Major Record Labels to Discard Long-Box Packaging for CDs

In a move likely to be applauded by environmental activists, major U.S. record labels announced Thursday that they will stop packaging compact discs in the 6x12-inch disposable cardboard “long” boxes by April, 1993. But the move also brought sharp criticism from record retailers who predicted a rise in CD prices to accommodate the new packaging.

By next year, CDs will be sold in the standard plastic 5 1/2-by-5 inch “jewel” boxes that are contained inside the “long” boxes. This would bring manufacturers here in line with a marketing practice favored by European and Japanese manufacturers since 1981, but resisted by U.S. record retailers due to anti-theft and shelf restructuring costs.

“The industry has taken a bold step toward ensuring a cleaner, healthier planet,” said Jason Berman, president of the Recording Industry Assn. of America, the Washington group that represents most U.S. record companies.

But record retailers across the nation--who have long opposed a jewel-box-only resolution--reacted negatively to Thursday’s announcement. For two years, retail groups have sought to silence the criticism of environmentalists by supporting alternative packaging proposals that would allow them to avoid revamping shelf displays designed for the long box.

Stan Goman, senior vice president of retail operations at the 73-store Sacramento-based Tower Records chain, predicted that the new resolution will cause the cost of already heftily priced CDs to increase.

“I think it’s a big mistake,” he said. “Who do you think is going to have to pay for all the renovations it will take to accommodate jewel box displays? The consumer, that’s who.”

Berman pledged Thursday to work with retailers to “explore ways to help off-set refixturing costs,” but did not elaborate on a specific plan.