One novel argument for bands taking major label deals in recent years has been that the labels act essentially as “banks”, lending sums of money to artists for recording and touring that they wouldn’t otherwise have access to. (The odious terms of those “loans”, which would make a mob loan shark blush, aren’t quite as enthusiastically touted.)

Well it now looks fairly likely that EMI’s basket-case finances might prove that notion a self-fulfilling prophecy: alongside Warner, Sony, and Universal, we may soon see the newest “music” company: Citigroup.

[Story from the Wall Street Journal]

— CL