LONDON — EMI Group has agreed to pay Mariah Carey $28 million to terminate her recording contract.
EMI put out a statement Wednesday to the London Stock Exchange, ending months of speculation about the future of Carey’s five-album deal with its Virgin Records America label.
Carey will also retain the $21 million she was paid last April when she first struck the contract, valued at $110 million.
Since then her first album “Glitter” flopped, and there have been wholesale management changes at both EMI and Virgin.
“Glitter” sold just two million copies worldwide, compared to 20 million for Carey’s 1993 disk “Music Box.”
“This is the right decision for me,” Carey said in a statement. “I look forward to the many new and exciting opportunities which have now been presented to me. I wish Virgin well.”
Alain Levy, the new chairman and CEO of EMI Recorded Music, commented, “We have decided that this is the most prudent course of action for EMI. We wish Mariah the best.”