Port Washington, NY - April 30, 2009 - E1 Entertainment Distribution
U.S. (formerly KOCH Distribution), the USA's leading and fastest-
growing independent music company in the U.S, and RightsFlow, a
provider of bulk mechanical licensing and royalty services, announced
today that E1 will offer its distributed labels the ability to utilize
RightsFlow's proprietary mechanical licensing 'FLOW' system to
license, account, and pay publisher royalties for DPD, interactive
streams and limited downloads, including subscription and ad-supported
models.
"Partnering with RightsFlow allows E1 to provide its distributed
labels with access to RightsFlow's unique, cost-saving, bulk
mechanical licensing program" stated Michael Rosenberg, President of
E1 Entertainment Distribution U.S. "In RightsFlow, we have a proven
partner who can manage this important area of our distributed labels'
business. By relieving themselves of the burden of this time-consuming
and increasingly complex task, our labels have more time and energy to
do what they do best - produce content for E1 to distribute - and
publishers and songwriters rights are properly licensed and
compensated."
"RightsFlow is delighted to enter into this relationship with E1
Entertainment," adds Duncan Hutchison, Chief Content Officer of
RightsFlow. "We are excited to demonstrate how RightsFlow's proven one-
stop solution can provide E1's labels the cost-saving benefits of off-
loading their mechanical licensing, accounting, and royalty needs."
Under U.S. Copyright Law, mechanical licenses are required for music
to be distributed through online music services. The current U.S.
Limited download and interactive streaming services generally pay a
mechanical royalty of 10.5 percent of revenue, less amounts owed for
performance royalties. To ensure publishers and songwriters are
properly compensated under U.S. law, RightsFlow's licensing service
utilizes the bulk licensing system of The Harry Fox Agency, Inc.
(HFA), a leading U.S. music rights licensing organization, as well as
bulk licensing systems used by the thousands of publishers not
represented by HFA.
About E1 Entertainment:
E1 Entertainment (AIM: ETO) is a leading independent entertainment
content owner that acquires film, television and music rights and
exploits these rights in all media in more than 190 countries. The
company currently operates in Canada, the U.S., the UK, Holland and
Belgium through its four primary businesses units: E1 Television, E1
Films, E1 Music and E1 Distribution. These businesses collectively
represent E1's extensive expertise in film distribution, television
and music production/distribution, Kids content, Licensing and
Distribution. E1's content library includes more than 3,700 feature
films, 2,700 hours of original television programming and 15,000 music
tracks. For more information, visit us at: http://www.kochdistribution.com
About RightsFlow:
RightsFlow offers Mechanical Licensing & Royalty Solutions for labels,
distributors, and online music services. We specialize in obtaining
bulk mechanical, DPD, and ringtone licenses including streaming,
tethered, and limited downloads rights. Our proprietary "FLOW" system
allows us to license, account, and pay royalties directly to the Harry
Fox Agency (HFA) and the thousands of publishers not represented by
HFA. Today, RightsFlow services over 1,500 labels for mechanical and
DPD licensing. Some of the many clients we service include marquee
companies such as Muzak, EMI Music, Active International, CD Baby,
IODA, Audible Magic, YouLicense, Constellation Wines (Blackstone), X5
Music Group, Zebralution and Disc Makers, among others. For more
information on RightsFlow's services and management team, visit
http://www.rightsflow.com
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