2003 / 2004 Annual Report
Transcription
★ RADIO STARMAKER FUND ANNUAL REPORT 2003 –2004 ANNUAL REPORT TABLE OF CONTENTS 02. 03. 04. 05. 06. 07. 08. 09. 10. 11. 12. 13. – 17. 18. RADIO STARMAKER FUND The Year in Review Message from the Chair Board of Directors and Staff | Mandate | 2003-2004 Overview Application Evaluation | Applications Submitted vs. Applications Approved Tracking Success | Grant Allocation by Type of Record Label Grant Allocation by Genre Funded Artists | Grant Allocation by Music Industry Association Awards Won by Radio Starmaker Funded Artists | Sales Certifications RSF Artist Radio Airplay Allocation of Funding by Category | Grant Allocation by Province Looking Ahead to 2005 Condensed Financial Statements Appendix: Criteria for Qualifying R A D I O S TA R M A K E R F U N D A N N U A L R E P O RT 2 0 0 3 - 2 0 0 4 .01 ANNUAL REPORT THE YEAR IN REVIEW RADIO STARMAKER FUND In last year’s Radio Starmaker Fund annual report, we concluded by identifying three areas of priority for Fiscal 03/04. We are pleased to report significant progress in each: • In regard to outreach, every region of the country has had a personal visit by Radio Starmaker Fund staff this year, and numerous meetings were held with artists, managers and labels at each visit. The music industry in regions outside of the major centers tends to be less developed, but a meaningful exchange of dialogue has ensured that even artists who do not currently qualify are aware of our core programme and know what is required as they build their careers. Furthermore, many artists from outlying regions have accessed RSF funds through our expanded funding initiatives, which have proven to not only be useful to our recipients, but a valuable component of our outreach strategy. To ensure that our programme represents Canadian diversity, we created qualifying criteria for Canadian artists of aboriginal descent, and have had three approved applicants so far. • We committed to developing policies in response to the increasing challenges facing the music industry. Recognising the importance of international markets, the RSF now supports international touring and showcasing, and some international marketing initiatives. We have lowered the criteria for jazz, classical, blues and urban music, and extended support to DVD projects, reflecting the new realities in the music industry. • We have completed four audits of artist grant files. As expected, these audits revealed no problems; instead, they confirm that the RSF is well on track with its policies and procedures, and that our recipients have a clear understanding of the importance of detailed and accurate reporting. RADIO STARMAKER FUND 25 ADELAIDE STREET EAST, SUITE 1300, TORONTO, ONTARIO M5C 3A1 PHONE. 416.597.6622 FAX.416.597.2760 TOLL FREE 1.888.256.2211 WWW.RADIOSTARMAKERFUND.COM R A D I O S TA R M A K E R F U N D A N N U A L R E P O RT 2 0 0 3 - 2 0 0 4 .02 ANNUAL REPORT RADIO STARMAKER FUND MESSAGE FROM THE CHAIR As we conclude the Fiscal 03/04 year of the Radio Starmaker Fund, we complete yet another year in which the industry we serve experienced massive upheaval, but there are some glimmers at the end of the tunnel. In Canada, the aggregate downturn in sales over the past few years has not discouraged innovative music entrepreneurs from starting a number of new independent labels, designed to challenge old business models and exploit opportunities from creative new models of their own making. Canadian artists continue to take their place on world stages in every genre, valued for their originality, creativity, professionalism, and success. At the RSF, we are once again thrilled to be part of Canadian music industry success stories. Every year, we make operating improvements to our fund, while never losing sight of our mandate: to be driven by the needs of artists, and to make a discernable difference in the success of their careers. This year we have embarked on a new initiative to support artists for both touring and international marketing, and this will continue to be a focus for us in 2004/05. Our Board has recognised that Artists need direct support to seek new audiences in foreign territories if they are going to succeed in their careers. We are pleased to provide some of this support. Within our core funding programme, we have awarded $2,733,835.07, to 49 artists, in all genres, from coast to coast. Furthermore, we have expanded our highly successful programme to support artists through music industry associations, granting $232,500.00. And, of course, we continue to deliver an exemplary level of financial rigour in all of our initiatives, confirmed in audit after audit. The Radio Starmaker Fund is an exciting, effective and accountable initiative that continues to demonstrate the valuable work that can be accomplished when broadcasters and the music industry work together. We are proud of our work, and are committed to ensuring that we continue to deliver ongoing success in the coming year. Chuck McCoy Executive Chair, Radio Starmaker Fund R A D I O S TA R M A K E R F U N D A N N U A L R E P O RT 2 0 0 3 - 2 0 0 4 .03 ANNUAL REPORT BOARD OF DIRECTORS AND STAFF MANDATE | 2003–2004 OVERVIEW For the period from September 1st, 2003 to August 31st, 2004, the Radio Starmaker Fund board of directors was comprised of: CHAIR Chuck McCoy Vice President & General Manager, Rogers Broadcasting Limited VICE-CHAIR Alexander Mair President, MHL Communications TREASURER Lisa Zbitnew President, BMG Canada Inc. S E C R E TA RY Lyle (Chip) Sutherland Barrister and Solicitor, Patterson Palmer DIRECTORS Ed Bonner V.P. Marketing, Somerset Entertainment Rob Farina Programme Director, CHUM Limited Jian Ghomeshi President, Wonderboy Entertainment Inc. Bob Harris Operations Manager Montreal, Standard Radio Inc. Sander Shalinsky Barrister and Solicitor, Sheppard Shalinsky Brown Dean Sinclair General Manager, CORUS Entertainment Inc. MANDATE The mandate of the Radio Starmaker Fund is to make a substantial and discernable difference to the careers of Canadian musical recording artists through artist driven marketing assistance, and to support the Canadian independent music infrastructure. Created by the Canadian Radio-television and Telecommunications Commission’s Radio Policy Review of 1998, the Radio Starmaker Fund has completed its third full year of operation. French language artists are supported by Fonds RadioStar, although Radio Starmaker Fund supports non-French language and instrumental projects originating from Quebec. 2003-2004 OVERVIEW: ■ ■ ■ S TA F F : EXECUTIVE DIRECTOR Catharine Saxberg O P E R AT I O N S M A N A G E R RADIO STARMAKER FUND ■ ■ Rachel Oldfield ■ Committed $2,733,835.07 to 49 Canadian artists through our core programme Assisted 106 artists to attend industry events in a number of regions through our support to associations programme ( $232,500.00, tracked as “miscellaneous funding”) Approved management mentorship pilot programme to increase the number of qualified artist managers in Canada Expanded core programme to include international support for both touring and marketing Updated our qualifying criteria in every category, and created a new qualifying category for artists of aboriginal descent Completed our first round of artist and label audits R A D I O S TA R M A K E R F U N D A N N U A L R E P O RT 2 0 0 3 - 2 0 0 4 .04 ANNUAL REPORT RADIO STARMAKER FUND APPLICATION EVALUATION Applications to the Radio Starmaker Fund are evaluated on four major criteria: ■ ■ ■ ■ The track record of the artist The amount of money invested by the applicant and his/her agents The quality of the marketing plan, both the proposed RSF portion, and the portion to which the applicant has committed through their significant investment The amount of money the Radio Starmaker Fund has available for the round In order to qualify for the Radio Starmaker Fund, artists need to reach prescribed sales levels by genre and demonstrate a financial commitment to the marketing of their recorded project (see appendix for application criteria). Furthermore, the artist must be a Canadian citizen or landed immigrant, a resident of Canada, and the ownership of the master tapes must reside with a Canadian company. We continue to fund artists from every genre of music and from every region of the country, regardless of whether they produce music appropriate for airplay by private broadcasters. APPLICATIONS SUBMITTED VS. APPLICATIONS APPROVED ■ ■ NUMBER OF APPLICATIONS SUBMITTED HAS INCREASED BY 35% FROM 2002-2003 PERCENTAGE OF APPLICATIONS APPROVED HAS INCREASED BY 8.43% FROM 2002-2003 TOTAL FISCAL YEAR 2003-2004 # OF QUALIFYING APPLICATIONS SUBMITTED # OF APPLICATIONS APPROVED % 65 61 93.85% SUCCESS FACT: BLACKIE & THE RODEO KINGS (ROUND #6) Bark, through True North Records, was picked up for U.S distribution by Rounder Records of Cambridge, Mass. First single was the highest debut of its week (#28) on the Americana chart. “We received funding from Starmaker for Blackie and the Rodeo Kings and we’ve been able to use that money to build their profile...” says True North Records president Bernie Finkelstein “As a consequence, we have a small hit record with them now, they ended up on the Juno Awards show, and they have a top 15 rock single.” R A D I O S TA R M A K E R F U N D A N N U A L R E P O RT 2 0 0 3 - 2 0 0 4 .05 ANNUAL REPORT RADIO STARMAKER FUND TRACKING SUCCESS | GRANT ALLOCATION BY TYPE OF RECORD LABEL It is challenging to demonstrate cause and effect between Radio Starmaker Fund grants and artist success for two reasons: 1) our funding is only one component of a very complex picture, that includes everything from access to distribution channels to changing musical tastes 2) the lack of universally accepted statistical benchmarks for the Canadian music industry, against which we could track individual performance. Given the overall decline in music sales in Canada, up to date benchmarks become that much more important; sales on a project that might have been unimpressive five years ago may be a real accomplishment today, and it is important to manage expectations in a declining market. However, despite the challenges in tracking success, it is essential that the RSF continually monitors our investments to the best of our ability. We are fortunate in that we approve approximately 60-70 projects a year, a number that is small enough to allow us to focus on qualitative results, if not quantitative ones, as we demonstrate in the case studies throughout this report. Our quantitative analysis allows us to track primarily the percentages of dollars allocated to major label artists vs. independent ones, expenditures by genre, by province and by category. SUCCESS FACT: Perhaps even more important than tracking success is our ability to stay in tune with the needs of Canadian artists and labels and ensure that our programs reflect their ongoing challenges. Our new international initiatives are a direct result of our effort to be responsive to the overwhelming demand expressed by artists and the independent label community to have assistance in foreign territories. Lover/Fighter was ranked #47 in the Top 150 albums of the year in Rolling Stone’s France edition, and was followed with highly successful tour dates in Belgium, Denmark, Norway, France, Switzerland, Holland, Ireland, the U.K. and Berlin. TOTAL APPROVED FUNDING FOR FISCAL YEAR % OF TOTAL APPROVED FUNDING MAJOR LABELS INDIE LABELS QUASI-INDIE MISC. FUNDING TOTAL $807,986.00 $1,724,999.07 $200,850.00 $232,500.00 $2,966,335.07 27.24% 58.15% 6.77% 7.84% 100% HAWKSLEY WORKMAN (ROUND #8) R A D I O S TA R M A K E R F U N D A N N U A L R E P O RT 2 0 0 3 - 2 0 0 4 .06 ANNUAL REPORT ARTIST PROFILE: FEFE DOBSON To date, Fefe Dobson has had four singles released in Canada in support of her debut platinum selling album, which was released December 2003. Fefe has graced the airwaves with singles in the Top 20 at rock radio and modern rock, as well as Top 10 at hot AC and CHR formats. Fefe has also had great support from MuchMusic, Musique Plus, YTV and MTV on both sides of the border. In October 2003, prior to her album release, Fefe made her first performance debut on MuchMusic, performed on Edge 102 Casby Awards, and sold out her first headlining hometown show at the Reverb in Toronto. She has spent a great deal of time working the US market, not only doing countless shows and promotions, but appearing on Jay Leno, Ellen Degeneres, Sharon Osbourne and numerous appearances on MTV’s TRL Live. Fefe also appeared on NBC’s “American Dreams” season finale as Tina Turner, performing “River Deep, Mountain High”. Fefe has been invited back to appear in another episode of “American Dreams” in the forthcoming season. The European market has not been ignored; Fefe opened for Justin Timberlake in the U.K. in January 2004, and has since returned to Europe for promotional appearances in the UK, France and Germany where “Everything” has been released as the first single. In the press, Fefe has had major coverage at every major daily in the country and this year has been on the cover of Verve, Access, Fashion 18, and Chart magazines. Fefe also appeared in ads for Got Milk, Tommy Hilfiger, Def Jam University, Sunglasses Hut and most recently, Xbox Canada, the sponsor of her first full national tour. Universal Music Canada made a huge investment in Fefe, but Radio Starmaker funds have been very important in helping to promote both her album and Canadian tour, with radio advertising, television campaigns in both English and French, as well as online promotions. A non album track “If You Walk Away” appears on the recently released Disney soundtrack for the Kate Hudson film “Raising Helen”. The newest single “Don’t Go (Girls and Boys)” has been added to the original version of the album and is performing extremely well at Muchmusic, Musique Plus and CHR radio. IVAR HAMILTON SENIOR MARKETING DIRECTOR, UNIVERSAL MUSIC CANADA RADIO STARMAKER FUND ANNUAL REPORT RADIO STARMAKER FUND GRANT ALLOCATION BY GENRE GENRE TOTALS % NUMBER OF APPROVED APPLICATIONS NUMBER OF APPROVED ARTISTS ROCK $708,531.00 23.89% 11 9 POP $559,865.00 18.87% 8 7 URBAN $303,455.00 10.23% 6 4 AC $101,500.00 3.42% 3 2 COUNTRY $137,763.25 4.65% 5 4 FOLK $223,162.00 7.52% 6 5 WORLD $330,408.25 11.14% 7 7 $0.00 0.00% 0 0 $151,607.50 5.11% 5 5 JAZZ $74,650.00 2.52% 2 2 ELECTRONIC $18,507.00 0.62% 1 1 ABORIGINAL $206,886.07 6.97% 3 3 MISC. $150,000.00 5.06% 4 0 $2,966,335.07 100% 61* 49 BLUES CLASSICAL TOTAL *NUMBER OF APPROVED APPLICATIONS FOR FISCAL YEAR INCLUDES 13 MISCELLANEOUS FUNDING APPLICATIONS SIGNIFICANT DECREASE IN: ROCK FROM 2002-2003 (23.89% THIS YEAR VS. 47.93% IN 2002-2003) INCREASES IN: URBAN (10.23% THIS YEAR VS. 4.38% 2002-2003), COUNTRY (4.65% THIS YEAR VS. 1.57% 2002-2003), WORLD (11.14% THIS YEAR VS. 2.63% 2002-2003), THERE WAS NO ABORIGINAL CATEGORY IN 2002-2003 R A D I O S TA R M A K E R F U N D A N N U A L R E P O RT 2 0 0 3 - 2 0 0 4 .07 ANNUAL REPORT FUNDED ARTISTS |GRANT ALLOCATION BY MUSIC INDUSTRY ASSOCIATION ROUND 8 ROUND 9 ROUND 10 ROUND 11 HOLLY COLE DAVID USHER HAWKSLEY WORKMAN CRUSH DANIEL TAYLOR SUM 41 INTAKTO OH SUSANNA JIMMY RANKIN DOC WALKER GLENGARRY BHOYS DELERIUM BRUCE COCKBURN SWOLLEN MEMBERS BUCK 65 NATALIE MACMASTER HAWKSLEY WORKMAN ALAIN LEFEVRE KID KOALA JIMMY RANKIN GOB PILATE RYAN MALCOLM SARAH HARMER YANNICK NEZET-SEGUIN SHAYE JACKSOUL JASON MCCOY TAIMA FLORENT VOLLANT QUARTETTO GELATO THE BILLS ALEXISONFIRE JANE BUNNETT FEFE DOBSON THORNLEY CORAL EGAN LHASA DE SELA FRANCESCA GAGNON PAVLO BARNARD AND BROHM RON KORB JORANE BUCK 65 METRIC SUZIE LEBLANC BEVERLEY MAHOOD RECIPIENT EVENT CITY/PROVINCE CANADIAN COUNTRY MUSIC ASSOCIATION (CCMA) EDMONTON, ALBERTA URBAN MUSIC ASSOCIATION OF CANADA (UMAC) TORONTO, ONTARIO WESTERN CANADIAN MUSIC ALLIANCE (WCMA) CALGARY, ALBERTA CANADIAN ACADEMY OF RECORDING ARTS AND SCIENCES (CARAS) WINNIPEG, MANITOBA CANADIAN SONGWRITERS HALL OF FAME (CSHF) TORONTO, ONTARIO EAST COAST MUSIC ASSOCIATION (ECMA) CAPE BRETON, NOVA SCOTIA RADIO STARMAKER FUND SUCCESS FACT: SARAH HARMER (ROUND #11) All Of Our Names sold 20,000 copies in Canada in the first three weeks, and almost 10,000 in the United States in the same time period. R A D I O S TA R M A K E R F U N D A N N U A L R E P O RT 2 0 0 3 - 2 0 0 4 .08 ANNUAL REPORT ARTIST PROFILE: ALEXISONFIRE Two year old Canadian screamcore band Alexisonfire is enjoying an impressive mainstream breakthrough on its home turf. The indie band’s sophomore album, “Watch Out!”, released June 8th in Canada, debuted on the country’s album chart at Number 6, selling 6,580 copies in the first week. As of this writing it has scanned over 24,000, making it 11 straight weeks on the top 200 and sold over 35,000. These numbers represent a significant leap for the band from its self-titled 2002 debut, which peaked at number 127 and eventually sold over 30,000 units in Canada. The strong chart debut astonished the band. “We had high expectations, but not that high,” singer/guitarist Dallas Green admits. “We didn’t think we would scan almost 7,000 copies. We didn’t have a new video. This was [the result of] word-ofmouth and tv commercials.” The Radio Starmaker Fund helped underwrite the cost of the television advertising, publicity costs, some radio advertising, web development and a street level postering campaign. “Watch Out!” was released in the United States June 29, Australia in July, Japan in October and the U.K. and Germany in November. In the past year, Alexisonfire has toured Canada twice and the United States four times, working alongside Billy Talent, GWAR, Juliana Theory, Godsmack and Glassjaw. Manager Greg Below recalls being immediately taken by Alexisonfire’s live show. “Onstage, they give 120%”, he says. “Each member has the potential of being their own star.” After a stop over across the pond at legendary Leeds and Reading Festivals, the band will be making another trek across Canada with Canada’s own Moneen and U.S. Based Hopesfall September 14th thru October 10th. GREG BELOW, DISTORT ENTERTAINMENT With thanks to LARRY LEBLANC, BILLBOARD MAGAZINE RADIO STARMAKER FUND ANNUAL REPORT AWARDS WON BY RADIO STARMAKER FUNDED ARTISTS | SALES CERTIFICATIONS RADIO STARMAKER FUND AWARDS WON BY RADIO STARMAKER FUNDED ARTISTS MMVA’S: WCMA’S: BEST INDEPENDENT VIDEO PILATE “Into Your Hideout” VIDEOFACT AWARD ALEXISONFIRE “Counterparts & Number Them” OUTSTANDING ALBUM (INDEPENDENT) THE CORB LUND BAND “Five Dollar Bill” OUTSTANDING RAP/HIP HOP RECORDING SWOLLEN MEMBERS “Monsters in the Closet” OUTSTANDING ROOTS RECORDING THE BILL HILLY BAND “All Day Everyday” VIDEO OF THE YEAR SWOLLEN MEMBERS “Breath” JUNO’S: ALBUM OF THE YEAR SAM ROBERTS “We Were Born in a Flame“ ARTIST OF THE YEAR SAM ROBERTS ROCK ALBUM OF THE YEAR SAM ROBERTS “We Were Born in a Flame“ VOCAL JAZZ ALBUM OF THE YEAR HOLLY COLE “Shade” ALTERNATIVE ALBUM OF THE YEAR BUCK 65 “Talkin’ Honky Blues” CANADIAN INDEPENDENT MUSIC AWARDS: FAVOURITE SOLO ARTIST BIF NAKED CCMA’S: CANADIAN RADIO MUSIC AWARDS: INDEPENDENT GROUP OF THE YEAR DOC WALKER INDEPENDENT SONG OF THE YEAR “ROCKET GIRL” Recorded by Doc Walker, Written by Jason McCoy BEST NEW SOLO ARTIST (CHR) FEFE DOBSON BEST NEW GROUP OR SOLO ARTIST (MAINSTREAM AC) SHAYE ECMA’s: NATIONAL JAZZ AWARDS: SOCAN SONGWRITER OF THE YEAR JIMMY RANKIN for “Midnight Angel” FEMALE ARTIST OF THE YEAR NATALIE MACMASTER SINGLE OF THE YEAR CRUSH “Crush” URBAN RECORDING OF THE YEAR BUCK 65 “Square” COMPOSER OF THE YEAR, MUSICIAN OF THE YEAR MOLLY JOHNSON SOCAN AWARDS: URBAN MUSIC AWARD SHAWN DESMAN “Get Ready” SALES CERTIFICATIONS NOVEMBER 03: RYAN MALCOLM SINGLE “SOMETHING MORE” QUINTUPLE PLATINUM DECEMBER 03: SAM ROBERTS “WE WERE BORN IN A FLAME” PLATINUM JANUARY 04: RYAN MALCOLM “HOME” PLATINUM MARCH 04: FEFE DOBSON “FEFE DOBSON” PLATINUM JULY 04: LHASA “THE LIVING ROAD” GOLD R A D I O S TA R M A K E R F U N D A N N U A L R E P O RT 2 0 0 3 - 2 0 0 4 .09 ANNUAL REPORT RADIO STARMAKER FUND RSF ARTIST RADIO AIRPLAY SEPTEMBER 1, 2003–AUGUST 31, 2004 SONG ARTIST AUD (00) DETECTS OVER MY HEAD (BETTER OFF DEAD) SUM 41 511848 3771 BUTTERFLY JIMMY RANKIN 73301 823 ANGER AS BEAUTY HAWKSLEY WORKMAN 447099 5114 ALMOST SARAH HARMER 819377 8439 MORNING BOUND TRAIN JIMMY RANKIN 690699 9129 HAPPY BABY SHAYE 2433425 21105 WE WILL STILL NEED A SONG HAWKSLEY WORKMAN 815315 9791 ON AND ON SHAYE 103709 1472 TIME OF OUR LIVES DAVID USHER 880359 9400 EVERYTHING FEFE DOBSON 899740 9400 THE SHOW IS FREE DOC WALKER 1033303 13150 SHADY DAY JACKSOUL 628635 5842 AFTER ALL DELERIUM 408270 4871 TAKE ME AWAY FEFE DOBSON 1173473 13595 RUN FOR IT DELERIUM 513171 3149 STAR OF ALL THE PLANETS RYAN MALCOLM 850959 9924 SURFACING DAVID USHER 283108 3285 SOMETHING MORE RYAN MALCOLM 1359937 11811 GET UP DOC WALKER 651502 9437 INTO YOUR HIDEOUT PILATE 1077132 13475 CALIFORNIA DREAMER JIMMY RANKIN 169338 2919 MELT INTO THE WALLS PILATE 252897 3224 NORTH DAKOTA BOY DOC WALKER 452073 6335 STILL JASON MCCOY 799399 10889 TRULY DELERIUM 331092 1709 STILL BELIEVE IN LOVE JACKSOUL 2188417 19591 JUSTIFIED (ONE MORE REASON) CRUSH 16739 203 YOU MADE THIS FOOL BECOME A MAN RYAN MALCOLM WATCH THIS SWOLLEN MEMBERS 658830 8778 BEAUTY SONG ARTIST AUD (00) DETECTS 65674 980 SHAYE 414599 3859 BACK WHERE I’VE STAYED CHOCLAIR 227274 1921 DON’T GO (GIRLS & BOYS) FEFE DOBSON 784094 8397 SKYLINE CHOCLAIR 159847 2852 I FEEL A SIN COMIN’ ON JASON MCCOY 579401 7545 ALL I NEED IN THE WORLD IS YOU CHOCLAIR 178705 2725 COMBAT BABY METRIC 114285 646 GIVE UP THE GRUDGE GOB 842090 8110 SO FAR SO GOOD THORNLEY 836564 9438 OH ELLIN GOB 159552 2507 THE FIRST DAY (YOU WAKE UP ALONE) BEVERLEY MAHOOD 562333 8926 SMOKE BABY HAWKSLEY WORKMAN 58358 772 COME AGAIN THORNLEY 136504 1811 SOURCE: BROADCAST DATA SERVICES TOTAL SPINS – ALL FORMATS R A D I O S TA R M A K E R F U N D A N N U A L R E P O RT 2 0 0 3 - 2 0 0 4 .10 ANNUAL REPORT RADIO STARMAKER FUND ARTIST PROFILE: TAIMA Taima launched their album, “Taima”, in February and immediately achieved impressive sales results, selling more than 5,000 units in their first week of release. As of this writing, sales are over 15,000 in Canada. The album was released in June on Fullspin Music/Proper Distribution in the UK. Taima’s album generated high profile media attention, starting with a twenty minute feature produced by the CBC/SRC for the National/Le Point. This feature was broadcast on the French network on the day of release, two weeks later in English Canada, and showed Taima musician Elisapie Isaac at the Sundance Festival, at concert performances, in her northern village of Salluit, Nunavik, and as the subject of an indepth interview. In addition, the international music trade magazine, “Billboard”, also featured Taima in its March 27th issue, and Elisapie Isaac was named Personality of the Week for March 14th, 2004 by the major French daily, La Presse. The band was invited to play in the world’s most prestigious music festival last June, the famous Glastonbury Festival in the U.K. They performed three shows, sharing stages with such artists as Paul McCartney, the Black Eyed Peas, Oasis and Bonnie Raitt. Also, they played the Riddu Riddu Festival in Northern Norway, the Smithsonian Institute in New York, the Regina Folk Festival in Saskatchewan, and in the south of France at Les Deferlantes de Cap Breton festival this year. In Quebec, Taima signed a major concert production deal with Equipe Spectra and premiered a concert at the famous International Montreal Jazz Festival, as part of a prestigious series called “Chants d’Amerique”, alongside Lhasa and Zachary Richard. The Radio Starmaker Fund helped Taima present a showcase in Toronto that attracted key players in the Toronto market and helped the band accept Glastonbury’s Festival invitation by assisting with costs. The Fund also supported our promotional efforts, which have helped Taima get airplay in Nunavut and Nunavik. With RSF support, we could make sure that we did not neglect this very important part of Taima’s public: the Inuit communities. NICOLE BOUCHARD FOULESPINMUSIQUE ANNUAL REPORT RADIO STARMAKER FUND ALLOCATION OF FUNDING BY CATEGORY & GRANT ALLOCATION BY PROVINCE CATEGORY PRINT ADVERTISING RADIO ADVERTISING T.V. ADVERTISING SHOWCASING INDEPENDENT PROMOTIONS INDEPENDENT PUBLICITY CONTESTS POSTERING RETAIL PROMOTIONS PROMO TOURS TV AWARDS TV SHOWS WEB INITIATIVES INTERNATIONAL TOURING* INTERNATIONAL SHOWCASING* TOUR MUSICIANS TOUR PRODUCTION TOUR CREW REHEARSAL SPACE RENTAL TOUR BUS OPENING ACT TOUR SUBSIDY OTHER MISCELLANEOUS FUNDING TOTAL * NEW CATEGORIES THIS YEAR TOTAL APPROVED FUNDING % OF TOTAL APPROVED FUNDING BY CATEGORY 284,266.00 551,859.75 561,711.00 53,881.14 142,345.25 91,355.08 96,050.00 208,580.00 119,318.00 59,290.00 0.00 30,000.00 107,704.00 90,000.00 55,150.00 66,860.00 56,712.50 78,363.80 9,888.00 38,500.55 32,000.00 0.00 232,500.00 9.58% 18.61% 18.94% 1.82% 4.80% 3.08% 3.24% 7.03% 4.02% 2.00% 0.00% 1.01% 3.63% 3.03% 1.86% 2.25% 1.91% 2.64% 0.33% 1.30% 1.08% 0.00% 7.84% $2,966,335.07 100.00% PROVINCE TOTALS % NUMBER OF APPROVED APPLICATIONS NUMBER OF APPROVED ARTISTS $1,754,730.57 59.16% 36 28 $0.00 0.00% 0 0 $325,520.00 10.97% 6 4 $25,000.00 0.84% 1 0 $0.00 0.00% 0 0 $604,314.50 20.37% 12 12 $14,290.00 0.48% 1 1 $0.00 0.00% 0 0 $15,000.00 0.51% 1 0 $227,480.00 7.67% 4 4 NUNAVUT $0.00 0.00% 0 0 N.W.T. $0.00 0.00% 0 0 YUKON $0.00 0.00% 0 0 TOTAL $2,966,335.07 100.00% 61* 49 ONTARIO NEWFOUNDLAND NOVA SCOTIA P.E.I. NEW BRUNSWICK QUEBEC MANITOBA SASKATCHEWAN ALBERTA BRITISH COLUMBIA *NUMBER OF APPROVED APPLICATIONS FOR FISCAL YEAR INCLUDES 13 MISCELLANEOUS FUNDING APPLICATIONS There are significant regional increases in: QUEBEC (20.37% THIS YEAR VS. 9.05% IN 2002-2003), ONTARIO (59.16% THIS YEAR VS. 41.04% IN 2002-2003), NOVA SCOTIA (10.97% THIS YEAR VS. 7.58% IN 2002-2003) And decreases in: BRITISH COLUMBIA (7.67% THIS YEAR VS. 33.08% IN 2002-2003), ALBERTA (0.51% THIS YEAR VS. 3.77% 2002-2003) R A D I O S TA R M A K E R F U N D A N N U A L R E P O RT 2 0 0 3 - 2 0 0 4 .11 ANNUAL REPORT LOOKING AHEAD TO 2005 As we embark on the new fiscal, our overall theme is to effectively integrate the significant changes the fund has undergone throughout this year. We are focusing our efforts on our ongoing priorities: RESPONSIVENESS The potential recipient base for the Radio Starmaker Fund is anything but static, and therefore ongoing outreach is essential. We have found that our artist travel grants, although relatively modest in comparison to our core programmes, not only benefit artists by facilitating travel, but are very effective in raising the awareness level of the fund, our programmes and our operating philosophy. RADIO STARMAKER FUND POLICY REFINEMENT This year we have instituted two new significant programmes, and our goals going forward into 2005 will be: For our pilot management policy, to execute the first round of applications, track the results, monitor the impact both internally and for the industry, decide if we will extend the programme, and if so, with or without modifications Refine our new international touring and marketing programmes with the input of our users to ensure that they meet their needs as our artists expand their markets ACCOUNTABILITY Our artist audit process started this past year. As we go forward we will increase the number of audits done next year, and integrate the learning to continually improve our operating procedures. SUCCESS FACT: GOB & SWOLLEN MEMBERS (ROUND #1 & 7, ROUND #2, 3, 5, & 6) “I think the RSF is, along with the radio marketing fund that FACTOR had, responsible for breaking both Gob and the Swollen Members for us. It allowed us to basically be on a level playing field with the majors and spend the money on radio ads...” – RIC ARBOIT, NETTWERK RECORDS R A D I O S TA R M A K E R F U N D A N N U A L R E P O RT 2 0 0 3 - 2 0 0 4 .12 ANNUAL REPORT RADIO STARMAKER FUND ARTIST PROFILE: BUCK 65 Buck 65 has been one of Canada’s lesser known success stories this year. On October 8th, 2002, Warner Music Canada released “Square”, Buck 65’s fourth full length release and first on Warner. Our objective was to use this release as a marketing tool internationally, as well as a vehicle to further our working relationship with Buck 65 and his manager. As a result, we were able to secure releases in thirteen international territories including France, the United Kingdom, Germany and Australia. “Square” proved to be an amazing introduction for the press and retail groups globally. The reviews were great and everybody was looking forward to the next release. On September 16th, 2003, we released Buck 65’s current release, “Talkin’ Honky Blues”. The ground was set and we were able to simultaneously release in the UK, France, Germany, Australia and many other territories. The press has been out- standing, repeating the fact that Buck 65 is an artist to watch. Because of the great press and touring success, we negotiated a deal with V2 Records in the United States to release a compilation of songs, a “best of”, for September 2004. With the help of the Radio Starmaker Fund, we were able to maintain a presence in marketing and touring internationally that would not have been possible otherwise. The Radio Starmaker Fund allowed Buck 65 to tour Australia and the major European festivals this past summer. Without that help, we would not have been able to reinforce what had been started. STEVE BLAIR DIRECTOR A&R, WARNER MUSIC CANADA, LTD. FINANCIAL RESULTS FINANCIAL HIGHLIGHTS FISCAL YEAR 2003–2004 RADIO STARMAKER FUND The accompanying condensed financial statements provide an overview of the Fund’s operations and are derived from the complete financial statements of Radio Starmaker Fund as at August 31, 2004 and for the year then ended on which our auditors, PricewaterhouseCoopers LLP, have expressed an opinion without reservation in their report dated November 5, 2004. These condensed financial statements do not contain all the disclosures required by Canadian generally accepted accounting principles. Complete financial statements are available on request from Radio Starmaker Fund. R A D I O S TA R M A K E R F U N D A N N U A L R E P O RT 2 0 0 3 - 2 0 0 4 .13 FINANCIAL RESULTS RADIO STARMAKER FUND CONDENSED STATEMENT OF FINANCIAL POSITION AS AT AUGUST 31, 2004 2004 ADMINISTRATION FUND CAPITAL ASSET FUND GRANT FUND TOTAL $ $ $ $ 77,074 – – 831,363 908,437 SHORT-TERM INVESTMENTS – 3,267,958 3,267,958 PREPAID EXPENSES 11,375 – – 11,375 88,449 – 4,099,321 4,187,770 300,000 – – – 10,941 – 300,000 10,941 388,449 10,941 4,099,321 4,498,711 2,433,423 – 2,433,423 2,472,493 ASSETS RADIO STARMAKER FUND CURRENT ASSETS CASH INTERNALLY RESTRICTED INVESTMENTS CAPITAL ASSETS – NET LIABILITIES CURRENT LIABILITIES GRANT LIABILITY ACCOUNTS PAYABLE AND ACCRUED LIABILITIES FUND BALANCES INVESTED IN CAPITAL ASSETS RESTRICTED UNRESTRICTED – – 39,070 – 39,070 – 2,433,423 – 10,941 – – 10,941 1,965,898 39,070 49,379 – 1,665,898 – 349,379 10,941 1,665,898 2,026,218 388,449 10,941 4,099,321 4,498,711 300,000 49,379 R A D I O S TA R M A K E R F U N D A N N U A L R E P O RT 2 0 0 3 - 2 0 0 4 .14 FINANCIAL RESULTS RADIO STARMAKER FUND CONDENSED STATEMENT OF FINANCIAL POSITION...CONTINUED AS AT AUGUST 31, 2004 2003 ADMINISTRATION FUND CAPITAL ASSET FUND GRANT FUND TOTAL $ $ $ $ 351,034 – – – 2,874,011 3,225,045 2,020,078 2,020,078 – – 7,137 – 270 – 270 7,137 358,171 – 4,894,359 5,252,530 – 14,069 – 14,069 358,171 14,069 4,894,359 5,266,599 ASSETS RADIO STARMAKER FUND CURRENT ASSETS CASH SHORT-TERM INVESTMENTS ACCOUNTS RECEIVABLE PREPAID EXPENSES CAPITAL ASSETS – NET LIABILITIES CURRENT LIABILITIES – – 2,114,726 2,114,726 10,143 – – 10,143 10,143 – 2,114,726 2,124,869 INVESTED IN CAPITAL ASSETS – – 14,069 – – 14,069 RESTRICTED 2,779,633 348,028 – – 2,779,633 348,028 348,028 14,069 2,779,633 3,141,730 358,171 14,069 4,894,359 5,266,599 GRANT LIABILITY ACCOUNTS PAYABLE AND ACCRUED LIABILITIES FUND BALANCES UNRESTRICTED R A D I O S TA R M A K E R F U N D A N N U A L R E P O RT 2 0 0 3 - 2 0 0 4 .15 FINANCIAL RESULTS RADIO STARMAKER FUND RADIO STARMAKER FUND CONDENSED STATEMENT OF OPERATIONS AND CHANGES IN FUND BALANCES... CONTINUED FOR THE YEAR ENDED AUGUST 31, 2004 RESTRICTED FUNDS 2004 CAPITAL ASSET FUND GRANT FUND TOTAL REVENUES $ $ $ CONTRIBUTIONS – 1,731,819 1,731,819 INTEREST – 61,451 61,451 – 1,793,270 1,793,270 EXPENSES AND LOSSES – 2,431,683 2,431,683 5,092 322 5,414 5,092 2,432,005 2,437,097 DEFICIENCY OF REVENUES OVER EXPENSES (5,092) (638,735) (643,827) FUND BALANCES – BEGINNING OF YEAR 14,069 2,779,633 2,793,702 1,964 (475,000) (473,036) 10,941 1,665,898 1,676,839 GRANTS, NET OF EXPIRING AMOUNTS AMORTIZATION AND OTHER INTERFUND TRANSFERS FUND BALANCES – END OF YEAR R A D I O S TA R M A K E R F U N D A N N U A L R E P O RT 2 0 0 3 - 2 0 0 4 .16 FINANCIAL RESULTS RADIO STARMAKER FUND RADIO STARMAKER FUND CONDENSED STATEMENT OF OPERATIONS AND CHANGES IN FUND BALANCES... CONTINUED FOR THE YEAR ENDED AUGUST 31, 2004 RESTRICTED FUNDS 2003 CAPITAL ASSET FUND GRANT FUND TOTAL REVENUES $ $ $ CONTRIBUTIONS – 5,281,759 5,281,759 INTEREST – 51,340 51,340 – 5,333,099 5,333,099 EXPENSES AND LOSSES – 2,234,255 2,234,255 7,606 444 8,050 7,606 2,234,699 2,242,305 EXCESS (DEFICIENCY) OF REVENUES OVER EXPENSES (7,606) 3,098,400 3,090,794 FUND BALANCES – BEGINNING OF YEAR 14,881 359,664 374,545 6,794 (678,431) (671,637) 14,069 2,779,633 2,793,702 GRANTS, NET OF EXPIRING AMOUNTS AMORTIZATION AND OTHER INTERFUND TRANSFERS FUND BALANCES – END OF YEAR R A D I O S TA R M A K E R F U N D A N N U A L R E P O RT 2 0 0 3 - 2 0 0 4 .17 ANNUAL REPORT ARTIST PROFILE: DOC WALKER "This is country music for people who don't even like country music! It's the grassroots music of the Canadian prairies, with a fresh modern twist." – HOUSE AND HOME MAGAZINE This has been a banner year for Doc Walker, and the Radio Starmaker Fund has played a significant role in the band's development. Doc Walker's strategy has always been to build in our home country first and then tackle the U.S. and other international markets when ready, and we have made important progress this year. In Canada, as of mid July we had shipped over 12,000 copies of "Everyone Aboard", and the band has toured from B. C. to Nova Scotia, selling out hard ticket shows in many markets including Vancouver and Halifax. They performed a hometown concert in Winnipeg at the Burton Cummings Theater this past February for 1,200 ticket buyers. The first single, "The Show is Free", was Top Ten within four weeks, a record on the BDS charts for a group. "Get Up", the follow up single, went Top 5 and the most recent single "North Dakota Boy" is headed in the same direction. Videos for all three singles have been "#1 most requested", and heavily played in countdown shows. Doc Walker earned a Juno nomination for the third straight year, and kicked off the Juno Gala Dinner and Awards Show in Edmonton. They are nominated for five major CCMA awards (second most of all acts) including the prestigious Fan's Choice Entertainer of the Year Award by the Canadian Country Music Association, along with Shania Twain, Terri Clark and Jason McCoy. Funds from the RSF assisted our efforts with promotions in markets where we we’re still building our fan base, such as the Maritimes. These preliminary marketing and touring efforts have opened doors for the band to return to perform in more markets in these regions, in larger venues. Internationally, the band is negotiating releases in Australia and the United Kingdom, and has performed showcases in Los Angeles and Nashville, in addition to a television taping in Orlando, and an upcoming concert date in Chicago. RON KITCHENER MANAGER, DOC WALKER RADIO STARMAKER FUND ANNUAL REPORT RADIO STARMAKER FUND APPENDIX: CRITERIA FOR QUALIFYING Applicants must have sold a qualifying number of units on a previous or current release, determined by their genre. ■ ■ ■ The artist, their label or agent, must invest (“Significant Investment”) the dollar amounts below by genre in third party, non-recoupable marketing costs. Ownership of the masters must reside with a Canadian company, and the royalties must flow through a Canadian company. The artist must be a Canadian citizen or landed immigrant, and resident of Canada. GENRE UNITS SOLD SIGNIFICANT INVESTMENT POP/ROCK/AC 15,000 MAJOR LABEL 10,000 INDIE LABEL $75,000 $25,000 COUNTRY/FOLK/URBAN/ ELECTRONICA /DRUMS N BASS 7,500 MAJOR LABEL 5,000 INDIE LABEL $20,000 $10,000 WORLD/JAZZ/CLASSICAL/BLUES 2,500 MAJOR LABEL 2,500 INDIE LABEL $20,000 $10,000 ABORIGINAL 2,500 MAJOR/INDIE LABEL $7,500 SUCCESS FACT: THE CORB LUND BAND (ROUND #8) Performance fees and off stage merchandise sales have more than doubled for The Corb Lund Band since June 2003. Signed an international licensing agreement with Vital Entertainment Solutions for Australia and New Zealand. R A D I O S TA R M A K E R F U N D A N N U A L R E P O RT 2 0 0 3 - 2 0 0 4 .18 ANNUAL REPORT RADIO STARMAKER FUND ARTIST PROFILE: PILATE “Be the first to say you believe in Pilate or get left in the dust when this foursome explodes.” – CANADIAN MUSIC NETWORK Pilate has been working steadily and ascending relentlessly since signing to MapleMusic Recordings in 2003. Their debut release on Maple, “Caught by the Window”, (September 2003) has shipped over 32,000 units as of this writing, and has been on the SoundScan Top 200 chart for 26 weeks. The band has been touring steadily across Canada since the album’s release, beginning with a support slot on tour with the Dears, and graduating to headlining concert venues and 500-1000 seat clubs. The first single, “Into Your Hideout” is still on the rock radio charts nearly one year after its release peaked at number 3. The second single, “Melt into the Walls,” is currently charting at rock and hot AC radio with over 250 plays. The video for “Hideout” charted Top 3 at GRAPHIC DESIGN:COOLAIDE DESIGN, TORONTO MuchMusic and MuchMoreMusic, while the video for “Melt” also ran in heavy rotation, and went to the top of the MuchMoreMusic chart. “Hideout” won the MuchMusic Video award for best independent video, and the same video was nominated for a Juno. The support from the Radio Starmaker Fund has given us two things: comfort and acceleration.... comfort in the sense that we can strategize and execute an effective marketing plan for the full year, knowing that between our significant investment and the RSF’s support we have the financial resources we need, and acceleration, in that the initiatives we executed with the RSF’s help in the early part of the year gave us the boost we needed to get to our current sales level. KIM COOKE GENERAL MANAGER, MAPLEMUSIC RECORDINGS
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