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Pandora CEO Exit Could Hasten Publishing Detente

OPENING PANDORA’S BOX: With Pandora Media CEO Joe Kennedy stepping down, the National Music Publishers Association is hoping the webcaster will improve its deteriorating relationship with the community of songwriters. NMPA CEO David Israelite said songwriters are frustrated that roughly 4% of the webcaster’s revenue goes towards compensating them for their music, while nearly half of company's revenue goes towards paying recording labels and recording artists. Pandora had filed suit to lower even that percentage of revenue it pays to songwriters. "The 4% Pandora pays is unfair and must change,” said Israelite. “In other areas of the music business, songwriters and music publishers often earn the same amount that is paid to record labels and artists. A new CEO could go a long way toward creating a true business partnership with the music industry by addressing this issue and respecting the contribution of songwriters." Israelite charged the outgoing Pandora head $5 for whistling, “Hello, I Must Be Going” in the shower. (3/12a)

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