Muzak Files For Bankruptcy Protection

Muzak began delivering music to restaurants, hotels, stores, offices and, of course, elevators 73 years ago. But that could end now that Muzak Holdings LLC and 14 of its affiliates have filed for Chapter 11 bankruptcy protection in the U.S.

The Fort Mill, S.C. company is trying to refinance its debt, which it listed between $100 million and $500 million. Its filing listed assets of $50,000, but a company spokesperson told The Associated Press its assets were about $320 million, including the Muzak operating company that also filed for bankruptcy.

The company says it expects to continue operating and has "sufficient means" to support itself through bankruptcy reorganization.

Unsecured creditor U.S. Bank is owed $371 million, while smaller unsecured creditors include: Universal Music Enterprises ($349,321); EMI Capitol Records ($320,323) and the American Society Of Composers, Authors And Publishers ($213,020). AT&T, Dish Network, Sony Music, BMG Film And Television Music, United Parcel Service and Virgin Records are also unsecured creditors.

Muzak is best known for providing bland, "easy listening" versions of popular songs (which have generically come to be known as elevator music) to businesses. It's now more focused on creating music playlists for use in stores and businesses, creating on-hold and in-store messages, satellite television programming for businesses and installing professional sound systems. But you can still hear re-recorded instrumental versions of hits on Muzak's Environmental background music channel.

Ted Nugent made a $10 million bid for the company in 1989 with the intent of shutting it down because he said it represented everything uncool about music. His offer was turned down, but it generated publicity for both himself and Muzak.

Seventeen percent of people in a Mori poll regarded piped-in music as "the thing they most detest about modern life," according to British anti-Muzak website nomuzak.co.uk.

Here are the thoughts of Aaron Copland, the late "dean of American composers," on background music:

"I object to background music no matter how good it is. Composers want people to listen to their music, they don't want them doing something else while their music is on. I'd like to get the guy who sold all those big businessmen the idea of putting music in the elevators, for he was really clever. What on earth good does it do anybody to hear those four or eight bars while going up a few flights."