Seagram Mulling Moves for Internet Assets

Seagram Co. may consider creating a tracking stock or conduct an initial public offering for its Internet assets, Chief Executive Edgar Bronfman Jr. said.

Speaking at the PaineWebber Media Conference in New York, Bronfman declined to say how long the company will wait before deciding whether to pursue one of those moves.

Seagram also expects to top the goal of $300 million in annual cost savings that the company had set for its Universal Music Group, the world’s largest music company, Bronfman said. Seagram earlier had forecast that it would meet that goal by June 2001. Bronfman said he expects the Universal Music Group to generate cash flow of more than $1 billion in fiscal 2000.

“Our operations are in very good shape, and we’re off to a very sound start this fiscal year,” Bronfman said.