On Thursday, SiriusXM announced a new agreement with CEO James Meyer. The deal will pay him $2 million per year and run through the end of this year. Meyer will also be eligible for a bonus if the company achieves certain performance goals. And he’ll get a 3-year $6.6 million consulting deal with the company if he’s fired. Here’s more on that…
An 8K filed with the SEC says upon Meyer’s termination of employment “due to the expiration of the Employment Agreement or in the case of certain qualifying terminations, we have agreed to offer Mr. Meyer a three-year consulting agreement.” Meyer will be paid a fee of $2,200,000 per year. If Meyer’s employment is terminated as a result of his death or disability, or the company fails to enter into the consulting agreement in certain circumstances, then the company will pay him or his representative a lump sum of $6,600,000 as compensation for the lost consulting opportunity.
Yeah really. Whatever they're doing right now seems to be working. My friends' wife bought a new car and started listening to Stern. She was letting her 16 year old the other day and thought it may calm him down a bit to listen and laugh. He has been having seizures so she thought why the hell not try something soothing. She didn't seem to care about the monthly price.
Effort To Secure Pre-72 Music Royalties Spreads To Senate.
The music industry’s quest to get federal copyright protection for music recorded prior to Feb. 17, 1972 has taken a step forward in Congress where a bill has been introduced in the Senate that would close what supports say has been a loophole in copyright law. Senator John Kennedy (R-LA) introduced the Compensating Legacy Artists for their Songs, Service, and Important Contributions to Society Act or “CLASSICS Act” (S. 2393) that becomes a companion to a similar bill introduced last July in the House (H.R. 3301).
If the bills become law they’d hike how much AM/FM broadcasters—especially those stations with oldies, classic rock and classic hits formats—would pay for streaming their radio stations online. That’s because the legislation would treat music recorded before and after the1972 cutoff date the same. That means artists and record labels would receive the same royalties regardless of when a recording was made. Costs would also go up for Sirius XM Radio and every other cable and streaming radio service. Supporters have said they see the legislation as a bookend to the Fair Play Fair Pay Act (H.R. 1836) which would not only create a performance royalty for over-the-air but would also require AM/FM stations to pay royalties on songs recorded before 1972.
“Artists who made music prior to 1972 are getting a raw financial deal because of an antiquated loophole in our legal system,” Kennedy said. “Our bill, the CLASSICS Act, will give the recognition and compensation these artists deserve.” Senators Thom Tillis (R-NC), Corey Booker (D-NJ) and Bob Corker (R-TN) have also co-sponsored the bill.
Singer Dionne Warwick said for some artists the pre-72 catalog is not only an important legacy but also how some musicians survive today. “To some of us it is literally our living,” Warwick said. “This is not only a real harm to these artists who rely on royalties as their income, but it’s also just plain wrong. Thankfully, this legislation would show the artists who’ve created some of our most beloved music not only admiration but respect.”
The bill also has the backing of Mary Wilson of The Supremes who said that it would finally allow artists like her to get paid when their older music is used by a digital radio service. “With this bill, we are finally giving legacy artists the respect they deserve,” Wilson said.
Even some newer artists like DJ Jazzy Jeff are behind the effort. “We can’t stand for the icons of American music to be treated unfairly by digital music services,” he said.
The addition of pre-72 titles to the roster of music for which it would be required to pay royalties hasn’t deterred streaming radio service Pandora from getting behind the effort to change the law. In a statement CEO Roger Lynch called the current copyright protections “antiquated and arbitrary” and said his company supports a change that would ensure older are artists are “fairly paid for their record streams and finally on equal footing with their modern peers.” But Lynch made no mention that the proposal could benefit Pandora since the added expense may push some smaller webcasters out of the oldies market—or force some AM/FM stations to stop streaming their over-the-air signals.
A broad array of music industry groups last month came out in favor of expanding copyright protections to the pre-72 catalog and RIAA chief Cary Sherman said that introduction of the bill in the Senate shows “momentum is building to fix this injustice” and pay the “fair share” due to music veterans. “The value that legacy artists have contributed to American culture and society through their incredible recordings is immeasurable, and the fact that these artists and labels aren’t paid by corporate digital radio services like SiriusXM is inexplicable,” Sherman said.
If the law is enacted SoundExchange would collect and distribute the royalty money to artists. SoundExchange president Michael Huppe said the effort to take on pre-72 royalties is emblematic of the growing demand for comprehensive copyright reform, including efforts to secure a performance fee for AM/FM radio airplay.