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Big Cuts At MCA Precede Expected Geffen Merger

By Melinda Newman and Gail Mitchell, L.A.
Publication: Billboard Bulletin
Date: Tuesday, June 10 2003
MCA Records laid off up to 75 staffers yesterday, sources say, as part of its anticipated merger with Geffen Records (Bulletin, May 21). The merger, and the long-expected appointment of Geffen president Jordan Schur as head of the combined entity, should be announced soon. It is expected that the MCA

Records name will be eliminated.

The combined operation, which will be part of the Interscope Geffen A&M (IGA) family, is expected to emerge as a stand-alone label with its own A&R, marketing, and promotion operations. It will share some services with the other labels, and will still fall under the purview of IGA chairman Jimmy Iovine. MCA came under Iovine's umbrella in mid-January, after Jay Boberg exited as the label's president (Bulletin, Jan. 16).

"We have begun a restructuring process at MCA Records," IGA says in a statement. "Further details about the structure and staffing of the label will be announced shortly. We are grateful for the contributions made by the employees affected by these changes."

Among the MCA staffers expected to stay with the new company are senior VP of sales and marketing Jayne Simon, senior VP of business and legal affairs Jeffrey Harleston, senior VP of publicity Lillian Matulic, and senior VP of promotion Craig Lambert; the latter has run MCA since Boberg's departure. It is not known what their new titles will be.

Joining the new entity, sources say, are Garnett March, former urban promotion executive at DreamWorks, who will head up that function, and former Interscope urban promo exec Chauncey Bell, who will be East Coast regional.

MCA's A&R department was among the hardest hit by yesterday's layoffs; the only remaining staffers are Joel Mark and Charlie Adams. Among the high-profile A&R departures are VPs Tom Sarig and Marc Nathan.

The cuts amount to roughly one-third of MCA's total staff; no Geffen employees were let go. MCA Nashville was not affected by the layoffs and will retain the MCA name.

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