Live Nation, Inc. Q2 2008 Earnings Call Transcript

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2008-09-15 10:59:14.0

Tags: Live Nation Inc.

Question-and-Answer Session

Operator

(Operator Instructions) Your first question comes from Mark Wienkes with Goldman Sachs.

Mark Wienkes Goldman Sachs

It's clear to see improvement in the metrics on the core business this quarter. What are the risks that you see of that not repeating in the third quarter? And then on ticketing, you note in the release the Pemberton festival was ticketed internally. What are the data points you have that give you confidence that your company is on plan to roll that out in January?

Michael Rapino

On Q3, given it's already August and July is in the books and all the tickets are sold and people coming, we believe that Q3 will finish as strong as Q2 in terms of per head concessions and ticket sales. So we're confident that we'll deliver our plan and maintain those numbers for Q3. Ticketing on plan is, I like to remind people, we already do inhouse ticketing. Through our relationship with Ticketmaster, we do get to sell 10% of our tickets through a registered fan club mechanism.

As I stated in my release, the good news is we have increased this year versus last year over 74% of the tickets that we are doing inhouse from last year. We've got full staffing in place in all of our venues and our box of offices. We know we do ticket already; we ticketed Bonnaroo, we ticketed Pemberton. We believe once we have this new software platform from CTS, the upgrades and the implementation, we'll provide all of the scale and resources we need to handle our full load next year. So we are fully on track on execution, cost and transition, and see no stumbling blocks right now.

Mark Wienkes Goldman Sachs

Is there any early look at the timing of the rollout for third-party ticketing?

Mark Rapino

Because of our scale, when you have figured out how to handle 20 million tickets of your own at Live Nation, adding a venue or two becomes the easy part. We would expect that when we're open for business for Live Nation, we'd also be open for business for some of the business partners that we're currently in business with, supplying them with 30 or 40 shows a year and having lots of those conversations already.

Mark Wienkes Goldman Sachs

Two quick followups for Kathy, is the 42% of your increase in concerts and the 14% bump in attendance pro forma for HOB and AMG, etc., or do you have a pro forma number?

 

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