///Corporate

UNIVERSAL MUSIC GROUP EXPANDS GLOBAL DIGITAL INITIATIVES TEAM

New York, New York, June 11, 2007 – Universal Music Group (UMG), the world’s leading music company, has expanded its Global Digital Initiatives division with the appointments of Daniel Kruchkow and Ezra Doty to Senior Vice President of Global Digital Initiatives, respectively. The announcement was made today by David Ellner, Executive Vice President of Global Digital Initiatives, to whom they will both report.

Mr. Kruchkow and Mr. Doty will be responsible for overseeing the growth, monetization and further innovation of UMG's direct to consumer online platform. Currently, the network includes over 250 artist and label web sites attracting over 8 million global users each month, according to Comscore Media Metrix. Taking advantage of emerging business models, Mr. Kruchkow and Mr. Doty will leverage the company’s online assets and content to create and develop additional channels and revenue streams. The executives will also aid in evaluating new business ventures, acquisitions and other group initiatives, working closely with all the UMG labels and artists on a worldwide basis.

“The appointments of Daniel and Ezra are key as we continue to expand the digital playing field for our artists and brands,” stated Mr. Ellner. “With new ways to deliver and consume music presenting themselves almost daily, Daniel’s track record as a world class marketing executive and Ezra’s extensive experience in building and monetizing web properties, will help to further accelerate revenue growth and maximize our opportunities in the digital marketplace.”

“UMG has long been at the forefront of the digital space and the evolution of Global Digital Initiatives is no exception," added Mr. Kruchkow. "I’m thrilled to be working with David and the first-class team that he has assembled to continue the industry leading advancement of UMG, our labels and artists to the exciting new places our music is taking us."

“This is a tremendous opportunity, working with the world’s leading music company, the most respected executives in the industry, and a dynamic roster of talent,” commented Mr. Doty. “I’m excited to join my colleagues in expanding the digital marketplace for UMG and to harness our outstanding assets to grow our business online.”

Prior to joining UMG, Mr. Kruchkow served as Vice President, Digital Media & eCommerce for the Island Def Jam Music Group (IDJMG), where he oversaw all operations of the label group’s Digital Media Department, including online marketing, mobile sales & marketing, digital music retail, web production, consumer acquisition/direct marketing via internal web sites and databases, as well as exploitation of new digital revenue streams.

During his tenure at IDJMG, Mr. Kruchkow created and executed complete digital rollouts for many key album releases, working closely with artists such as Mariah Carey, The Killers, Jay-Z, Fall Out Boy, Rihanna, Elton John, Bon Jovi, Ludacris and Kanye West. Mr. Kruchkow joined IDJMG in 1999, beginning as an Executive A&R Assistant. He soon segued to the Online Marketing department and later, rose to become its Vice President. Mr. Kruchkow began his music career in 1997, as an Executive Assistant at Rocket Records/Island Records, having graduated from the State University of New York at Oneonta in 1996, with a Bachelor of Arts degree in Psychology and Mass Communications.

Most recently, Mr. Doty served as Vice President of Network Sales for Waterfront Media, the company that launched Everyday Health, which has quickly grown to become the third largest commercial web property in the online health space. Prior to that, he was Director of Network Operations for Revenue Science, a leading provider of online behavioral targeting. Mr. Doty has over 11 years of experience in the digital world, having held positions at CNN, Knight Ridder and iXL Enterprises.

About Universal Music Group

Universal Music Group is the world's largest music company with wholly owned record operations or licensees in 77 countries. Its businesses also include Universal Music Publishing Group, one of the industry's largest global music publishing operations.

Universal Music Group consists of record labels Decca Label Group, Deutsche Grammophon, Interscope Geffen A&M Records, Geffen Records, Island Def Jam Music Group, Lost Highway Records, Machete Music, MCA Nashville, Mercury Nashville, Mercury Records, Philips, Polydor Records, Universal Music Latino, Universal Motown Records Group, Universal Records South and Verve Music Group, as well as a multitude of record labels owned or distributed by its record company subsidiaries around the world. The Universal Music Group owns the most extensive catalog of music in the industry, which is marketed through two distinct divisions, Universal Music Enterprises (in the U.S.) and Universal Strategic Marketing (outside the U.S.). Universal Music Group also includes eLabs, a new media and technologies division, and Universal Music Mobile.

Universal Music Group is a unit of Vivendi, a global media and communications company.

Black Friday