EMI is facing an existential crisis, as the major music group needs $183 million by mid-June to stay afloat. It hoped to sell “North American distribution rights for its artists to Universal Music Group or Sony Music,” but the parties failed to agree on a price.
In a year that really does just get worse and worse for EMI, the music group is facing a potential default on its loans from Citigroup. The label has lost artists like Radiohead and The Rolling Stones, wanted at one point to sell Abbey Road studios, and was successfully sued by Pink Floyd.
This correspondent is terrified at the prospect of Coldplay and Lily Allen struggling to make ends meet if EMI goes bust.