Nashville-based independent music label Equity Music Group said Tuesday that it was suspending its operations immediately, blaming a challenging economic climate.
"Our investors tried to a find a way to keep the doors open at Equity, but with a struggling industry, an overall decline in discretionary spending by consumers and a total freeze on the capital markets" the board made this decision, said Tim Wipperman, the label's president.
Equity Music Group began in 2003, co-founded by country artist Clint Black and Mike Kraski, a former Sony/Nashville executive. The label was best known for once representing the country music group Little Big Town.
Kraski left the company last year. Little Big Town left, as well, signing a multi-album deal with Capitol Records in April.
Equity Music Group had roughly 15 employees and five artists signed to the label.
"It's a sad day at Equity today," Wipperman wrote in an e-mail to The Tennessean, saying he would not comment any further. Black was not available for comment.
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