaFace's staff expansion at both its However, both issued separate ment, "For more than 25 years, Clive ond compilation, ucts and product Atlanta headquarters and its Los statements through their press rep- Davis has been one of the most re- "Pop To The Power development Tom Angeles branch, LaFace West. resentatives. spected individuals in the music in- Of 16," a single -album, 16 -cut set Overby co- produced both current Reid did not return calls about the "My strong desire is to do right by dustry, who has built a $3.5 billion aimed at female teens that fea- compilations with Rhino Records latest BMG discussions. LaFace's Clive Davis," said Zelnick. "I have empire filled with hitmakers and tures such major pop acts as Back- VP/GM of special markets Mark roster includes TLC, Toni Braxton, nothing but the highest regard and legends who have revolutionized not street Boys, Britney Spears, Pinkus. (Rhino Special Products Usher, the Tony Rich Project, Out - deepest respect for Clive and what just R &B and hip -hop but all genres Christina Aguilera, `N Sync, Han - manufactured "The Hard + The Kast, Donell Jones, and Shanice. he has accomplished for Arista and of music. son, and Five. Heavy Volume 1 "; "Pop To The Should Davis leave, he is expected the industry. "He has always stood by me and Though 337- store, Minneapolis- Power Of 16" was manufactured to start a new label, possibly with "As CEO I have a responsibility to helped me create my vision, contin- based Best Buy has released its own by BMG Special Products.) Wall Street funding, and then link make decisions based on what's right ually guiding me through tough sit- proprietary albums, including sev- Arnold served as executive pro- with another major distributor, for the company, and that includes uations and never faltering in his eral successful premium titles, the ducer of "The Hard + The Heavy," according to sources. making sure that we have an appro- belief in me, my music, and my busi- chain has now formulated an indie under the pseudonym "The Ice "Clive can raise money in a heart- priate succession plan in place at nesses," Combs added. "I will always label that is geared to sell its wares Fisherman." beat," says a source. "If he leaves, Arista," Zelnick continued. "While stand by him whatever the path he to the entire retail community. Redline's collections are being Arista will see mass defections. we generally do not comment on con- may choose." Bayside Entertainment Distrib- supported by heavy national TV Clive is Arista." tract negotiations, everyone at "I am incredibly saddened by these ution in West Sacramento, Calif., and print advertising, including It is also believed that Davis has BMG- especially me -hopes that events," says Capitol Records head is handling Redline's releases spots on MTV and VH1 and print Clive will stay on to continue building Roy Lott, who worked under Davis at exclusively. placements in consumer books like his legacy and ensuring Arista's con- Arista for 19 years. "It has devastat- Best Buy VP of merchandising Rolling Stone. tinued success in the decades ahead." ed every artist and every employee Gary Arnold says, "The first ques- Arnold says he is not sure how Retailers Mixed "I would like to make it clear that who has ever been connected with tion was typically going to be, many titles Redline will release I have no plans whatsoever to re- Arista. It is truly a terrible thing to `Have you started a record label ?' within a year, but he says forth- On The Merits Of tire," said Davis in his Nov 17 state- happen in this industry ... It's such a Do we intend to have a round coming titles will address various ment. "At age 66 I am absolutely at transient world today, there are a few building on the corner of Holly- other musical genres. He adds that the peak of my powers, producing things you want to be able to count on. wood and Vine? ... The answer is, future projects may include non- Dec. Releases the Carlos Santana and Whitney Michael Jordan played for the Chica- probably not." compilation albums by a single Houston albums, each of which is go Bulls, Mickey Mantle was a Yan- But Arnold acknowledges that artist. BY ED CHRISTMAN generating spectacular multi -plat- kee, Clive was at Arista." NEW YORK -For the second year in a row, a strong slate of albums will be released in December -a month traditionally devoid of new titles.