Posted on 08/07/2005 4:44:27 PM PDT by mcg2000
MEMPHIS, Tenn. — The pilgrims will still weep at Elvis Presley's grave, and the souvenir shops will still swarm with credit-card waving fans, an occasional black pompadour hardly drawing a glance.
But change is in the air: Strangers are in Graceland.
Lisa Marie Presley has sold the business side of her father's estate and turned over his famous, white-columned house to CKX Inc., an entertainment company that also owns the "American Idol" TV show.
Now, some of the fans who flock to Memphis each year to commemorate Presley's death on Aug. 16, 1977, are worried their annual homecoming won't be quite so homey.
"They call themselves a company now," said Jean Donovan, a fan from Derry, N.H.
Of course, Elvis Presley Enterprises already was a company. Forbes listed Presley as the world's top-earning dead entertainer last year.
Graceland managers say the Elvis business, which brings in $40 million a year, is poised to grow even more. CKX says it's looking into "Elvis-related attractions" in places like Las Vegas, Asia, the Middle East and Europe. No details have been announced.
"Elvis sells all over the world, and that's where the real opportunity for growth lies for us, to take more of Elvis and Graceland out to the world," said Jack Soden, chief executive of Elvis Presley Enterprises, now a subsidiary of New York-based CKX.
Soden oversaw Graceland's opening in 1982, and he's staying on the job. But the Elvis faithful are ever-watchful for hints of change at Graceland, where Presley is buried in a small garden.
"I know a lot of the older fans are in an uproar," said Kathie Bryson, a fan from St. Louis. "But then, anything that changes down there puts them in an uproar."
Elvis won't be the only American idol in the stables of CKX, a company founded by Robert F.X. Sillerman, an investor who specializes in media and entertainment.
A month after the Elvis deal, CKX acquired 19 Entertainment, the British company that produces the TV show "American Idol" and its British predecessor, "Pop Idol."
CKX says its strategy is to buy companies that control "established entertainment content" — which could include music, TV, films and video games — and then to enhance the value of those companies.
Sillerman was also a leading founder of SFX Entertainment, a group of sports promotion and live concert properties that sold to Clear Channel Communications for more than $4 billion five years ago.
Bishop Cheen, an entertainment analyst for Wachovia Securities, said Sillerman will likely focus on his control of the rights to Presley's name and leave the day-to-day operations of Graceland alone.
"He's not known for sacking and burning and pillaging," Cheen said. "He is known for adding value and taking profits."
The company went public earlier this year by buying an inactive public company, Sports Entertainment Enterprises Inc. Sillerman changed the name to CKX — for "Content is King," with a final "X" as a signature of his businesses — and simultaneously bought the Presley business in February for about $100 million in cash and stock.
Lisa Marie Presley got $50 million at the sale, stock in CKX and kept a 15 percent interest in Elvis Presley Enterprises, along with title to Graceland and her father's personal possessions.
Priscilla Presley, Lisa Marie's mother and Presley's ex-wife, received $6.5 million and a 10-year consulting contract with CKX at $560,000 a year. She is also on the company's board of directors.
Does this mean Elvis is really dead?
weird
Apologies for the confusion on the link, Jim. I tried to switch it over to Memphis' Commercial Appeal and got turned around the screen.
"Nah, he just went home."
Good for her! She gets to keep his stuff and doesn't have to maintain the property...
I don't think so Chuck. LOL
Lisa (also) retained a 51% stake in the after-death appearances gate.
Elvis is dead.
Sounds like an astute business deal for the women.
After all, the Elvis lovers will begin dying off over the next 10-20 years.
yeah, ok. anyone want to guess how much of that Scientology gets?
The King ping.
You would think ... drive by Graceland and you'll see more 20-30 year olds than 50-60 year olds. It's really rather odd, but they've (EPE) retained an excellent base to grow larger with over the next several years.
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.