EX-99.1 2 d799135dex991.htm EXHIBIT 99.1 Exhibit 99.1

Exhibit 99.1

MILLS MUSIC TRUST

C/O HSBC BANKS U.S.A.

452 FIFTH AVENUE

NEW YORK, NY 10018-2706

September 24, 2019

Quarterly Distribution Report No. 219

To the holders (the “Unit Holders”) of Trust Certificates representing interests (the “Trust Units”) in Mills Music Trust (the “Trust”):

Enclosed you will find a check representing your share of a distribution by the Trust to the Unit Holders of record at the close of business on September 23, 2019.

This Quarterly Distribution report relates to the payment received by the Trust from EMI Entertainment World Inc. (“EMI”) during the second quarter of 2019 (the “Q2 Distribution Period”), the contingent portion payment attributable to royalty income generated by the Trust’s copyright catalogue in the Q2 Distribution Period (the “Contingent Portion Payment”).

The Trust received $315,228 ($1.1351 per Trust Unit) for the Contingent Portion Payment attributable to the Q2 Distribution Period, as compared to $216,396 ($.7792 per Trust Unit) for the payment attributable to the second quarter of 2018.

After receiving the Q2 contingent portion payment, the Trust paid $43,549 to third parties in connection with invoices rendered to the Trust, leaving a balance of $271,679 ($.9783 per Trust Unit). Such balance is being distributed to the Unit Holders of record as of the close of business on September 23, 2019.

During the twelve month period ended September 30, 2019, the Trust’s aggregate distributions will amount to $1,802,494 ($6.4905 per Trust Unit), as compared to $743,919 ($2.6787 per Trust Unit) during the twelve month period ended September 30, 2018.

Additional computation details are set forth in the attached report.

The information contained in this Quarterly Distribution Report will be disclosed on a Form 8-K filed with the Securities and Exchange Commission (the “SEC”). The Trust’s SEC filings are available to the public over the internet on the SEC’s web site at http://www.sec.gov.

Very truly yours,

        MILLS MUSIC TRUST

The following is a computation of amounts available for distribution and/or the payment of administrative expenses of the Trust during the three months and twelve months ended September 30, 2019 and September 30, 2018 out of payments made to the Trust in connection with a deferred contingent purchase price obligation under the asset purchase agreement, dated December 5, 1964:

 

 

 

    

Three

Months
Ended

September 30,
2019

             Per
Unit*		  

 

  

Gross royalty income collected by EMI for the period

    $ 861,435        
  

 

 

        

Less: Related royalty expense

      269,774        

Amount deducted by EMI

      250,715        

Adjustment for copyright renewals, etc.

      25,718        
  

 

 

        
     546,207        
  

 

 

        

Balance as reported by EMI

    $ 315,228        
  

 

 

        

Payments received by Trust

    $ 315,228         $ 1.1351  

Royalty audit settlement with EMI

         
        

Less: Fees and expenses to Registrar-Transfer Agent and other

            administrative expenses

      43,549           .1568  
        
  

 

 

        

 

 

  

Balance available for distribution

    $ 271,679         $ .9783  
  

 

 

        

 

 

  

Distribution per Unit*

       $ .9783     
     

 

 

     

 

*

Based on the 277,712 Trust Units outstanding.

 

 

 

 

 

 

Three

Months

Ended

September 30,

2018

           Per
Unit*		    

Twelve

Months

Ended

September 30,

2019

          

Per

Unit

    

Twelve

Months

Ended

September 30,

2018

          

Per

Unit

  

 

 

  
$ 527,500           $ 3,406,169           $ 3,308,711        

 

 

          

 

 

          

 

 

        
  173,826             1,183,128             1,261,218        
  130,074             1,050,040             946,286        
  7,204             108,521             85,394        

 

 

          

 

 

          

 

 

        
  311,104             2,341,689             2,292,898        

 

 

          

 

 

          

 

 

        
$ 216,396           $ 1,064,480           $ 1,015,813        

 

 

          

 

 

          

 

 

        
$ 216,396       $ .7792     $ 1,064,480       $ 3.8330     $ 1,015,813       $ 3.6578  
          1,000,000         3.6009          

 

 

 

72,071

 

 

       .2595       261,986         .9434       271,894         .9791  
                     

 

 

      

 

 

    

 

 

      

 

 

    

 

 

      

 

 

  
$ 144,325       $ .5197     $ 1,802,494       $ 6.4905     $ 743,919       $ 2.6787  

 

 

      

 

 

    

 

 

      

 

 

    

 

 

      

 

 

  
  $ .5197           $ 6.4905           $ 2.6787