Rhone, Lipman to head two distinct labels.

As has been rumored, Universal Motown Records Group is expanding into two distinct labels. Sylvia Rhone will be president of Universal Motown and Monte Lipman will be president of Universal Republic.

The two labels will continue to share back-office services such as legal, finance and sales, but will now have separate A&R, marketing, publicity and promotion staffs. They previously shared most services. Additionally, the labels are expected to add staffers to accommodate their needs.

The artists on the formerly shared roster have been divided between the two labels. Universal Republic will be home to Prince, Jack Johnson, Damian Marley, Godsmack, Don Omar, 3 Doors Down and 10 Years, among others. Universal Motown's artists include Stevie Wonder, Lindsay Lohan, Erykah Badu, India.Arie, Akon, Mars Volta and Chamillionaire.

The expansion came, according to sources, as a way to develop more artists and, hopefully, hits, through increasing initiatives in artist development.

A Universal Music Group representative declined to comment on the changes, but said rumors that Rhone and Lipman did not get along were completely untrue. Rhone and Lipman were not available for comment. Both continue to report to UMRG chairman Mel Lewinter.

Rhone was previously president of Motown Records/exec VP of Universal Records; Lipman was president of Universal Records. Lipman was named president of Universal in 2000, while Rhone was named president of Motown in 2004.