Universal Music Group’s 11-person executive committee was paid a total of $128.4 million in short-term employee benefits -- most likely salaries and bonuses – in 2020, according to financial information released by the music group’s parent company Vivendi. When post-employee benefits and share-based payouts are added, that total jumps to $132 million -- almost double the $62.2 million paid to the executive team in 2018.
According to the UMG website, the executive team consists of UMG chairman/CEO Lucian Grainge; executive vp Michele Anthony; chairman/CEO of Central Europe and Deutsche Grammophon, Frank Briegmann; executive vp and general counsel Jeffrey Harleston; executive vp and chief people and inclusion officer Eric Hutcherson; United Kingdom and Ireland chairman/CEO David Joseph; executive vp marketing Andrew Kronfeld; executive vp/CFO Boyd Muir; executive vp digital strategy Michael Nash; executive vp/chief administrative officer Will Tanous; and Universal Music Publishing Group (UMPG) chairman/CEO Jody Gerson.
The financial data drop, which Vivendi likely released in preparation for UMG’s expected to become publicly traded in late-September, does not specify how that $128.4 million was divvied up among the 11 executives. Were it distributed equally (it’s not), it would amount to an $11.7 million 2020 payday for each executive -- not enough to buy happiness, perhaps, but sufficient to purchase a yacht that would float pretty close.
Financial observers note that executive team compensation expected to look even richer once UMG goes public, as the company will probably have its own management incentive stock plan. But as things stand now, UMG's executive team likely received higher salaries due because they don’t have such a management incentive stock plan. In order to attract and maintain top talent, UMG has to compete with the Warner Music Group, which does have a management incentive stock plan that will someday deliver hundreds of millions of dollars to its upper management team. Also, the salary structure for the executive management board probably reflects the value that the team has created down through the years through its management of UMG: In 2013 Softbank offered to buy UMG from Vivendi for $8.5 billion; currently, UMG is valued at about $40 million.
UMG’s total personnel costs in 2020, including the executive management team, were $1.42 billion of which $1.2 billion went to salaries – 17.6% of the companies $8.04 billion in revenue.
Last year, Universal carried on average 8,800 employees, up from 8,400 in 2019 and 7,900 in 2019. If the executive team’s compensation is excluded from overall salaries and total benefit compensation, that works out to an average salary of $121,000 and an average benefits package -- which also includes social security and other employee costs -- of $147,000. But, again, this is still skewed somewhat higher by salaries and bonuses paid to label chairman like Republic’s Monte Lipman and Interscope’s John Janick, which are generally not disclosed. (The foreign currency translations used in this story are based on the annual average exchange rates experienced by Vivendi and quoted in the company’s annual financial results for the year of 2020 -- 1 euro to $1.13; and 2018 -- 1 euro to $1.187.)
UMG declined to comment . --Ed Christman
Joni Chats With Clive At Grammy Gala
When part two of Clive Davis’ invitation-only virtual Pre-Grammy Gala takes place on May 15 -- the day before the awards ceremony was originally scheduled to take place -- the festivities will include a prerecorded interview with Joni Mitchell that was conducted by the master of ceremonies. A source in Davis’ camp says that during the conversation, Mitchell, 77, cites Édith Piaf and her early exposure to Black artists as influences on her jazz-influenced style of songwriting. While growing up in Alberta, Canada, she tells Davis, “There was a sideshow when the fair came to town called Harlem in Havana. We were all forbidden by our parents as kids to be seen even standing there watching because it was Black burlesque,” she recalls. “But they played a really sexy version of [Jimmy Forrest’s] ‘Night Train’ and that piece of music really affected my writing,” she explains.
When Davis asks for Mitchell’s reaction to the multitude of artists who have been influenced by her work and covered her songs, Mitchell, who has given few interviews since recovering from a 2015 aneurysm that affected her speech and ability to walk, says that she was told repeatedly over the course of her career, “Nobody is ever going to cover your songs. They are too personal.”
Other artist conversations slated for the gala include Queen’s Brian May and Roger Taylor, Elton John, Paul Simon, H.E.R., DaBaby, Carlos Santana, Rob Thomas, Dave Grohl, Dionne Warwick, Slash and Donovan. --Frank DiGiacomo
NEWS
Supergrass are teasing an upcoming announcement with fans, according to a new post.
The British band, fronted by Gaz Coombes, shared a cryptic new post across their social media channels this morning (September 13), suggesting to fans that a new announcement is on the way.
Posted at 9am BST, the post simply shared artwork of the band’s logo in red, alongside next Monday’s date, September 16. In the caption, the band simply wrote: “Sign up now”, alongside a link to their website’s homepage.
Upon clicking the link, the page prompts fans to sign up for future updates, and asks them to input both their email address and the country they live in. Check out the post below.
While details on the announcement remain sparse, the post has already caught fans’ attention, with some speculating that the news could be around the upcoming 30th anniversary of their debut album, ‘I Should Coco’.
Released in May 1995, the release marked the record that first put the band on the map, and contained singles ‘Mansize Rooster’, ‘Caught By The Fuzz, ‘Lose It’ and ‘Lenny’. It also saw Coombes and Co. nominated at the 1995 Mercury Prize, and contained what would soon become their biggest track to date, the Ivor-Novello winning ‘Alright’.
At time of writing, the band haven’t shared any further indication as to whether the announcement is related to the huge upcoming milestone – whether it be an anniversary tour or reissue – nor whether it has anything to do with new music that could be on the way.
The band’s last studio album was ‘Diamond Hoo Ha’, which arrived in 2008. Since then, they have shared remastered versions of both their 1999 self-titled album and their 2003 record ‘Life On Other Planets’.
In other news around the band, last year it was reported that the band’s frontman joined Johnny Marr onstage last month to perform The Smiths‘ classic ‘There Is A Light That Never Goes Out’ at Lakefest 2023.
Before then, Coombes opened up about how “nervous” he was about reuniting Supergrass following the success of his solo albums.
Supergrass split up in 2010 but reunited for a series of live shows in 2019. They released a live album in 2020, Live On Other Planets, to celebrate their 25th anniversary and raise money for grassroots venues affected by the COVID-19 pandemic.
“Having got into a flow and the last two albums having done so well, it seemed a bit odd, like a backward step,” he said. “But then I was confident that I could operate both things together and it seems that I did, because I was obviously writing this record mainly during the reunion so I feel like I made best use of both things.”
Coombes’ fourth solo album, ‘Turn The Car Around’, came out in January of last year.
