Contents Executive Summary Business & Financial Review

Portfolio Business Review Terra Firma’s Funds Contact Information terra firma

Annual Review 2007 Excerpt from the 2007 Annual Review EMI Human Interest Article Contents Executive Summary Business & Financial Review

Portfolio Business Review Terra Firma’s Funds Contact Information

EMI

Charting the progress of an industry

ANTONIO PAPPANO Say EMI to most people and they’ll probably talk about the Beatles or In the music business, it’s not just the Digital was a watershed in more ways Coldplay. What they’ll be less likely to sound that has changed over the past than one – it has totally transformed know is that EMI represents a huge forty years. What goes on behind the not just the way music is made, but breadth of artists from all kinds of scenes in the recording studios and how it is distributed. Today’s music music genres. is one offices has moved on too. As one fan is more likely to download a track of the stars of EMI Classics. Currently of the industry’s most well-known onto their MP3 player from the internet Music Director of the Royal Opera in labels, EMI has pioneered some of than walk into a record store and buy London, Maestro Pappano’s prodigious those changes and seen its business a CD. This has led to music executives talents have seen him conduct leading evolve almost beyond recognition. needing to be as creative as the artists orchestras at the finest opera houses Someone who has had a front row they represent in finding new ways of and concert halls in the world. seat for longer than most is Pete Mew, generating revenue. a sound technician who has worked at Just one of his many achievements is EMI since 1965. EMI is now operating in a business being the youngest conductor to lead where the music is just one part of a the orchestra at the Royal Opera House, One of the most obvious changes much bigger commercial picture. Pete where he conducts both the Royal Pete has witnessed has been the has seen first-hand this fundamental Opera and the Royal Ballet. Antonio evolution of music technology. “When shift in the role of music. “Music is being has recorded extensively throughout I started out,” he says, “the biggest used almost like an advertisement to his career, Don Carlos, La limitation was the number of tracks sell gigs, merchandise, even ringtones,” Bohème, (awarded Best we could combine to make a record. he says. “It is still generating money, Recording of the Year by Gramophone Initially, it was two tracks. By the end so it’s still repaying its investment, Magazine), Il Trittico, Werther, Manon, of the analogue era, we had 48 tracks but is being used as much more of a Tosca, Il Trovatore and many other great to play with. Now, the arrival of digital marketing tool for other products.” works for EMI Classics. technology has opened it up even further, making it easier to record The pace of creative and technological He is also Music Director of Rome’s music and play around with the final change in music remains breakneck, famed Academia Nazionale di Santa sound.” so it is hard to predict what the next Cecilia, Italy’s leading symphony innovation will be. What is more sure is orchestra, with whom he has recorded that EMI, and Pete, will have a hand in it. several works, also for EMI Classics.

89 TERRA FIRMA ANNUAL REVIEW 2007