Def Jam Exec L.A. Reid Rumored to Be Losing His Job
Def Jam CEO L.A. Reid has been criticized by the media for his recent signing of Belize-bound rapper Shyne, and now his job is said to be on the line. The rumor is supported by his failure to appear at a speaking engagement where he was likely to face questions regarding the safety of his position.
The Def Jam exec was scheduled to speak at Billboard Magazine's 2010 Music & Money Symposium at the St. Regis Hotel in New York City on March 4, an event which people paid up to $1,000 to attend, hoping to hear Reid discuss the future of his label. Mere hours before his engagement, however, Reid pulled out, claiming he had a sick child to take care of. Rumors immediately spread that Reid ducked out of his speaking appearance in order to avoid tough questions regarding his future at Def Jam, under scrutiny for having recorded underwhelming sales and made several questionable deals.
In February, Reid gave rapper Shyne a reported $5 million deal to re-sign with his label, going so far as to fly to Belize to finalize the contract for a rapper who was dropped from the label in 2004, and is unable to enter the United States for tour or press, due to his immigration status.
Sources close to Reid have been quoted as saying his position is completely stable, and that he's about to announce a new signing in the near future, rumored to be Jennifer Lopez, a move many deem to be extremely unwise.