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Thursday, November 29th, 2007

Amato Goes Belly Up

 

U.K. vinyl distributor Amato filed for bankruptcy last week.  Amato was the distributor for labels such as ReKids, Crosstown Rebels, Good Looking, and Playhouse.This is an unfortunate thing. The record labels feel the crunch, having no distributor and their records stockpiled in a warehouse somewhere that is locked away until the paperwork from the administration goes through.  The labels are also not getting money on releases that were already sold. The reason for liquidation is unclear. Some say the company had been mismanaged for years and others blame the nature of the record industry. 

It is a sad state of affairs for the record business but even worse for the dance music industry. Gigantic US distributor Studio which distributed labels such as Clasic Music Company, Global Underground, and other dance record label giants went bust last year. It is a nice thing to have more access to music than ever before with the latest MP3's available on blogs and at digital music stores like Beatport but some of us still like to have the original vinyl.  And  a real store to buy the vinyl in.



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