Digital Music Group Announces Long-Term Distribution Agreement With Pipeline Music, Inc.
23 May 2006 - 9:05PM
PR Newswire (US)
SACRAMENTO, Calif., May 23 /PRNewswire-FirstCall/ -- Digital Music
Group, Inc. (NASDAQ:DMGI), a content owner and distributor of
digital music recordings focused on past hits, out-of-print, back
catalog, and independent label recordings, today announced that it
has entered into a long-term distribution agreement with Pipeline
Music, Inc., a California-based classical music label, whose
catalog includes over 2,000 music recordings from Russian and other
former Soviet-bloc performers. Under the terms of the distribution
agreement, DMGI will distribute Pipeline Music's catalog to online
music stores worldwide on an exclusive basis for a five-year
period. This is the first time Pipeline Music's catalog will be
available in the digital music marketplace. Expanding Pipeline
Music's Audience The Pipeline Music catalog will be integrated into
the Digital Music Group distribution network and be delivered to
online music stores worldwide. "We're excited to be distributing
the Pipeline Music catalog," said Mitchell Koulouris, Chief
Executive Officer of Digital Music Group. "Classical music is one
of the fastest-growing genres in the digital music marketplace and
we're pleased Pipeline Music chose us to be their distribution
partner." Additionally, DMGI intends to release portions of the
Pipeline Music catalog through ringtone, mastertone, and
over-the-air download sales channels as they are added as part of
the Digital Music Group distribution network. About Digital Music
Group, Inc. Founded in 2005, Digital Music Group, Inc.
(NASDAQ:DMGI) is focused on helping consumers worldwide to
experience more music, in more ways. Digital Music Group acquires
the digital rights to music recordings and processes these
recordings into digital format for distribution to online music
stores such as the iTunes Music Store, MSN Music, RealNetworks,
Napster, Wal-Mart Music and Yahoo! Music, where they are available
for purchase by consumers via downloading. For more information,
please visit http://www.digitalmusicgroupinc.com/. Digital Music
Group is a trademark of Digital Music Group, Inc. Other names
mentioned herein are the property of their respective owners.
Forward-Looking Statements This release contains forward-looking
statements (including, without limitation, information regarding
Digital Music Group's distribution of the Pipeline Music catalog
and making the Pipeline Music catalog available in the current and
future digital channel) that involve risks and uncertainties that
could cause the results of Digital Music Group to differ materially
from management's current expectations. Actual results may differ
materially due to a number of factors including, among others:
potential delays in receiving the master recordings; potential
changes in consumers' tastes and preferences in music; our ability
to digitize the recordings, our ability to make the catalog
available in ringtone, mastertone and other channels; and our
dependence on Apple iTunes Music Stores and other online music
stores to make the digital albums available for purchase by
consumers. The matters discussed in this press release also involve
risks and uncertainties described in Digital Music Group's most
recent filings with the Securities and Exchange Commission. Digital
Music Group assumes no obligation to update the forward-looking
information contained in this release. Press Contact Digital Music
Group, Inc.: Anders Brown, Chief Operating Officer, Telephone:
(916) 239-6010 x2504 Allen & Caron Inc.: Len Hall, VP Media
Relations, Telephone: (949) 474-4300, e-mail: Investor Relations
Contact Digital Music Group, Inc.: Karen Davis, Chief Financial
Officer, Telephone: (916) 239-6010 x2505 Allen & Caron Inc.:
Jesse Deal, Account Manager, Telephone: (212) 691-8087, e-mail:
DATASOURCE: Digital Music Group, Inc. CONTACT: Media, Anders Brown,
Chief Operating Officer of Digital Music Group, Inc.,
+1-916-239-6010, ext. 2504; or Len Hall, VP Media Relations of
Allen & Caron Inc., +1-949-474-4300, , for Digital Music Group,
Inc.; or Investor Relations, Karen Davis, Chief Financial Officer
of Digital Music Group, Inc., +1-916-239-6010, ext. 2505; or Jesse
Deal, Account Manager of Allen & Caron Inc., +1-212-691-8087, ,
for Digital Music Group, Inc. Web site:
http://www.digitalmusicgroupinc.com/
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