NEWS

Cost savings drive new Network continued from page 1 Sonys show tionexecutive who competes withbeen appointed managing director of The combined operation will serve Warner and Sony says the move makes the new venture; Jan Gach, VP ofaround 4,000 accounts in music, video perfect economic sense. "Everyone hasoperations at Sony Music, will beand other software lines, with at least radio reality to collapse [reduce] costs," he adds, esti- deputy managing director. one third of capacity devoted to third by Mike McGeever mating that the two labels will be able The implications of the move areparty product.It will operate from to make savings of up to 30 percent inbeing keenly studied by leading U.K. Sony'sexisting250,000square -foot LONDON - This year's Sony Radio some aspects of their distribution busi-music retailers. HMV Europe manag- premises in Aylesbury. The Aylesbury Awardsarebeingrevampedto ness. His guess of combined annual effi- ing director Brian McLaughlin says site has had excess capacity since Sony "reflect the radio industry as it really ciency savings is $1.5 million. the chain "will be looking at the fine shut down itsvideo manufacturing is today." According to U.K labels' body thedetail of this move to see how it operation there in 1996. The bulk of the The U.K event, now in its 16th year, British Phonographic Industry (BPI), impacts on HMV." two firms' manufacturing is done in will be held on May 7 at the Grosvenor statistics for 1997 show the new ven- Andy Lown, managing director ofcontinental Europe. House hotel in London. There are 80 ture's share of the total U.K music busi-Tower Records U.K., Europe and Mid- Warner U.K. says it will "eventual- nominations in 26 categories covering ness by distribution would be approxi-dle East, notes that Sony already suc-ly" close its site at Alperton. The 110 every facet of British radio. mately 21 percent (albums) and 19cessfully distributes Warner productdistributionstaffthere"willbe This year's awards include 10 new percent (singles). The figures, suppliedin Ireland, where Tower has a highoffered the chance to apply for jobs at categories covering breakfast,day- by Chart Information Network (CIN),profile Dublin store. Lown says he Aylesbury." However, a spokesperson time, drivetime, late night and week- show that both companies lost distribu- sees the new venture as "a logical adds: "They're reviewing all their sys- end shows. The new categories have tion share last year Sony dropped tostep. I don't have a problem as long astems, so the same jobs may not exist been designed to take account of the 11.4 percent (albums) and 7.9 percentboth companies maintain their ser- in the future." A further 90 finance evolution of new formats, and the (singles),Warnerto9.2percent vice; it makes sound business sense." and sales employees at Alperton are growth of the commercial radio sector. (albums) and 10.8 percent (singles). Leicester -based independent likely to be relocated to a nearby loca- "The awards will no longer be an Neither Sony Music Entertainmentretailer Richard Wootton is chairman tion yet to be decided. endurance contest," says Tim Black - U.K chairman/CEO Paul Burger norof trade body, the British Association In Australia, Sony and Warner more, the programme directorof Warner Music (U.K.) chairman Rob of record Dealers. He echoes Lown'sshare a distribution operation called independentproductioncompany Dickins were available for comment at sentiments, "If Sony and Warnersthe Entertainment Distribution Com- UniqueBroadcasting who will time of going to press; both are expect- think it's a good idea, and there's no panies (EDC) with EMI. In Japan, the replace broadcasting veteran John ed to sit on the board of The Enter-drop in service, I can't see a problem.two companies are among the partners Whitney as the awards' chairman tainment Network. Warner Music Hopefully the result of the amalgama-in Japan Distribution System (JDS). next year. "They now reflect the cur- operations director Gwen Pearce hastion will be an even better service." Additional reporting by Tom Ferguson. rent landscape of the entire radio industry," he says. France '98: music's cup of cheer? continued from page 1 Nominees in the key music radio - related categories for 1998 include: In the U.K, however, the album is In France, World Cup fever hasOf The World will be released as a TheBreakfastAward-Music: unlikely to be released until June. The already spread to radio stations whosinglethroughEMI,andDel Chris Evans (Virgin Radio/London); delay thereis due to negotiationsare eager to sift through the flood ofAmitri's Don't Come Home will be Steve Jackson's Morning Glory (Kiss between Sony Music U.K and Londonfootball -related releases this spring. out on A&M Records. 100FM/London); Wake Up To Records on the possible inclusion of theYves Bigot, scheduling director of local By the time the World Cup final Wogan (BBC Radio 2/London) official England team song On Top OfParis station Sport O'FM, says: "Our finishes on July 12, an estimated TheDaytime Award-Music: The World, written by Echo & Thestation focuses on sport-particularly combined world-wide TV audience of Pete, Geoff & Noel (Key 103/Man- Bunnymen's Ian McCulloch and for-football-so these are the kind of3.7 billion will have heard N'Dour's chester); Mark Radcliffe (BBC Radio mer Smiths guitarist Johnny Marr. tracks we are looking for." La Cour Des Grands and Martin's La 1/London); Jo Whiley's Lunchtime Sony is optimistic that the quality of He adds: "We need upbeat, joyful Copa De La Vida plus various other Social (BBC Radio 1/London) the songs written and recorded for thesongs. But not at any price-thetracks off the album. Ogden esti- The Drivetime Award-Music: project will validate the unprecedented tracks must have a certain quality, mates Allez! Ola! Ole! is likely to sell David Jensen's Drivetime (95.8 Capi- number of single releases from theand the lyrics cannot be vulgar." Sport two million units world-wide, one tal FM/London); Dave Pearce (BBC album. "Allez! Ola! Ole! is not a gimmick O'FM is already playing La Cour Des million of those in Europe. Radio 1/London); The John Dunn record about football," says Sony Music Grands, La Copa De Vida and Wes' I "But the story won't end on July Show (BBC Radio 2/London) Europe senior VP Richard Ogden. Love Football. 12," believes Ogden. "We are confi- "What we tried to do," he explains, Final track listing on the albumdent the individual singles on Allez! "was to create singles which wouldwill differ from territory to territory, Ola! Ole! will draw attention to the enhance the artists' careers and be suit- but all versions of the album willartists' other material, and we will able for inclusion on their own albums feature 20 tracks, including all thecontinue to work a number of tracks as well as compiling them on one album pan-European singles plus Jarre'sin one form or another during the sec- to accompany the World Cup." Together Now. Chumbawamba's Top ond half of the year."

Czech labels, radio in ads row continued from page 1 Record companies inthe Czechcial treatment in the past. But now, we are not like other clients. We are Republic have traditionally bypassedthere isn't enough airtime available on trading in music, and that is the basis national sales houses and agreed dealsstations to accommodate every client. of most radio. We know that, and they with individual stations for ad cam- Soif they want to promote theirknow it too. The question is, who is paigns, usually based on a barter sys-records, they will have to pay for that, more important than the other? The tem where CDs plus a nominal fee arejust like any other client." answer isclear enough-we can't swapped for ad spots/artist spotlights. The record companies, however, exist without each other." MMS has a market -leading 36.5argue that the Kc100,000 ($2,941) percent share of the radio ad market in price tag MMS has attached to week- the Czech Republic; its clients includeend promotional campaigns for their For the record national AC broadcaster Radio novaartists is far too high. Petr Kraus, In Music & Media's March 21 issue, it Alfa and the 27 -station HIT radio net- head of radio promotion at PolyGram, was stated that Border Radio Hold- work.Says MMS directorgeneral says:"No-onebudgetedforthis ings' Century Radio was a major BBC chairman of the board of Daniel Sedlacek: [The record compa-amount in their marketing plans-it's shareholder in Rock 105's application governors, Sir Christopher Bland, nies] are spending money on promo-5-20 times more than what we paid for the Radio Authority's north east congratulates outgoing Sony tion in other media, but not on radio,before. At that price, [record] compa- England regional licence. This was Radio Awards chairman, John because they consider radio to be free. nies smaller than us will prefer to pay originally the case, but Border with- Whitney for completing seven And we can't accept that. The radio for a TV campaign." drew from the application following years at the helm of the event station owners are saying 'we don't Another music industry executive, itssuccess in winning the Radio during a party to announce the want this situation anymore.' " who wished to remain anonymous Authority'snorthwestEngland nominees of this years awards at "The radio scene here has developed because of his company's ongoing regional licence. Border's place in the the Landmark Hotel in London to a point where it's necessary to clean negotiations with MMS, adds: "This Rock 105 consortium has been taken March 31. This is Whitney's last up the market," Sedlacek continues. price is simply laughable, it's just tooby the York -based broadcaster Min- year as chairman. "[The record companies] received spe- much. [Record companies] are special, ster Sound Radio plc. MUSIC & MEDIA0APRIL 11, 1998