January 27, 2010 - Touring By Glenn Peoples, L.A.
Check out this article taken from billboard.biz
Here's the Live Nation-Ticketmaster merger in a nutshell: a company with nearly a 40% gross margin percentage and a slight but positive net profit (Ticketmaster) is going to build a live events powerhouse with a company with a 20% gross margin percentage and recurring annual losses (Live Nation).
The pair generated about $4.4 billion in revenues through the first three quarters of 2009 but their combined net loss was $33 million.
A merger makes sense if there are cost savings, or if the merged company can generate more revenue than the two companies could do on their own. These are called synergies, as in 2 + 2 = 5. Monday's news that the U.S. Department of Justice approved the companies' merger has the business world wondering what Live Nation plus Ticketmaster equals.
Check out the rest HERE.
Here's a much funnier version posted on Oregon Live. LINK
More HERE
No comments:
Post a Comment