According to Fox News, former Warner exec Jason Flom is due to take over the top job at the US division of EMI's Virgin Records. Flom was the founder of Lava Records and until recently also ran Warner Music Group's Atlantic Records. But he quit Warners earlier this summer, seemingly pissed off with the considerable downsizing being pursued by Bronfmann et al before and after the major label's share sale. Fox News' Roger Friedman has now said that Flom will be installed in the top job at Virgin in the next couple of weeks. He also asks what that might mean for the future of current senior Virgin US exec Matt Serletic, although industry website HitsDailyDouble says Flom and Serletic are good friends and are likely to make an effective working partnership at the top of the label.
In related news, Warner Music Group has had to spend in the region of $30 million on Flom's departure. Those costs relate primarily to Lava, the label formerly jointly owned by Flom and the major, but since bought out by and integrated with Warners since Flom's departure. The $30 million includes writing off some debts relating to the imprint, and the costs of integrating the label within the wider Warners infrastructure.