WMG losses narrow on cuts, digital sales.(Group, Warner Music)

Daily Variety, June, 2005 by Learmonth, Michael

Warner Music Group, home to Linkin Park, Green Day and Madonna, reported a narrower quarterly toss on recorded music after a year of deep cost-cutting and improved digital music sales. The independent music group, reporting publicly for the first time, posted a loss of $35 million, or 28 cents a share, on revenues of $767 million compared with a loss of $48 million a year earlier.

Company, which includes the Warner Bros., Atlantic and Reprise record labels, would have turned a $4 million profit before accounting for the value of stock warrants given to its former parent company. Topper Edgar Bronfman Jr. told Wall Street that the results reflect the benefits of restructuring, which reduced the number of CD releases by 50% from last year and saved...