Sony strikes record deal with Michael Jackson`s heirs
Sony Corp. and Michael Jackson`s heirs have signed a record-breaking deal, the Wall Street Journal said citing sources "familiar with the terms."
Under the deal, seen as "the most lucrative recording contract ever" by both parties to the contract, Sony will pay at least $200 million to get exclusive rights for the release of 10 albums of the late King of Pop in the next seven years.
Since Jackson`s death on June 25, 2009, the record label sold some 31 million of his albums worldwide. It expects to gain some $250 million by the first anniversary of his death by selling his albums, merchandise and tickets to the posthumous concert film "This Is It."
The deal will enable Jackson`s heirs to deal with a huge debt that the King of Pop left, including $35 million owed to promoter AEG Live, for a series of concerts which were cancelled in London.
"The estate is also likely to refinance another $325 million backed by Jackson`s two biggest assets: Sony/ATV Music Publishing, Jackson`s venture with Sony that owns copyrights to 251 Beatles songs; and his 2,600-acre Neverland Valley Ranch," the Wall Street Journal said.
Michael Jackson died at a Los Angeles hospital after suffering a cardiac arrest and going into a coma. In mid-February Los Angeles coroners have released a complete report of his autopsy, which said his death was a homicide.
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