Opinion and analysis of the day's music news.


Veritix's $100 Million
-- Ticketing continues to heat up. Veritix has taken out a five-year, $100 million line of credit to better compete with the resources of Ticketmaster. Put simply, some of the money will go to upfront payments. According to CEO Sam Grace, the line of credit gives the company “the ability to remain competitive in an environment where offering significant cash advances to arenas, teams and performing artists has become common practice, and in some cases, an absolute requirement.”

In September, the Cleveland-based company signed a deal with Dover Motorsports (owners of the Dover International Speedway in Delaware). Veritix also provides ticketing solutions to majors venues (the Toyota Center in Houston and Energy Solutions Arena in Salt Lake City, for example), NBA teams, NHL teams and NCAA championship events. (TicketNews)


What Has Changed in the Last Decade?
-- Electronic label Ghostly International, founded in 1999, is finally throwing a 10-year birthday party next week. Its diverse roster includes Matthew Dear, Dabrye and School of Seven Bells. What has changed in the last decade? "There's a push toward live performance, toward artists as brands -- the things that can't be downloaded,” says founder Sam Valenti IV. “The experience and the energy around music is still high, but the actual medium is just not as important to people."

But the label hasn’t given up on downloads. This year it launched Ghostly Music Service, a $15-a-month subscription service that delivers the label’s new releases, select content from its catalog, members-only releases and a 15% discount on the label’s online store. (Detroit Free Press)


Cumulous Revs Up Slightly
-- Cumulous Media, the nation’s second-largest radio broadcast company, reported slightly higher revenues, up 3.5%, in the third quarter. The company pulled in $66.4 million versus $64.1 million in the third quarter of 2009. The company’s operating income was $18 million – a big improvement after a $160-million goodwill impairment last year – and its net income was $9.7 million. (Earnings release)


Entercom Posts Strong Q3
--Entercom, another of the country’s top radio broadcasters, also had a strong third quarter. The company increased its third quarter revenues by 3% to $102.7 million and raised its operating income 4% to $35.4 million. Net income dropped 42% to $10.7 million.Same station net revenues rose 3% and same station operating income increased 4%. Through the first nine months of 2010, revenue is up 5% to $289 million and operating income has improved to $68 million from an operating loss of over $13 million last year. (Earnings release)
http://www.entercom.com/docs/ETM_3Q_10_Earnings_Release.pdf


Post-Taylor Sales
-- The post-Taylor Swift slowdown hit last week. Album sales were down 6% from the previous week, according to Nielsen SoundScan. The pre-order side of the market was down even more: digital album sales dropped 7% and Internet/mail order/venue album sales dropped 17%.