NARM VSDA MERGER TALKS STALL

After seven months of intensive negotiations, the planned merger between NARM and VSDA is apparently dead. In a statement released today, the National Association of Recording Merchandisers (NARM) and the Video Software Dealers Association (VSDA) announced the indefinite suspension of their merger talks.

NARM Board Chairman Glen Ward stated: "Both Associations did an incredible amount of work and due diligence over the past seven months to explore the many opportunities and challenges that might result from bringing our two groups together. The NARM Board was unanimous in its decision that, at this time, a merger was not in the best interest of NARM’s members. Our relationship with VSDA is very important to us and has great value. That will not change."

Said VSDA Board Chairman Bob Geistman: "VSDA is disappointed that the NARM Board of Directors has decided to suspend further discussions on a potential merger of the two organizations. VSDA believes that a merger would generate tremendous strategic benefits for both organizations and their respective members. However, we accept the decision of the NARM Board and, although we will not be considering a merger, our relationship with NARM will remain significant and strong."

Although the statement seems to leave the door open for the possibility of the talks being rekindled, sources close to the situation believe that to be an unlikely scenario. Both organizations recently announced their separate plans for next year’s conventions with NARM returning to San Diego in August and VSDA to Las Vegas in July.