LOS ANGELES, Calif.--(ENTERTAINMENT WIRE)--April 18, 2001--
Establishes Music Recording and Publishing Company Through
Purchase of 50% Interest in Disa Records,
A Leading Independent Spanish-Language Label
Will Build on Platform Through
Exclusive Distribution and Worldwide Licensing Agreement
With Universal Music Group
Univision Communications Inc. (NYSE: UVN) announced today that it
has entered the music recording and publishing businesses through the
creation of the Univision Music Group. The new Univision division will
be led by music industry veteran, Jose Behar, and will be
headquartered in Los Angeles. Univision has also reached an agreement
to acquire a 50% interest in Monterrey, Mexico-based Disa Records,
S.A. de C.V., the second largest independent Spanish-language record
label in the world, from the Chavez family. The Chavez family will
maintain a 50% ownership in Disa Records and will continue to manage
the business. Terms of the transaction were not disclosed.
Univision also announced that it has entered into an exclusive
distribution agreement with Universal Music Group, a unit of Vivendi
Universal (Paris Stock Exchange and NYSE: V), in the United States and
Puerto Rico, and an exclusive licensing agreement with Universal
outside the United States and Puerto Rico. Disa Records has also
reached a distribution agreement with Universal in the United States
and Puerto Rico. In Mexico, Disa Records will continue to function as
a fully integrated record label.
"Univision's entry into Spanish-language music is a natural
extension of our business and clearly positions the Company as a
broad-based, multifaceted entertainment company," said A. Jerrold
Perenchio, Chairman and Chief Executive Officer of Univision. "Our
agreement with Disa, which has a successful history of representing
many of the leading regional Mexican artists, combined with our
exclusive arrangement with Universal Music Group, will give Univision
an immediate presence in the music industry and an outstanding
platform to leverage our strong brand and reach throughout the world."
"Our agreement with Univision will provide us with the resources
to accelerate Disa's growth and become a natural destination for all
of Mexico's regional music artists," said Patricia Chavez, Chief
Executive Officer of Disa Records. "We are proud to be partnering with
Univision, whose reputation among the Hispanic community is second to
none, and look forward to working together to meet the world's
increasing demand for Spanish-language music. Along with the clout of
Univision, we are thrilled to have Universal Music Group, the world's
leading music company, as our distributor in the U.S. and Puerto
Rico."
Disa Records currently represents more than 50 artists, including
Los Angeles Azules, Grupo Bryndis, Liberacion, El Poder del Norte, Los
Cardenales de Nuevo Leon, Los Askis, Los Llayras, Palomo, Rayito
Colombiano, Miguel y Miguel, Los Reyes del Camino, Luis y Julian,
Viento y Sol, Hector Montemayor, La Tropa Ballenata and Vagon Chicano.
The Company also has a vast editorial library as well as an extensive
music catalog that contains masters from such artists as Los
Temerarios, Bronco, Los Acosta, Los Traileros del Norte, Tropical
Panama, Samuray and many other artists.
Perenchio continued: "I am also pleased that Jose Behar will lead
