The advances being paid by Sony are to be offset by sales of albums as well as revenue generated by licensing Mr. Jackson's music for uses like videogames, movies and theatrical performances. But unlike the megadeals struck in recent years by concert promoter Live Nation Entertainment Inc. with pop stars Jay-Z and Madonna, the Jackson deal doesn't give Sony income from other parts of the late singer's business, such as merchandise sales or fees for licensing his name and likeness.
This means (if I am correct) that they can only use the music they could already use until 2015, right? (my head hurts)...
"For we wrestle not against flesh and blood, but against principalities, against powers, against the rulers of the darkness of this world, against spiritual wickedness in high places."
And what is this: The new deal extends that right until 2017, and adds the rights to material recorded since then. Since when? 2009, 2015, 2017? He's 'dead' .... record what and how?
"For we wrestle not against flesh and blood, but against principalities, against powers, against the rulers of the darkness of this world, against spiritual wickedness in high places."
And what is this: The new deal extends that right until 2017, and adds the rights to material recorded since then. Since when? 2009, 2015, 2017? He's 'dead' .... record what and how?
A record contract struck in the early 1980s gave Mr. Jackson ownership of his recordings. Sony had the right to distribute those recordings through 2015. The new deal extends that right until 2017, and adds the rights to material recorded since then.
maybe recordings since the 80's? I dont get it. so sony had the right to distribute those recordings until 2015, and with the extension they have the right to distribute those recordings until 2017? material recorded since when? 2017? the only thing I could think of is since the 80's...but that would mean before the extension they only had rights to material before the early 80's which makes no sense!
If... he were "dead" they could pull that off. Some of his songs are incomplete, he has acknowledged this. Take a voice track from here...add some music from over there. A talented producer and engineer could bring it all together for a new recording. Think about duets between live and dead singers. Modern technology... <!-- s --><!-- s -->
And what is this: The new deal extends that right until 2017, and adds the rights to material recorded since then. Since when? 2009, 2015, 2017? He's 'dead' .... record what and how?
credit Wall Street Journal. I didn't want to start a new thread even though this gives more detail for the record deal.
By ETHAN SMITH
Months after his death, Michael Jackson set a music-industry record, thanks to a deal between his estate and Sony Corp. valued at as much as $250 million, according to people familiar with the terms.
.The deal—touted by both Sony and Mr. Jackson's estate as the most lucrative recording contract ever— guarantees the estate at least $200 million. With 10 albums over seven years, the deal will involve a mix of previously unreleased songs and new packages of familiar ones.
The dollar amount is especially striking against the backdrop of the music industry as a whole, in which U.S. album sales have plunged 52% in a decade. Superstar deals worth tens of millions of dollars per album were rare even at the peak of the CD-sales boom in the late 1990s. Yet it also underscores that the biggest acts are becoming even more essential to record labels, as individual fans purchase fewer albums each year.
Sony has sold an estimated 31 million Jackson albums since his death.
.Since Mr. Jackson's death on June 25, Sony has sold an estimated 31 million of his albums globally. By the first anniversary of his death, his estate expects to have earned $250 million from sales of music, merchandise and tickets to the posthumous concert film "This Is It."
The advances being paid by Sony are to be offset by sales of albums as well as revenue generated by licensing Mr. Jackson's music for uses like videogames, movies and theatrical performances. But unlike the megadeals struck in recent years by concert promoter Live Nation Entertainment Inc. with pop stars Jay-Z and Madonna, the Jackson deal doesn't give Sony income from other parts of the late singer's business, such as merchandise sales or fees for licensing his name and likeness.
In an interview, Rob Stringer, chairman of Sony Music Entertainment's Columbia/Epic Label Group, said that his company was confident it would more than recoup its hefty investment, which he characterized as more than just a record deal.
"We see it as a partnership," Mr. Stringer said.
The deal should give Mr. Jackson's heirs plenty of breathing room with respect to the crushing debt load he had built up in his final years. With his album sales dwindling and concert touring ground to a halt, Mr. Jackson borrowed heavily to finance his lavish lifestyle.
.The estate is likely to pay off about $125 million in debt by the end of this year, including $35 million owed to AEG Live, the promoter that was to stage a series of concerts by Mr. Jackson in London. The estate is likely to refinance another $325 million backed by Mr. Jackson's two biggest assets: Sony/ATV Music Publishing, his venture with Sony that owns copyrights to 251 Beatles songs; and his 2,600-acre Neverland Valley Ranch outside Santa Barbara, Calif.
A $300 million loan backed by Sony/ATV and held by Barclays PLC matures at the end of the year, and before Mr. Jackson's death it loomed as a major financial challenge.
In striking the deal, Sony is betting that the appetite for Mr. Jackson's music will prove more than just a spike generated by his unexpected death and the ensuing round-the-clock coverage. A record contract struck in the early 1980s gave Mr. Jackson ownership of his recordings. Sony had the right to distribute those recordings through 2015. The new deal extends that right until 2017, and adds the rights to material recorded since then.
The new deal, like the one from the 1980s, was negotiated by John Branca, Mr. Jackson's long-time lawyer and now an administrator of the estate.
The deal retroactively covers the soundtrack album to "This Is It," plus a range of other releases, some of which have been mapped out, with others to be determined later. An album of previously unreleased songs is likely to hit stores before the end of this year, and another collection is due out later. The deal is also likely to cover expanded reissues of Mr. Jackson's albums "Off the Wall" and "Bad," as well as collections of remixes. A DVD of all of Mr. Jackson's music videos is likely to be created at some point.
Speculation has circulated that Cirque du Soleil would create a Las Vegas show based on Mr. Jackson's music, as it already has done with Beatles' music. If it does, a soundtrack album of some kind would likely be part of the deal.
The estate could probably wipe out the debts entirely by selling its half of Sony/ATV, although such a drastic step is viewed as unlikely now that Mr. Jackson's posthumous business is generating so much cash.
Mr. Jackson acquired ATV for $47.5 million in 1985. Sony in 1995 paid $150 million to become a 50% partner in the venture. Mr. Jackson's half is now valued at at least $1 billion.
Why would Jackson estate pay AEG 35 million $. They said the cost of preparing for This is it tour was 20 million $. And Sony already paid for the rights 50 mill $ to AEG. Am I missing something?
This is so funny, how we are taking care of Mj's finances <!-- s --><!-- s -->
So, Sony paid 50 mil.$ for the rights for This is it and by the aniversary they expect to make 250 mil $. Looks like a good deal to me, or is it from all the previous albums as well.
I read that Mj sill owns Neverland, as I understood, he owns Capital Colony money for helping him to keep Neverland and after that they made a deal about touring again to pay off the debt.
What is happening in Neverland? Who is in charge there?
Michael Jackson Deal: $225 Mil Just for Records, Nothing Else
By: Roger Friedman // Monday March 15, 2010
The new Sony deal for Michael Jackson’s new records is actually worth $225 million according to my sources.
That means that Jackson attorneys John Branca (a co-executor) and Joel Katz, with the help of co-executor John McClain, have cut for Michael Jackson’s estate the richest deal ever in recording business history. It far exceeds the deal Sony made with Bruce Springsteen a couple of years ago for $100 million.
The deal is only for records for the next seven years. It already includes the soundtrack to “This Is It.” Come November, the first scheduled release will be a collection of unreleased tracks perhaps including a duet with Paul Anka and one or two songs left off of “Thriller.”
Two more releases will be anniversary editions of “Bad” and “Off the Wall” which will include extra and remixed tracks a la the 25th anniversary edition of “Thriller.” McClain and hopefully Jackson’s longtime manager Frank DiLeo will be involved with those.
There are also enough tracks for at least one or two live albums from various Jackson tours.
The Sony deal does not include anything to do with Michael’s publishing, live shows still to be arranged, or merchandise. A show with Cirque du Soleil, as I’ve written before, will be announced shortly for Las Vegas.
But all of that is separate. What happened: Since his death Jackson has sold 31 million albums worldwide. Sony, which had parted company with Jackson before his death, wants to remain in the Jackson business. With this contract, they will be in business with his estate for at least seven more years.
Insiders say that Jackson’s estate will retain the rights to all the master recordings, too. This is highly unusual. Also: Branca, Katz and McClain also, apparently, renegotiated Jackson’s royalty rate with Sony for this deal. “It’s the highest rate anyone’s ever had,” says a source.
At this rate, the prediction is that Jackson’s huge debt leveraged against his own MiJac Music Publishing will be paid off in a short time. His even bigger debt, secured against his one half interest in the Sony/ATV Music Publishing company–also known as the Beatles catalog–will be refinanced and reduced. When Jackson died, sources point out, he was $500 in debt.His estate is now solvent, and his children are well taken care for their lives.
It is the sad irony of the Michael Jackson story that for years he suffered financially, and drifted in his career. Since his death. his career and finances have flourished.
Can someone plz explain what " the right to sell his back catalog ..." means ? <!-- s:? -->:?<!-- s:? -->
I don't know, but this does not sound like good news to me. Michael wanted 100% of his ties to Sony cut. This is the work of Branca & Mc Clain and that FAKE will.
Didn't MJ say "Sony Kills"..... <!-- s:? -->:?<!-- s:? --> <!-- s:? -->:?<!-- s:? --> Watch a see, Branca & Mc Clain will eventually sell that catalogue back to Sony. This was their plan all along.
EDIT: The full quote for those that don't know (I just assumed everyone did). Is Sony Kills the Music. Just thought I better clarify b4 someone decides to correct me
okay what the hell is going on? this is big news. it's on every news channel. there's something here for us, we need to find it.
the deal seems pretty lucrative. if we believe michael is alive and put out TII as a message to fans, he obviously didn't want to cut ties completely with Sony, since they owned the rights to distribute it. god, i don't know.
okay michael, we're going to need help figuring this one out, please.
OMG! This is GREAT NEWS! Contract for 10 albums over 7 years and he left behind enough for 3! <!-- s --><!-- s --> <!-- s --><!-- s --> <!-- s --><!-- s --> <!-- s --><!-- s --> They could never, never, never recoup those costs by putting out 7 more compilations to make a total of 10 albums! We've had nothing but compilations for years! This SHOW gets better every day! <!-- s --><!-- s --> <!-- s --><!-- s --> <!-- s --><!-- s -->
Hurry back, Michael! You owe us seven more albums besides the three already from the grave! <!-- s --><!-- s --> <!-- s --><!-- s --> <!-- s --><!-- s -->
This is not good at all <!-- s:( -->:(<!-- s:( --> Michael hated Sony, but his family obviusly dosent <!-- s:? -->:?<!-- s:? --> It's all about money. Why would Michael attach himself to Sony again ? No, this is really BAD news, imo. I'm now 50/50 <!-- s:( -->:(<!-- s:( --> This is the first time I have ever doubted this hoax.
I don't think he hated Sony. He hated Tommy Mottola.
Afterall isn't the owner of 50% of Sony ?
IDK. At first I thought it was great news then I become more sceptic about it and now I don't know what to think. Something is not right , there is something we can't see yet.
Something is missing but what ? <!-- s:?: -->:?:<!-- s:?: -->
Since my head was spinning, I spoke to someone who is more knowledgeable about contract law. Here’s the breakdown. Two things are in place. 1) New deal of 10 albums over 7 year period…until 2017. 2)Distribution rights of MJs music from the original 80s contract. The two things were merged to bring together one contract that is now in sinc with the 2017 end of contract date. Original 80s contract gave $ONY distribution rights until 2015. The new contract runs until 2017 so they wanted to make them match up. The 2 yr extension merely stretches the distribution rights to match the end of the newer contract. Anything that is recorded under the Michael Jackson name from the original 80s contract until 2017 will be distributed by $ONY.
Ok this is weird... but TMZ has changed his dates.....
From
Posted Mar 15th 2010 10:49PM by TMZ Staff
to Posted Mar 16th(1+6=7) 2010 12:10AM (2+1+1+2+1=7) by TMZ Staff
Are you kidding me? Now I really believe that they are aware of all....
Maybe they want to help us???? They know also the 777 thing....
Why should they exactly change it to these dates?
That's what they have written.... Also very strange again...
Michael Jackson estate has signed the biggest deal ever in music -- worth up to $250(2+5=7)million with a guarantee of $200 million.
The estate made the deal with Sony Music Entertainment. According to the Associated Press, the contract is for 10 projects over 7 years.
And we're told Sony gets a two-year extension for the right to distribute the Michael Jackson catalog -- to 2017.
Ok
--> 7 Years, 2017, worth 250 = 777
P.S.
thanks to lovemj4everandever :
Look at the tagline....A TWO YEAR extension would make it 2019! NOT 2017! The deal was signed in 2008!!!!!!!
That's great, they are just telling us, that he is alive......
So sorry for the stupid question but my mind has stucked <!-- s:shock: -->:shock:<!-- s:shock: -->
So that means ??? Much ado about nothing ?????? <!-- s:shock: -->:shock:<!-- s:shock: -->
Comments
This means (if I am correct) that they can only use the music they could already use until 2015, right? (my head hurts)...
"For we wrestle not against flesh and blood, but against principalities, against powers, against the rulers of the darkness of this world, against spiritual wickedness in high places.""For we wrestle not against flesh and blood, but against principalities, against powers, against the rulers of the darkness of this world, against spiritual wickedness in high places."maybe recordings since the 80's? I dont get it. so sony had the right to distribute those recordings until 2015, and with the extension they have the right to distribute those recordings until 2017? material recorded since when? 2017? the only thing I could think of is since the 80's...but that would mean before the extension they only had rights to material before the early 80's which makes no sense!
Why would Jackson estate pay AEG 35 million $. They said the cost of preparing for This is it tour was 20 million $. And Sony already paid for the rights 50 mill $ to AEG. Am I missing something?
This is so funny, how we are taking care of Mj's finances <!-- s
So, Sony paid 50 mil.$ for the rights for This is it and by the aniversary they expect to make 250 mil $. Looks like a good deal to me, or is it from all the previous albums as well.
I read that Mj sill owns Neverland, as I understood, he owns Capital Colony money for helping him to keep Neverland and after that they made a deal about touring again to pay off the debt.
What is happening in Neverland? Who is in charge there?
Follow the money, the man said.
Head hurts
By: Roger Friedman // Monday March 15, 2010
The new Sony deal for Michael Jackson’s new records is actually worth $225 million according to my sources.
That means that Jackson attorneys John Branca (a co-executor) and Joel Katz, with the help of co-executor John McClain, have cut for Michael Jackson’s estate the richest deal ever in recording business history. It far exceeds the deal Sony made with Bruce Springsteen a couple of years ago for $100 million.
The deal is only for records for the next seven years. It already includes the soundtrack to “This Is It.” Come November, the first scheduled release will be a collection of unreleased tracks perhaps including a duet with Paul Anka and one or two songs left off of “Thriller.”
Two more releases will be anniversary editions of “Bad” and “Off the Wall” which will include extra and remixed tracks a la the 25th anniversary edition of “Thriller.” McClain and hopefully Jackson’s longtime manager Frank DiLeo will be involved with those.
There are also enough tracks for at least one or two live albums from various Jackson tours.
The Sony deal does not include anything to do with Michael’s publishing, live shows still to be arranged, or merchandise. A show with Cirque du Soleil, as I’ve written before, will be announced shortly for Las Vegas.
But all of that is separate. What happened: Since his death Jackson has sold 31 million albums worldwide. Sony, which had parted company with Jackson before his death, wants to remain in the Jackson business. With this contract, they will be in business with his estate for at least seven more years.
Insiders say that Jackson’s estate will retain the rights to all the master recordings, too. This is highly unusual. Also: Branca, Katz and McClain also, apparently, renegotiated Jackson’s royalty rate with Sony for this deal. “It’s the highest rate anyone’s ever had,” says a source.
At this rate, the prediction is that Jackson’s huge debt leveraged against his own MiJac Music Publishing will be paid off in a short time. His even bigger debt, secured against his one half interest in the Sony/ATV Music Publishing company–also known as the Beatles catalog–will be refinanced and reduced. When Jackson died, sources point out, he was $500 in debt.His estate is now solvent, and his children are well taken care for their lives.
It is the sad irony of the Michael Jackson story that for years he suffered financially, and drifted in his career. Since his death. his career and finances have flourished.
<!-- m -->http://showbiz411.blogs.thr.com/<!-- m -->
Computer games or multimedia platforms ? <!-- s:? -->:?<!-- s:? -->
Can someone plz explain what " the right to sell his back catalog ..." means ? <!-- s:? -->:?<!-- s:? -->
I don't know, but this does not sound like good news to me. Michael wanted 100% of his ties to Sony cut. This is the work of Branca & Mc Clain and that FAKE will.
Didn't MJ say "Sony Kills"..... <!-- s:? -->:?<!-- s:? --> <!-- s:? -->:?<!-- s:? --> Watch a see, Branca & Mc Clain will eventually sell that catalogue back to Sony. This was their plan all along.
EDIT: The full quote for those that don't know (I just assumed everyone did). Is Sony Kills the Music. Just thought I better clarify b4 someone decides to correct me
the deal seems pretty lucrative. if we believe michael is alive and put out TII as a message to fans, he obviously didn't want to cut ties completely with Sony, since they owned the rights to distribute it. god, i don't know.
okay michael, we're going to need help figuring this one out, please.
Afterall isn't the owner of 50% of Sony ?
IDK. At first I thought it was great news then I become more sceptic about it and now I don't know what to think. Something is not right , there is something we can't see yet.
Something is missing but what ? <!-- s:?: -->:?:<!-- s:?: -->
Thanks for your answer.
But I thought the rights to his music reverted back to him last year?? How do they now have the right to sell it? <!-- s:? -->:?<!-- s:? -->
I make a copypaste: <!-- l -->viewtopic.php?f=17&t=7077<!-- l -->
UPDATE No2
Ok this is weird... but TMZ has changed his dates.....
From
Posted Mar 15th 2010 10:49PM by TMZ Staff
to
Posted Mar 16th(1+6=7) 2010 12:10AM (2+1+1+2+1=7) by TMZ Staff
Are you kidding me? Now I really believe that they are aware of all....
Maybe they want to help us???? They know also the 777 thing....
Why should they exactly change it to these dates?
That's what they have written.... Also very strange again...
Michael Jackson estate has signed the biggest deal ever in music -- worth up to $250(2+5=7) million with a guarantee of $200 million.
The estate made the deal with Sony Music Entertainment. According to the Associated Press, the contract is for 10 projects over 7 years.
And we're told Sony gets a two-year extension for the right to distribute the Michael Jackson catalog -- to 2017.
Ok
--> 7 Years, 2017, worth 250 = 777
P.S.
thanks to lovemj4everandever :
Look at the tagline....A TWO YEAR extension would make it 2019! NOT 2017! The deal was signed in 2008!!!!!!!
That's great, they are just telling us, that he is alive......
So that means ??? Much ado about nothing ?????? <!-- s:shock: -->:shock:<!-- s:shock: -->
I am mixed emotions about this. Of course i want to hear the new material.. but when i do my heart will break all over again if MJ isnt here also.