May 20, 2009

Music Reports Announces Launch of Industry's First Online Royalty Accounting for Digital Music Services

WOODLAND HILLS Music Reports Inc., the leading provider of music rights administration services in the United States, today announced that it has started accounting to more than 12,000 music publishing administrators representing over 50,000 individual music publishers, on behalf of its digital music service clients. This is the first accounting under the recent agreement on the mechanical licensing of interactive streams and conditional downloads, which was reached by NMPA, RIAA, and DiMA, before the Copyright Royalty Board.

Beginning this month, all U.S. music publishing administrators may log in to password-protected websites at www.musicreports.com to view accountings, download monthly usage reports, and update song ownership information.

Music Reports is unique in its ability to administer this compulsory license which is available to digital music services. The company has issued more than 5 million compulsory licenses to music publishers, in addition to negotiating thousands of voluntary licenses, on behalf of its clients. To manage the accounting and royalty settlement process, Music Reports will leverage the power of Songdex®, its independent database of music publishing copyright information. The company uses Songdex® to process over a billion digital transactions per month.

"Our compulsory licensing program has enabled digital music services to get to market quickly with the lowest possible transaction costs. With the launch of our new Web-enabled royalty accounting system, we are establishing a new level of transparency and efficiency in royalty accounting", said Douglas J. Brainin, President and CEO of Music Reports, Inc.

About Music Reports

Music Reports, Inc. (MRI), located in Woodland Hills, CA, is the leading provider of music rights administration services in the United States. With cutting-edge technology, proprietary systems and applications, and Songdex, the world´s only independent database of music publishing copyright information, Music Reports is the most innovative and accomplished rights organization in the music industry.

Music Reports offers a full spectrum of licensing services including copyright research, license fee negotiations, sales data consolidation, music use reporting, royalty accounting and royalty settlement. Music Reports´ clients include the world´s largest television and radio broadcasters, digital music services, background music services, record labels, mobile carriers, and consumer products companies.