Photolibrary back to business after Index Stock commission woes
Having wrestled with a PR nightmare over its handling of back commissions owed to photographers of Index Stock imagery, the agency it acquired late in 2006, photolibrary has gotten back to the business of licensing images. In a February 1st letter from CEO Glenn Parker to contributors with the heading “Update for Index Stock Artists,” the company addresses marketing plans for the coming year, which will entail eliminating the use of the Index Stock web-site and concentrating on efforts to strengthen the photolibrary brand. The letter also offers an explanation of where the accounting matter stands vis-à-vis pre-acquisition commissions owed.
The company says it will continue its review of the Index accounting records, which the company has said were in disarray when photolibrary took charge of them. “We have been paying pre-acquisition commissions to artists on a monthly basis since takeover one year ago and will continue to do so,” the letter says. Further, the company has appointed long-time Index employee and manager, Dan Russelman, to head a team dedicated to the pre-acquisition commissions clean-up. photolibrary hopes to complete this process by the end of 2008.
Last November, a newly hired employee of the company sent letters to contributors indicating photolibrary knew of more back commissions owed to Index photographers than it had revealed. That employee was let go immediately, but the company suffered a firestorm of public criticism from photographer advocacy groups for the alleged lack of transparency. Given the reported state of affairs at Index Stock before photolibrary rescued the company from almost certain bankruptcy, the artists should find relief from their anxiety knowing photolibrary it handling the difficult situation efficiently and is getting to the business of licensing their imagery.
Click here to read the entire letter from CEO Glenn Parker to contributors.
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