Music: PolyGram Chief Executive Alain Levy is...

Music: PolyGram Chief Executive Alain Levy is expected to disclose a restructuring of part of the company’s music operation as early as Wednesday. Sources confirmed a report in Hits magazine that the company will dismantle its PolyGram Label Group. PolyGram formed PLG as an umbrella company in 1990 to handle worldwide marketing for PolyGram’s London, Polydor, Smash and Island labels. At the time, PolyGram wanted to have a central company handling sales, marketing and promotion for record labels it was acquiring. But a strong performance by Island in particular--which boasts such artists as U2 and Melissa Etheridge--is prompting PolyGram to cut out that layer so the labels can handle the marketing functions themselves. A PolyGram spokeswoman declined to comment.