Today’s News: Live Nation stock takes a hit on ticket sale challenges

20 Jul

At an investor and analysis meeting held on July 15, LiveNation reported a 12 percent decline in ticket sales for the first half of 2010, and forecast lower revenue figures for the rest of the year. TicketNews cites a report “available on Live Nation’s investor relations Web site” that predicts sales to fall another 15 percent in the second half. However, the report is no longer available on the site, with the link replaced by a message saying “To receive a copy of the written materials provided in connection with Live Nation Entertainment’s 2010 Investor and Analyst Day, please e-mail your request to traciphan@livenation.com.”

Guess they got scared after their stock price fell nearly $3, more than 25 percent of Thursday’s opening price, since then. Live Nation CEO Michael Rapino said the massive sell-off began even before his presentation ended, the AP reported. “We had a real buzz kill at about Slide 9 when I saw the e-mails go out,” he said.

The stock’s slide has stabilized for now (shares are trading around $8.90 today), but this spells trouble for the giant media conglomerate. With key artists such as Rihanna and the Eagles canceling shows, and U2 postponing its North American tour, the pressure is on for Live Nation.

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