Warner Music Group Losses Total over $10 Billion in 10 Years
Published Apr 13, 2011As we all know, the future isn't so bright for major record labels. We've been following the struggles of EMI for some time, and things aren't much better for Warner Bros. Now, we have some figures that show just how badly the latter is doing.
The chart you can see above was posted on Digital Music News, and it shows the terrible losses reportedly incurred by the label over the last decade. According to the site's figures, Warner Music Group has lost over $10 billion over the past ten years.
To add insult to injury, the label has posted an annual gain only once, in 2006. Unfortunately, these profits are dwarfed by the massive losses found elsewhere on the chart.
Wall Street analyst Rich Greenfield reports that the label is facing a debt load of $1.5 billion. So we guess this means that the label's plan to promote artists using lottery tickets didn't do as well as hoped.
Word is that Warner Music may be sold soon. Back in January, Reuters reported that the label had hired finical heavyweight Goldman Sachs as an advisor for a possible sale.