Sanctuary's financial troubles

[alternativemonkey]

Friday, June 17, 2005

LONDON (Reuters) - Music group Sanctuary (SGP.L: Quote, Profile, Research) warned on Friday of a sharp drop in first-half profits, fuelling speculation it may be forced to sell all or part of the company to a larger rival such as EMI (EMI.L: Quote, Profile, Research) or Warner Music (WMG.N: Quote, Profile, Research).

The company, whose artists include the Strokes and former Guns 'n' Roses front man Axl Rose, said first-half earnings before interest, tax, depreciation and amortisation (EBITDA) were expected to fall by 40 percent, hit by delayed releases and unexpected overseas expansion costs.

Delayed releases = (subtle sign for) Chinese Democracy.    .

[WARose]

"former gnr frontman axl rose"....   i think this is only based on ignorance.....

anyway,  maybe sanctuarys bad situation  will shorten our wait for CD

[jameslofton29]

Geffen was "banking" on a new GNR album in the late 90's. Look where it got them. Apparently Sanctuary hasn't learned from past mistakes of putting your money on Axl Rose. My prediction: Sanctuary declares bankruptcy before we ever see CD. Remember that. Write it down. You heard it here first.

[ppbebe]

Now, now, no article says whether CD is one of Sanctuary's delayed releases or Sanctuary is banking on GN'R.

So isn't it a capital chance if you want to dabble in the Sanctuary stock? 

[Scabbie]

Given the fact that they spent $20m on the publishing rights and there's no release in sight I would say that GNR must play a part into the 40% drop. After all, the last rumoured release date was April, maybe Sanctuary had budgeted around this.

I sometimes wander whether Merck's special 'relationship' with Axl has clouded his judgement.

[Where is Hassan Nasrallah ?]

"former gnr frontman axl rose"....   i think this is only based on ignorance.....

anyway,  maybe sanctuarys bad situation  will shorten our wait for CD

actually it's a pretty accurate comment.
thats the best way to introduce the mass audience to the NEW gnr.
i'd rather have the medias say that than " this is guns n roses" and have people freak out when they dont find slash ...

[ppbebe]

i'd rather have the medias say that than " this is guns n roses" and have people freak out when they dont find slash ...

Such people should have known it already. 

[Where is Hassan Nasrallah ?]

i'd rather have the medias say that than " this is guns n roses" and have people freak out when they dont find slash ...

Such people should have known it already. 

nah we're the only one

[usurper]

Huh, looks like Sanctuary shouldn't have given Axl ?10 million to complete the work on the album

[DoubleTalkingJive]

If they are facing a possible sale on the company, they just might force Axl out with the album.  They are going to check all of their possiblities before they sell, that's IF it's the entire company.   They could just sell part of the company and still be ok without forcing Axl out.  Also, news articles tend to speculate on the fate of compainies that are having financial trouble.  Sanctuary may not be as in bad of shape as this article is making it out to be.   I work for Cablevision in  NYC, they are in the business section all the time with writers speculating on the fate of the co., it's always that Cablevision is going to sell it's tv networks off and I am still here.   You have be careful when you read these things, not always 100% factual.

[ppbebe]

You have be careful when you read these things, not always 100% factual.

True.
However it appears that these things tend to get frills and embellishments.

nah we're the only one

Ha?   
So why you worry?
I'm saying those who care that much about where Slash is would know whatever became of Slash.

[Scabbie]

If they are facing a possible sale on the company, they just might force Axl out with the album.? They are going to check all of their possiblities before they sell, that's IF it's the entire company.? ?They could just sell part of the company and still be ok without forcing Axl out.? Also, news articles tend to speculate on the fate of compainies that are having financial trouble.? Sanctuary may not be as in bad of shape as this article is making it out to be.? ?I work for Cablevision in? NYC, they are in the business section all the time with writers speculating on the fate of the co., it's always that Cablevision is going to sell it's tv networks off and I am still here.? ?You have be careful when you read these things, not always 100% factual.

Does anyone know whether they have been actively looking for buyers or have they been approached or is someone buying up shares like Malcom Glazier and Man United?

I would like to know how when assessing the value of these publishing rights how much was factored in for the publishing rights of future music.

If the court case doesn't turn out so well in Nov, Sanctuary could find themselves banking even more on Chinese Democracy. Pressure's on Merck!

[DoubleTalkingJive]

If they are facing a possible sale on the company, they just might force Axl out with the album.  They are going to check all of their possiblities before they sell, that's IF it's the entire company.   They could just sell part of the company and still be ok without forcing Axl out.  Also, news articles tend to speculate on the fate of compainies that are having financial trouble.  Sanctuary may not be as in bad of shape as this article is making it out to be.   I work for Cablevision in  NYC, they are in the business section all the time with writers speculating on the fate of the co., it's always that Cablevision is going to sell it's tv networks off and I am still here.   You have be careful when you read these things, not always 100% factual.

Does anyone know whether they have been actively looking for buyers or have they been approached or is someone buying up shares like Malcom Glazier and Man United?

I would like to know how when assessing the value of these publishing rights how much was factored in for the publishing rights of future music.

If the court case doesn't turn out so well in Nov, Sanctuary could find themselves banking even more on Chinese Democracy. Pressure's on Merck!

I have a friend whose is in artist managment and he does some dealings with Sanctuary.  I know how the whole friend thing goes on forums and there is no way for me to prove what he says but for shits and gigglies and I am going to email him and ask him what he knows.  Can't hurt.

[Sakib]

may the lord b with us

[2NaFish]

this board has a problem with believing the entire world revolves around guns n' roses.

[Neemo]

this board has a problem with believing the entire world revolves around guns n' roses.

Doesn't it?

 

[jameslofton29]

People, this is BAD news. Over the past year we've had two notable things happen. First, we had that NYT article that basically said this whole thing is a fucking joke. Now this. A companty that has a 40% drop doesn't stay around very long. I have a question: Could Geffen/Interscope release CD without any involvement from Sanctuary? Or do they have to get Sanctuary's permission since they supposedly own rights to the songs?

[Neemo]

People, this is BAD news. Over the past year we've had two notable things happen. First, we had that NYT article that basically said this whole thing is a fucking joke. Now this. A companty that has a 40% drop doesn't stay around very long. I have a question: Could Geffen/Interscope release CD without any involvement from Sanctuary? Or do they have to get Sanctuary's permission since they supposedly own rights to the songs?

I thought it was just the rights to publishing the songs, in a book like. You know, Guitar tabs and lyrics in the album sleeve, shit like that. Am I wrong?

[February]

I sometimes wander whether Merck's special 'relationship' with Axl has clouded his judgement.

Top manegement don't get clouded by special relations, they would never get to be CO of a company if they did.
The record cd belongs to Geffen, Intercope or who ever owns them. Publishing rights on a new album is a long term investment, they will be better of with the old portofolio of GNR than an eventual new album.
the last 2/3 years have been pretty bad for the companies in the music industry and Sanctuary, that started to be just a manegment company spreed their interests, it's not a big deal a downsizing revenue (even a big one) if you compensate with other assets, investments in other markets, geograficaly and diversification of services. If The market value of the assets of santuary droped 40% in a year that would be very worring for them, i'm sure they would be taken over, and even that would only have repercussions on GNR if they let it.
Sanctuary till further notice is not their label.

[Thorazine Shuffle]

I think everyone in Sanctuary are getting their ducks in a row for a sale.  And to show their worth, they have the mythical Chinese Democracy Album.  Axl is Sanctuarys Trump card.  This sale can only further the eventual albums release.