I just saw this headline on NME.com "Major record labels assemble rescue package for struggling HMV", and being an avid user of HMV to get all my CD's and DVD's this I have to say piqued my interest, as the first time I heard that HMV were going into administration I heard it on the radio the day I came back from holiday so it made me a little depressed to hear this news, I did though know they were in trouble before but I thought that something had to be done to help so that the highstreet wasn't just an wild west town with tumbleweed being seen blowing down it thanks to the recession and major shops having to close.
But thankfully with this news it looks like someone might be wanting to give HMV a helping hand.
According The Sunday Times Universal Music, Sony and Warner Music are getting together a rescue package that is said to be supported by film big wigs Warner Bros., Universal Studios and 20th Century Fox making this a multi-million pound rescue deal to save HMV and stop it from going out of business.
The Sunday Times also reports that the record labels coming in to save HMV want to give the retailer generous credit terms as well as cut the prices of CD's and DVD's.
Industry insiders have said about this rescue package that the big wig record labels and film studios have come in to help save the day because they were desperate keep alive a specialist retailer to avoid cut-throat pricing by supermarkets and internet distributors...one was reported as even saying that:
"They don't want their only choice to be Tesco or Amamzon".
It's understood says The Sunday Times that this entertainment industry consortium are favoring the bid put in for HMV by Hilco- an investor in struggling businesses-.
But this article does also point out that although this news about the big wigs of the entertainment industry coming in to save the day being very exciting they have in fact sat up and taken notice as HMV is said to account for 1/5th of the British CD and DVD market.
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