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Time
Warner to merge with UK's EMI
Time Warner, fresh from a history-making merger with America Online, announced its
intention to merge yet again, this time with EMI Group, the UK-based music concern. AOL
will benefit considerably from the deal as it gains access to EMIs internet music
offerings, vastly expanding the catalogue of downloadable music available to AOL
customers. Time Warner already controls a significant portion of the global music market,
ranking fourth in market share holdings. A merger with third-ranked EMI would leapfrog the
new entity past number two Sony Music Group and leader Universal, owned by Seagrams Corp.
The newly-christened Warner EMI Musics net worth of $20 billion would also surpass
Universal Music Groups worth. The deal is not yet final, and a rival such as
Bertelsmanns BMG might still manage to outbid Time Warner. However, the proposed
merger should go over nicely with both sides; Time Warner would be getting 50 percent
control of EMI at the cost to itself of only $1 billion, while EMI shareholders will get
paid $1.65 per share. The deal doesnt sit so well with music lovers and struggling
artists, who complain that consolidation in the music industry has created a hit-driven,
single-hungry environment in which labels are unwilling to invest in real talent.Big papers sue over Metro transit deal
Philadelphia newspapers are in a tizzy about plans to distribute Metro, a
small-circulation daily tabloid, free at train stations and bus stops throughout the area.
Such heavyweights as Gannett, Knight-Ridder and the New York Times have gone off to
federal court to protest what theyre calling favoritism on the part of the South
Eastern Pennsylvania Transit Authority. In exchange for allowing Metro to distribute
within the system, Septa is receiving free advertising space as well as a portion of the
revenue. "Septa, as a government agency, is clearly prevented by the First Amendment
of the Constitution from entering the newspaper business," Pamela Browner of
Philadelphia Newspapers Inc. told The Wall Street Journal. Metro, published by
Swedens Modern Times Group AB, plans to distribute its 150,000 issues beginning
today despite the hearings.
So where's randi Mandi anyway?
Mademoiselle sans tête. Tres horible! Mandi
Norwood signed on as editor of the Conde Nast fashion/beauty book way back in September,
but she continues to punch her card at British Cosmopolitan, leaving Mademoiselle
headless. The magazines last editor, Elizabeth Crow, resigned at the end of last
year to co-write a book. Maurie Perl, a spokeswoman from Conde Nast, declined to comment
on reports that Hearst is refusing to let Norwood out of her contract at British Cosmo.
Crow provided for her absence by planning out several months of issues before her
departure, says Perl. An interim team, led by managing editor Faye Haun, will handle the
details until Norwoods arrival in March. Poaching Norwood apparently touched a raw
nerve at Hearst; Conde Nast picked off another Cosmo editor a year prior when it stole
Bonnie Fuller away from the American edition to head up Glamour. Under Norwood, the
British version was known for unabashed salaciousness, verging on vulgarity, even by Cosmo
standards. It remains to be seen to what extent Norwood will give Mademoiselle the same
treatment.
Disney's Soapnet launches with little
lather
Disney/ABC Cable Networks' new SoapNet cable
channel featuring same-day replays of ABC daytime soap operas "Port Charles,"
"All My Children," "One Life To Live," and "General
Hospital," launches today with 1 million subscribers. Disney/ABC president Anne
Sweeney predicts the full-time network "devoted to soap operas and soap fans"
should grow to 4 to 5 million subscribers by 2001. David Forsyth and Brooke Alexander will
be hosts of the network's only original half-hour weekly entertainment news series called
"SoapCenter."
Toodles for '90210' and 'Party of Five'
Foxs "Beverly Hills 90210" and "Party
of Five" will not return to Foxs line-up next season. This year marks
"90210s" tenth season and "PO5s" sixth. The ending of
"90210" is a bit of a surprise since two weeks ago Fox announced it would likely
air as many as 12 new episodes this summer and return for an 11th season. It appears that
Fox was unwilling to pay the continually increasing license fees on the Aaron
Spelling-produced "90210," which near $2.2 million per episode. Original cast
members from both shows were planning on leaving at the end of the seasons including
"90210's" Brian Austin Green and possibly even Tori Spelling, as well as
"PO5s" Neve Campbell. Both "90210" and "PO5" have
stumbled in the ratings since being separated this season. "90210" has averaged
8.4 million viewers this season, while "PO5," which moved to Tuesdays, has
averaged 6.8 million viewers. With the departure of "90210" and "PO5",
and the possibility that "The X-Files" also might end, Fox will surely be forced
to fill a large number of holes in its primetime lineup this fall.
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