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Ryko Distribution Folded Into ADA

RykoL dist ogo_110 WMG has shuttered Ryko Distribution moving all labels to its ADA independent distribution division.  WMG aquired Ryko Distribution as part of a 2006 aquisiton of the Rykodisc label. 

All 25 Ryko staffers will be let go and may apply for new positions in a slightly expanded ADA, according to Billboard, who also reports that 10 staffers are being eliminated within WMG major label distributions arm. Ryko Distribution logged about $50 million in sales last year and the combined indie divisions should top $200 million.

Expect more consoluidation within the distribution sector as sales continue to decline. "The irony of the bad economics and piracy is that indies are getting crushed and majors are getting more powerful," on independent abel exec told Hypebot yesterday after learning of Ryko Distribution's demise. "The 'leveling of the playing field' is going away fast."