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John Meglen (President/CEO Concert West division of AEG Live)
The Judge. thank you. And I did finish the Sasaki. I just need to make copies for you.
Mr. Putnam.: thank you very much.
Ms. Cahan. thank you very much. Appreciate It.
The Judge. And you want to talk about the Other rulings --
Mr. Boyle. Just one.
Ms. Cahan. Just one on Dr. Farshchian.
Because he basically -- the part of the designation of Dr. Farshchian is the defense showing --
trying to show Michael's drug-seeking behavior, his character. this Is -- so this is all within the
scope. Also, they go into the relationship between Dr. Farshchian and Mr. Jackson, because part
of the Claim from the defense, and -- you know, is that Mr. Jackson had relationships with a lot
of these Doctors. And so we think this is all part of the Relationship, and there's no reason to
exclude this Short testimony about Dr. Farshchian, you know, who had Meals and things with the
family, witnessing his Interactions between Michael and his children. And we Don't think it's
unduly -- that wasn't even raised, Unduly prejudicial, but we think based on relevance,
Foundation and scope, it's all fine.
Ms. Cahan. Our principle objection, your Honor, is to scope. this is testimony that has been
available to both parties the entire time. If plaintiffs thought it was important to their case-in-
chief, they could have designated it and played it during their portion of the Case. And as we're
going to have in the neighborhood Of 15 or so depositions that we're going to be Designating and
playing in defendants' case, it's not a Problem just for this deposition, but it will be a Problem for
others down the road if plaintiffs are Allowed to designate outside the scope. And the reason this
is outside the scope, your Honor, is because there is some testimony that was Provided as to
Michaels motivation for wanting to get Off of Demerol so he could be a good father to his
Children and actively participate in his family. But this series of questions, which comes at the
end of the Deposition, is not about that. this is about, "did you Observe Michael's interactions
with his children?" and I don't contest that plaintiffs could have designated that fresh in their own
case, but now that we're moving Into defendants' case, it's not an appropriate counter.
Mr. Boyle. Your honor, I would just say that the court, you know, has been very liberal in
Determining scope, both for live witnesses and for video Designations. the court was very liberal
in allowing the defendants to designate beyond the scope of what Plaintiffs designated on our
four videos.
The Judge. I'm trying to remember. I don't think I did.
Mr. Boyle. Well, I think the same arguments were made. the thinking was they could just
designate playing it in their case. We haven't rested, so we could designate and Play one page of
Farshchian in our case or play it in Rebuttal. It seems silly not to play it right now. they already
cut it with it in there. It's about 45 Seconds of testimony. It seems silly just not as a matter of
judicial Economy to not play it right now as opposed to us playing it separately.
Ms. Cahan. Your honor, it really concerns me to hear plaintiffs' counsel saying that because they
havent rested. Because we're still dealing with the Issue of Ms. Rwaramba and finishing Mr.
Ortega's testimony, they think that they have free range to raise Issues outside of the scope of
what we're doing in our Case. It's not a meaningful distinction to pass the Case to us if they're
allowed to continue to designate things outside the scope. And as I said, the deposition testimony
is going to be a significant portion of our case. We're trying to move efficiently, and, you know,
in the prior 13 weeks, if they wanted to use this testimony, they could have. As -- with respect to
their rebuttal case, I think that's a separate issue for a separate day. But We -- the law is quite
clear that what is appropriate for a rebuttal case are things that could not have been Known or
presented in plaintiffs' --
The Judge. No, not necessarily. Rebuttal is Just to rebut any arguments made by the defense. It
Doesn't --
Mr. Panish. Right.
The Judge. -- doesn't mean you have to present it in your case-in-chief; it's just to rebut what's
Presented in the defense case.
Mr. Panish. Exactly.
Ms. Cahan. Your honor, we stipulated that Michael loved his children, and we're not presenting
testimony to which this is responsive. We're not --
The Judge. that's the problem. So Im going to sustain the objection, but I don't know if that's
Going to prevent it from coming in in some other Fashion.
Ms. Cahan. thank you, your honor.
The Judge. Okay. Okay. Are the jurors here? And the witness is here; right?
Ms. Stebbins Bina. Yes. He's in the hallway.
Mr. Putnam.: yes.
The Judge. We can call him in.
Ms. Stebbins Bina. Okay. the courtroom assistant: your honor, we're Missing one juror.
The Judge. Oh, okay.
(the jury entered the courtroom at 10:14 a.m.)
The Judge. thank you. You may be seated. And we have Mr. Meglen on the witness stand for
Cross-examination. You understand you're still under oath?
The Witness. Yes, ma'am.
The Judge. Okay. Very good. Let's continue. John Meglen, Recalled as a witness by the
defendants, was previously sworn and testified as follows:
Q. What is the maximum capacity at the Rose Bowl, Sir, for a music concert?
A. You would need to tell me the production in Order for me to answer that question.
Q. I want you to assume the largest possible.
A. Are you talking about a singer standing in the Middle of the stadium singing?
Q. No. I'm talking about the U2 concert that you went to, sir.
A. Yes. the U2 concert, it was called the U2 "360 tour," so I would assume that means that tour
can sell 360 degrees.
Q. Sir, you told us yesterday that you were at the Concert, didn't you, sir?
A. Yeah. No, I told you I was down at the stadium during the day. I did not go to the concert.
Q. Oh. You saw the stage, how it was set up, Didn't you, sir?
A. Yes, I did.
Q. And, sir, you're aware that the U2 concert at the Rose Bowl that you were at the beginning
sold over 97,000 tickets, and that's how many people were there, Aren't you, sir?
A. No, Im not aware of that, because I did not settle that show; I wasn't involved in that show.
And, You know, it sold 360, so, yes, it would have a bigger Capacity than probably the rolling
stones show. How much bigger, I don't know.
Q. Well, sir, so you're not trying to tell us that you can't have 97,000 people at a concert at the
rose Bowl, are you, sir?
A. No, Im not trying to tell you that. What Im trying to tell you --
Q. You've answered --
A. -- is that it depends on the production, and Michael's production was an end-stage production.
Q. Sir, can you answer -- if you don't understand the questions -- Id like to finish this morning.
So Please, sir, tell me if you don't understand it, and Ill repeat it; okay?
A. I perfectly understood the question.
Q. Okay. Well, can you answer it, then? Can I Have it read back, and can you answer it?
A. Your question, I believe, was: can you do 97,000 people for a concert at the Rose Bowl?
Q. Sir
Mr. Panish. Your honor, can he please answer my question?
The Judge. He's answering your question.
Q. you're saying the Billboard Magazine is wrong, and you have no evidence to establish that;
correct?
A. I told you I do not believe the numbers in Billboard magazine.
Q. Okay. I'm going to show a picture, sir, of the Setup at the Rose Bowl.
Mr. Panish. Do we have copies of this?
Ms. Stebbins Bina. Your honor, Im going to object. Lacks foundation as to showing --
Mr. Panish. He was there.
The Judge. Well, before you show it, if you can lay the foundation for that photo, then you can
publish it to the jury.
Q. do you know that there was a Movie made of this concert, sir?
A. No, I did not.
Q. You didn't know that? But you're --
A. No. I don't work with U2.
Q. Live nation does, don't they, sir?
A. I don't know what their capacity on the floor is, so I don't know exactly. But it's somewhere
probably in the 90,000 range, yes.
Q. I'm just talking about the seats, sir. Forget the field. the seats. You, as a concert promoter,
know -- you told us what the attendance is for football. People don't stand on the field and watch
the game like that, do they, sir?
A. No, they do not.
Q. Okay. So what is the attendance like when they have the Super Bowl there?
A. I don't know what the paid attendance here is. I cannot tell from the picture.
Q. I'm asking you how many seats. Let's go back to your exhibit, sir.
Mr. Panish. Don't show that yet.
Q. do you know how many seats seat the Rose Bowl?
A. I told you that the Rose Bowl is a stadium of Around 100,000 people.
Q. Okay. So if all the seats are filled, how many People would be there?
A. For a football game, they announce 100,000 People.
Q. For any event, if they don't block off any Seats, and they're all full, how many people is that?
A. Be 100,000 people.
Q. And then there'd be additional people on the Floor; right?
A. If that was the -- you know, depending on what the fire marshal allows you to put on the floor,
yes.
Q. Now, you told us yesterday you talked to the Producers of the show, didn't you?
A. Yes. they are friends of mine.
Q. Okay. What is the name of the person that you talked to?
A. Gerry Barad.
Q. Gerry, last name spelled?
A. Barad. B-a-r-a-d.
Q. And he works for live nation?
A. Yes, he does.
Q. Still?
A. Yes, he does.
Q. In Beverly Hills?
A. No. Gerry's in Chicago.
Q. Oh, okay. And you talked to Gerry Barad -- is it Barad, Did you say?
A. Barad.
Q. Barad. And he told you that it wasn't a Sold-out show. that's your testimony under oath here
today; is that right, sir?
A. Uhm --
The Witness. Am I to answer things about Industry-type of --
The Judge. He's asking me a question.
The Witness. Can I ask the question to the Judge?
Mr. Panish. Sure. Let's have it on the Record.
The Witness. You know, we talked --
The Judge. Hold on. If you want to ask me a Question, you can ask me a question.
Mr. Panish. I just want it to be on the Record.
The Witness. With business, confidential Information, talked on the tour with other artists, Im
Worried about infringing confidentiality.
The Judge. Well, do you have a confidentiality Agreement?
The Witness. No, I do not, on this.
Q. answer the questions.
Q. I'm not talking about that. I'm talking about, You told us -- let's go back to your exhibit again.
You told us what the seating capacity, paid or Unpaid, you said plaintiff says 92; you say it's only
59,570, to try to make it look like plaintiffs didn't Put the accurate number, didn't you, sir?
Ms. Stebbins Bina. Objection. Misstates the testimony.
The Judge. Overruled.
The Witness. that is not what I said. What I said is for the rolling stones "voodoo Lounge," for
an end-stage setup, they're going to sell Somewhere in the range of 180 to 220 degrees; that
You're going to sell 60,000 tickets. And I will stand By that.
Q. all right. Let's make sure we Understand your testimony under oath yesterday. You never
told us -- it's your testimony here today, that you talked to someone that was promoting the Show
that told you that there were only 60,000 seats of People there? Is that your testimony today, sir?
A. Could you show me my testimony?
Q. No. I'm asking you. Is that your testimony or Not?
A. I'd like you to show me the testimony, and then I can answer the question, because, I mean, I
don't Believe that's what I testified to.
Q. So if you testified to that, that's a lie, isnt it, sir?
A. I don't believe that's what I testified to.
The Judge. He needs his recollection Refreshed.
Q. so you don't remember what you testified to yesterday about speaking with the person From
live nation; is that right?
A. I do not remember every word that I said Yesterday to you, and if we have a court record of
that, You could simply read it back to me, and I could tell You what I meant by that.
Q. Okay. Well, let's start with this.
Mr. Panish. Line 15 --
Ms. Stebbins Bina. What page?
Mr. Panish. this is yesterday, 11477.
Q. and let's first set it up here. Let's start with the first question that I Asked you, and Ill ask
you if you remember your answer. And if you don't, Ill refresh your recollection. the Question
is: "well, sir, isn't it true that the group U2 had a single-day concert At the Rose Bowl" --
The Judge. You need to put it down.
Mr. Panish. Don't put it up.
The Judge. Not yet.
Mr. Panish. Not yet. Well, I want to try to refresh first, like you asked, and then Ill do it.
Q. so the question is: "well, isn't it true, sir that the group U2 had a single-day Concert at the
Rose Bowl where 97,000 People attended?" Do you remember what your answer was, sir?
A. I said -- I probably said "I don't believe that."
Q. No, sir. Do you remember what your answer was?
A. My answer said that it is not true that they Had 97,000 people paid at the Rose Bowl.
Q. Sir --
Mr. Panish. Can I put it up now, your honor?
The Judge. All right. Yes.
Q. let's put it up, sir. You didnt say how many people were paid, did you, sir? Let's look at
what you said. You understand you're under oath, sir?
A. Mr. Panish, when I talk about ticket sales, we talk about paid tickets.
Q. Okay. Sir --
A. We don't really care about the unpaid tickets. they do nothing for us; okay?
Q. Sir, do you understand you're under oath?
A. Yes, I do.
Q. Do you know what "perjury" means?
A. Yes, I do.
Q. Okay. Well, let's look at what you said, sir: Question: "well, isn't true, sir, that the group U2
had a single-day Concert at the Rose Bowl where 97,000 People attended?" Answer: "that's not
true." Was anywhere in that question where it asks you How many paid people were there, sir?
"yes" or "no"?
Ms. Stebbins Bina. And I would ask that Mr. Panish not comment on the chart. the chart was
true. the witness westified many times the chart was based on the actual evidence of the concerts
he promoted. So I think he's arguing on the record.
Mr. Panish. they're the ones making the arguments. I'm responding that this witness put that
chart up to show a difference and allege or infer that what our numbers were, were not accurate.
that's the purpose he was called.
The Judge. I'm going to overrule the objection to the extent you're asking about his specific
testimony during the trial. So overruled.
The Witness. Is there a question?
Q. there sure was. Maybe you can answer it.
A. Going to have to ask to have it read back, Please.
Mr. Panish. Certainly.
Q. is this funny, Mr. Meglen?
The Witness. Pardon me?
The Judge. Mr. Panish, don't argue. Do you want the court reporter to read it back?
Mr. Panish. I asked if it could please be read back.
(the requested question was read back.)
The Witness. No.
Q. now, sir, let's talk about ticket sales. You told us yesterday under oath that there were other
concerts that sold just as fast and just as many tickets as Michael Jackson 02, didn't you, sir?
A. Yes, I did.
Q. And you've been working with Mr. Gongaware, you said, 35 years; right?
A. Mr. Gongaware and I worked together 35 years Ago; then we didn't work together for quite a
long time period; and then we worked together again later.
Q. So can you answer the question again, sir? Or please answer it. Have you worked with Mr.
Gongaware for 35 Years? "Yes" or "no"?
Ms. Stebbins Bina. Objection, your honor. Asked and Answered. Very clearly, it's not a "yes" or
"no" Answer.
The Judge. Okay. I'm going to sustain the Objection. He said intermittently.
Mr. Panish. Well, okay. Just give me a Moment.
Mr. Putnam.: your honor, while we have this Little break, if I could ask the witness to answer
from Where he is, as opposed to leaning forward. It's --
The Witness. Oh, is it too loud? I'm sorry.
Mr. Putnam.: just for the sake of us back here.
Q. you remember being asked a Question in your deposition of how long you've worked With
Mr. Gongaware, sir?
A. I do not recall.
Q. Okay. Well, he's said he's never seen anything like it in the history of his career, and you don't
agree with that, do you?
A. Paul and I have worked on different projects in our lives, and so we've both seen different
things.
Q. Sir, could you please try to answer my Question? It was real simple. Do you not agree with
Mr. Gongaware when he said it was the most amazing thing he's ever seen in his Career?
Ms. Stebbins Bina. I would object. Asked and answered.
Mr. Panish. He hasn't answered.
The Judge. Overruled.
The Witness. I believe I did answer your question. I told you that Paul and I -- Paul could
believe that, so the answer, do I think Paul believed that? Yes, Paul could believe that, but I could
believe differently.
Q. I didn't ask that, sir.
The Judge. It's "yes" or "no."
Q. do you agree or not agree with What Mr. Gongaware testified under oath here at this trial?
A. I don't think it's a "yes" or "no" answer.
Mr. Putnam.: I would object as vague, your Honor. "Do you agree with his statement," and his
statement is it's the biggest thing he had ever seen.
Mr. Panish. Are we going to allow speeches?
The Judge. It may be, but he either can agree with it or disagree with it. I mean, it may be a
statement, but he can either agree or disagree.
Mr. Panish. that's all I asked.
Ms. Stebbins Bina. I think the statement we had yesterday when he was trying to figure out if he
was asked for his personal opinion if Mr. Gongaware was telling the truth. I think if he's being
asked for his own opinion, he can answer it easily. that's the vagueness of the question that might
be causing the problem.
Q. do you think Mr. Gongaware was untruthful when he came to court here, sir?
A. No, I do not.
Q. Do you know that he didn't remember anything in his deposition -- strike that. Do you
remember he didn't remember a lot of things in his deposition and all of a sudden remembered
them in court?
Ms. Stebbins Bina. Objection. Argumentative.
The Judge. Sustained.
Ms. Stebbins Bina. And misstates the evidence.
Mr. Panish. Doesn't misstate the evidence.
Mr. Putnam.: move to strike.
Ms. Stebbins Bina. Your honor, it's inappropriate.
Q. De nada. All right, sir. Let's go to -- you told us a lot yesterday about your experience in the
industry. Remember all those questions?
A. I think so.
Q. You told us all about what happens. How many tours have you done, sir? You told us how
many?
A. I've done a lot of tours. I don't -- you know, I mean, 35 years of doing tours, so it's hard to say,
but probably hundreds.
Q. Okay. that's what you said when counsel asked you --
A. Well, I --
Q. -- right? You answered it for her: hundreds of tours.
A. Yeah. I mean, you're asking me over 35 years. Yes, I've probably worked on hundreds of
tours.
Q. Sir, you didn't have a problem answering that when Ms. Bina asked that question, did you?
Ms. Stebbins Bina. Objection. Argumentative, and he Answered it again three times now.
The Judge. Sustained. Argumentative.
Q. sir, in all of the hundreds of tours, you came in here yesterday and told us all about what
happens on tours regarding doctors; right?
A. Yes.
A. No. I remember talking about whether a sponsorship could be derived by taking a percentage
of the gross revenue, which Id never heard of before.
Q. But you talked about it. that's the point.
A. Well, I said that that -- I had never heard before.
Q. So that means you were dwelling on your experience to tell us that never happens; right?
A. I don't recall specifically which testimony that you're referring to, so if there's a specific one,
You could read it to me, and Ill be happy to explain again what I meant.
Q. So you don't remember what you testified about yesterday afternoon about that?
A. You know, this isn't a common setting for me, so I don't really, you know, remember
everything you're saying every day here.
Q. I didn't say that; Ms. Bina did my question Is: you don't remember; is that right?
A. No. I remember a lot of things.
Q. You don't remember -- sir, you also told us about what's common for tour directors and artists
at Rehearsals, and complaints of tour directors. You told us all about that, right, based on your
experience? Not uncommon that they complain; gave us examples of that; when they should
rehearse. All that. You told us all about that yesterday, didn't you, sir?
A. You would need to, you know, show me the testimony again, and then I would be happy to go
through that again with you.
Q. Okay. So you don't remember yesterday coming to this courtroom and telling us about what's
common and Uncommon regarding directors in rehearsals; is that Right, sir?
Ms. Stebbins Bina. I would just object. Vague, your Honor. there's a fair bit of testimony.
Directors and Rehearsals are kind of --
Mr. Panish. He talked directly about that.
The Judge. His experience, particularly.
Ms. Stebbins Bina. Yeah. I don't recall -- Im not sure what Mr. Panish is talking about.
Mr. Panish. Your honor, he directly testified, I objected, and you allowed him. He gave
examples of Celine Dion, and directors are never happy. But he wont admit to that.
The Judge. I think he said -- show him -- the testimony is, I think, is what he said, but --
Mr. Panish. Okay. Then let's clarify that.
Q. so you can't remember what you testified to about your experience in the industry with
Rehearsals and artists and directors yesterday; is that Right?
A. Yes, I do remember what I, you know, went through yesterday. There was no question. I -- but
you would have to lay out for me specifically what you are Discussing, and I would be happy to
tell you what I Meant by that.
Q. I wasn't discussing it, sir; Ms. Bina was Questioning you about your experience with directors
and Artists and rehearsals, and whether directors were happy With artists showing up. Do you
remember that, sir?
A. I remember that part of our conversation, yes.
Q. And then you talked about contracts, and what Contracts require of artists regarding
rehearsals, and All your experience in that, didn't you, sir?
Ms. Stebbins Bina. Objection. Vague and misstates the testimony. I think he didn't talk at all
about Contracts, your honor. He was asked if contracts Require rehearsals. I think that's --
Mr. Panish. He talked about all the contracts He reviewed, and all this. And I objected, and the
Court allowed him to say that.
Ms. Stebbins Bina. It's vague.
The Judge. Sustained. It is a little vague.
Mr. Panish. Okay. Well, let's read it, then; Okay?
Q. Okay. Number one, you said It's not the artist's obligation to go to rehearsal; Right?
A. You would need to read for me exactly what I Said, because the artist does go to rehearsals,
but it Is not the sole purpose of the rehearsal.
Q. Okay. In all your experience that you've had, Hundreds of tours, is it the artist's obligation to
go to rehearsal? "Yes" or "no"?
A. I have never done a contract, in my experience, Where the artist has been obligated to go to
rehearsal.
Q. So the answer to the question is, in all the Experience you have, the artist is not obligated to
go to rehearsal; correct?
Ms. Stebbins Bina. Just vague as to "obligate." is it Obligated by contract? Is that the question?
Mr. Panish. Obligated.
Ms. Stebbins Bina. Or obligated --
The Witness. I -- my contract states that I Acknowledge the structure of AEG. Live, but my
Personal report is to the C.E.O Of AEG.
Q. and he has to approve things that you do, like concerts; right?
A. there is a specific approval process for our tours that we, I believe, went through earlier.
Q. So when -- 2009, when the This Is It project Was on, you had to report to Tim Leiweke, he
was your Direct report, the C.E.O Of AEG., inc.; correct?
A. Yes. that was my direct report.
Q. And Mr. Tim Leiweke, the C.E.O Of AEG. Live, Had -- of AEG., Inc., had to authorize the
This Is It tour for it to go forward; correct?
A. No, that is not correct.
Q. So Mr. Leiweke never authorized the This Is It tour; is that right?
A. Mr. Leiweke was not required to give approval On tour offers.
Q. But Beckerman was, and he's from AEG.; right?
A. We went through this earlier. the four people that approve tour offers are: myself, Randy
Phillips, Tom Miserendo and Dan Beckerman.
Q. I didn't ask you that, sir; Ms. Bina asked you that. Beckerman was CFO. Of AEG., Inc., when
the This Is It tour was started; correct?
A. Correct.
Ms. Stebbins Bina. If you want to put it up on our Screen, that's fine, too.
Mr. Panish. Sure. Of course. 6476, 21 to 24. Got it? Let's put that up.
Q. this is what Mr. Phillips said, Sir, when I questioned him here in that same seat here.
Ms. Stebbins Bina. And, your honor, just for the Record, Ill make an objection on completion
grounds, Since Mr. Phillips testified elsewhere in his 10 days of testimony on this issue --
Mr. Panish. 10 days?
Ms. Stebbins Bina. He's asking the witness to opine on the veracity of Mr. Phillips's testimony,
which is Inappropriate anyway. He should be showing the entire testimony on the subject.
Mr. Panish. Is there a grounds for --
The Judge. I don't know where the rest of the Grounds would be. I mean, I suppose if you could
show It --
Mr. Panish. Is there a grounds for the Objection?
Ms. Stebbins Bina. Yeah, the grounds --
The Judge. I'm talking, Mr. Panish.
Ms. Stebbins Bina. the grounds for the objection is Completeness. It appears from Mr. Panish,
where he is going Is, he's going to ask him whether he agrees or disagrees With the testimony. He
should show the entire testimony On the subject, because otherwise the witness is not Going to
know whether or not he should agree or disagree With Mr. Phillips's testimony.
The Judge. Well --
A. I can only read the statement, and I can't tell You in the context of what was going on. You're
asking Me to, you know, to answer on what Randy was thinking, And Im not Randy.
Q. I'm going to ask you again.
Mr. Panish. Could you please, your honor --
The Judge. Mr. Meglen, "yes" or "no." agree Or disagree.
The Witness. I don't know if I can answer that With a "yes" or "no." I -- if I was to look at this
strictly in this Context, I don't know if I agree with him that Michael Had a contractual
obligation.
Q. sir, you never read the Contract, so you don't know?
A. that's correct.
Q. Okay. So put the contract aside. Did he have an obligation to come to rehearsal Or not?
A. I read this to feel that Randy felt Michael had An obligation, not that necessarily that would
be Contractual or not. But I think Randy felt he was Obligated to go to some rehearsals.
Q. Do you agree with that statement?
A. I agree that an artist should go to some of the Rehearsals, yes.
Q. Do you agree that the artist has an obligation to attend rehearsals?
A. I believe that there is a business obligation By the artist for his -- so that his show is good, that
He does go to some of the rehearsals.
Mr. Panish. Okay. Let's play that. (a video clip was played with the Following testimony being
said:) "I asked you earlier whether Or not you recall a time in which you And other AEG. Live
executives Started negotiating a concert deal With Michael Jackson; correct? "correct. "and you
said, 'yes'? "yes. "all right. When do you Recall that those negotiations with Mr. Jackson started?
"for the 'this is it' tour, I think it was summer or fall of 2008, Approximately."
Q. does that refresh your Recollection, sir?
A. that refreshes my recollection of my Deposition, yes.
Q. Is that the truth?
A. I -- again, I told you, Im not great with Dates, and I think it shows in the way I was in my
Deposition. Yes, summer or fall of 2008, yes, sounds About right.
Q. Is that the truth or not, sir? Or do you not Know the truth?
A. No. I know the truth. I remember -- I Remember things, but in terms of years, you got to tell
Me, you know -- I got to go back and look at my Calendars to remember exactly where I was and
what I was Doing at different times.
Q. Sir, you testified to that under oath in your Deposition. You read the deposition, signed it
under Penalty of perjury, and you didn't change that; correct?
A. And Im not disputing it now.
Q. that's all Im asking you.
A. Okay. Yes.
Q. thank you.
A. Okay.
Q. Next question: you weren't involved in the Negotiations, were you, sir?
A. I was not at the table during the negotiations. I would do what we standardly would do,
reviewing things At the office.
Q. Okay. Sir, let's ask it again. Do you know what it means to be "involved" in Something?
A. Yes, I do.
Q. Okay. Were you personally involved in the Negotiations for the This Is It tour? "yes" or
"no"?
A. I was not personally involved in the negotiations between Michael Jackson's representatives
and the representatives at AEG.
Q. Is that a "yes"?
A. that is, I was not involved in face-to-face or In the actual negotiations between those parties.
that Does not mean that I was not aware of what those Negotiations were.
Q. Sir, my question was real simple: Were you personally involved, "yes" or "no," in the
negotiations? that's all Im asking.
Ms. Stebbins Bina. I'm going to object. Asked and Answered, your honor. I think the witness
has answered the questions the best --
The Judge. I think he did. He said he wasn't.
Mr. Panish. He said --
Q. will you admit that, what the Judge just said, that you weren't personally involved?
A. Yes. I said I was not personally involved in the face-to-face actual negotiations between his
camp And ours.
Q. Were you involved -- were you personally Involved in the negotiations at all?
Ms. Stebbins Bina. Same objection, your honor.
The Judge. Well, whether face-to-face or some other way?
Mr. Panish. Right.
The Judge. Okay. Overruled. Some other way.
The Witness. The only thing that happens when youre negotiating a contract is not the face-to-
face. There are many conversations that we have back discussing that internally. Those are the
conversations that I am referring to.
Q. so you were personally involved?
A. I was -- I -- as C.E.Os of concerts west, it is My job to review any negotiations that
individuals may Be having on specific tours.
Q. Is that a "yes"? Just asking, were you personally involved? "yes" or "no"? that's all.
A. I was personally -- I don't know -- your Question was, was I personally involved in the
Negotiations? And that can mean different things. So you would need to define what that meant.
Q. So you don't know what "negotiations" means?
A. Yes, I do, but I think that they mean more than what you're inferring they mean.
Q. I haven't inferred anything, sir. I just asked you, very simply: were you personally involved in
the Negotiations or not?
The Judge. Well, the question was outside of Face-to-face.
Mr. Panish. Right. Right.
The Judge. So --
Mr. Panish. We already know that. He's Already told us not face-to-face.
Ms. Stebbins Bina. Your honor --
Mr. Panish. And I put -- can I please finish, Ms. Bina, with the question?
The Judge. Before you answer --
Mr. Panish. Let her object. But let me ask the question.
Q. Were you personally involved at all in the negotiations, other than face-to-face negotiations,
with Michael Jackson's people on the This Is It tour contract?
The Judge. Before you answer --
Ms. Stebbins Bina. And I will object, asked and Answered, your honor. He testified very clearly
he was not involved In the negotiations with the Jackson's camp but was kept Updated in his
office and had internal conversations related to the negotiations. So he's not --
Q. Okay. Now, sir, let's talk about the financial Arrangements and forecasts of the financial
projects of "this is it." You know what that means?
A. Yes, I do.
Q. You weren't involved in putting together the Forecasts and the projections for the tour, were
you?
A. I would review forecasts and give my opinions In terms of the promoter's side. And I would
occasionally look at the producer budget, but not in Detail.
Q. Sir, do you recall whether or not you personally provided any input for any forecasts that
Were being done by AEG. Live for the Michael Jackson Show?
A. I am sure I had input into things, like ticket prices, scalings, where to play, et cetera, the
things I testified to yesterday.
Q. So you're sure about that?
A. So I am -- yes. I would have been involved in conversations with Paul or in conversations
with Randy on what we thought ticket pricing should be, shouldn't Be, et cetera.
Q. Okay. Well, let's see what you said in your Deposition.
Mr. Panish. Page 24, lines 1 to 9. Let's see What you remembered at your deposition.
The Witness. Okay.
Ms. Stebbins Bina. And Ill just object to the extent this is being offered for impeachment
purposes. this testimony addresses production forecasts, not promotion Forecasts. But if he's
playing it under the party rule, I have no objection.
A. Bugz has been an independent contractor for us. He originally acted as bon jovi's production
manager.
Q. Sir, my question is: is bugz houghdahl a Long-time independent contractor for AEG. Live?
Ms. Stebbins Bina. I would have to object. Asked and Answered, your honor.
The Judge. Sustained. Asked and answered.
Q. and, sir, have you spoke to Mr. Houghdahl lately?
A. No. I haven't seen bugz in a while.
Q. Was he working on the rolling stones tour?
A. No. Bugz is working on the shania twain show In las Vegas.
Q. Who is doing that show?
A. We are.
Q. So he's working for AEG. In las Vegas?
A. Actually, he's working for shania.
Q. Sir, you never met with Michael Jackson Regarding any financial aspects of the tour; correct?
A. I did not, no.
Q. And you do not recall any of the budgets in 2009 for the tour; correct?
A. I do not recall the production budgets. the Promotion stuff would have been more of what I
would Have been familiar with.
Q. Okay. My question was, sir: do you recall any Of the budgets for the 2009 This Is It show?
A. I think I answered that question.
Q. So the question is: you do?
A. I think I answered that I was aware of the Promotion budgets but would not have been as
aware of the producer budgets.
Q. Okay. So let's talk about exhibit 31 that your Counsel showed you. Remember that exhibit?
that one e-mail you talked about?
A. the only e-mail; correct?
Q. Yes.
A. Yes, sir.
Q. Okay. By the way, did you say that you were aware of the meetings that Paul Gongaware and
Randy Phillips had With Michael Jackson to discuss -- and Michael Jackson's People to discuss
the This Is It tour?
A. Can you repeat that? I'm not sure I understand the question.
Mr. Panish. Okay. Well, Id ask if it could Be read back.
Q. and if it's not clear, you let Me know, and Ill repeat it for you.
Mr. Panish. You know what, Ill just re-ask it. Easier.
Q. are you aware of any meetings that Randy Phillips and Paul Gongaware attended with
Michael Jackson where he discussed the financial aspects Of the show?
A. I do not recall that.
Q. So when you said they came back and talked to You about the meetings, you don't recall what
was Discussed?
Ms. Stebbins Bina. Objection. Vague as to "meetings." We were talking earlier about meetings
relating to the Contract, and now we're talking about contracts relating to financial aspects of the
show. I'm confused as to which meetings Mr. Panish is referring to.
The Judge. Well, is the witness confused? Is the witness? Are you confused?
The Witness. I'm confused by the question.
The Judge. Okay. then rephrase it.
Q. let's see something that's not Confusing. Let's look at page 31-1. We talked a little Bit about
this yesterday. Remember -- just to refresh, look at the Bottom. I'm not going to get back into it,
but we talked about Mr. Anschutz, and being actively involved with calling him. Remember
those questions?
A. Yes, I do.
Q. And you're on this e-mail, as is Phillip Anschutz; right?
A. Yes, I am.
Q. You're actually before him.
A. We don't worry about those types of things.
Q. I'm not worried about it, either. I'm just making a -- okay. So let's go now to the next page.
And the next Page, if I recall correctly, deals with the worldwide tour; right?
A. Correct.
Q. Okay. And this is drafted by Mr. Gongaware; right?
A. Yes.
Q. Okay. And let's look and see what Mr. Gongaware's plan was as of this time. He said: "we
play out the 02. Who Knows. 30 shows maybe." that became 50; right?
A. Correct.
Q. "and then go play out berlin And other Europe centers. As many as We can get. take a break.
Ship the Gear by sea freight (cheapest way) And then play out the next Continent." I did that
right so far?
A. Right.
Q. "we'll be in all arenas in America, Europe, Australia stadiums In some places where it makes
sense. We finish in America." Correct?
A. Correct.
A. Yes.
Q. But he wasn't in a guarantee situation, was he?
A. No, he was not.
Q. Okay. Well, Mr. Gongaware is saying here, if I Understand it correctly -- correct me if Im
wrong -- in this e-mail, that rather than tell him what the net was, 132 million, we better tell him
the gross because it Will sound better; right?
Ms. Stebbins Bina. And Ill object. Calls for Speculation as to what Mr. Gongaware was
thinking.
Mr. Panish. He's on the e-mail.
The Judge. Well, sustained.
Ms. Stebbins Bina. Your honor --
Q. well, sir, does it say --
The Judge. Wait a minute. Is he copied on this e-mail?
Mr. Panish. Yes.
Ms. Stebbins Bina. He's copied on it but has no way of knowing what was in Mr. Gongaware's
mind.
The Judge. Overruled. He's on the e-mail. He Must have some understanding of this.
Q. okay. It says net 132; right? Million?
Q. And you'd spoken to Mr. Gongaware about past tours with Michael Jackson, hadn't you?
A. Yes, I have.
Q. And you knew that Mr. Gongaware was on the tour With Dr. Finkelstein; correct?
A. Yes, I did.
Q. And you knew that tour was canceled because Michael Jackson entered into rehabilitation;
correct?
A. Yes, I do know that.
Q. And Mr. Gongaware and you actually discussed that, didn't you?
A. I don't recall specifically discussing that, No.
Q. You're telling us you've never discussed that With Mr. Gongaware; is that correct?
A. No, Im not saying that I did not ever discuss It with him. I'm saying I don't recall discussing
it With him.
Q. Okay. So you could have discussed it, you just dont remember as you sit here today?
A. Yes.
Q. Okay. Let's go back to 31. And what this was, remember, was the worldwide Projections done
by Mr. Gongaware; correct?
A. Correct.
Q. And you would agree that he's qualified and Competent to project a worldwide tour; right?
A. Yes, he is.
Q. Okay. Let's go to page 4. Do you know Mr. Tom Barrack, by the way?
A. I met Mr. Barrack once in a meeting.
Q. What was that related to?
A. that was related to the colony capital wanting to develop a -- not an exhibit, a -- whatever you
call It. Move the pieces of Neverland down to the Hilton in Las Vegas.
Q. And they owned the Hilton?
A. they at that time did. I think they have since sold it. I am not sure.
Q. Okay. And this is page 4 of the exhibit, the E-mail that you received. You can look at it, if you
Want (indicating). Okay. And this is the timeline, the shows that Mr. Gongaware had projected;
right?
Ms. Stebbins Bina. And Ill just object, lacks Foundation as to who actually created and
projected these numbers. I think Mr. Panish said they were attached to an e-mail by Mr.
Gongaware, but I don't know if he knows Who created them.
Mr. Panish. Your honor, could I get grounds for an objection instead of a speech to try to cue the
Witness as to what the answer should be?
The Judge. Sustained. the e-mail or the Worldwide tour projections attached to an e-mail.
Q. How many?
A. In the billion -- I think it's over a billion In India, isn't it?
Q. A billion. there's multiple billions in the City of Mumbai itself, isn't there, sir?
Mr. Putnam.: objection, your honor. Lacks Foundation. Move to strike.
The Judge. Sustained.
Mr. Panish. Well, we can take judicial notice Of the population of Mumbai.
The Judge. Multiple billions.
Mr. Panish. Yeah. there's more than a billion People in Mumbai alone.
The Judge. Multiple billion?
Ms. Stebbins Bina. I'm not sure, your honor.
Mr. Putnam.: also lacks foundation.
The Judge. Sustained.
Q. there are billions of people in India. How is that?
Ms. Stebbins Bina. Objection, your honor. Lacks Foundation, the exact population of india, and
Irrelevant.
Q. Oh, really?
A. And one private.
Q. Okay. Three?
A. Three shows and one private.
Q. So four shows. What did I say? Five? Okay. And at that time they were predicting 30 for the
02; right?
A. Yes.
Q. And then that went up to 50; right?
A. Yes.
Q. And you know they could have sold tickets for 200; right?
A. No, I do not think that.
Q. You don't think that's true?
A. No. I don't personally believe he could have Sold 200.
Q. Did you know that Randy Phillips said that?
Ms. Stebbins Bina. Object. Lacks foundation.
The Judge. Overruled.
A. Yes, I do.
Q. So if Mr. Phillips testified to that under Oath, then he would have told a lie; right?
A. No, because no one has a crystal ball in our Business. And everyone wants to -- we could
have done 200 shows is totally speculation on Randy's behalf.
Q. Okay. So if he testified to that, that's False?
A. He believed that; I don't believe that.
Q. And he was the one on the front lines, not you; Right?
A. We have different experiences. Mine -- yes, he was on the front lines.
Q. Okay. How many tickets could each person buy?
A. How many could each person buy?
Q. Yeah.
A. I don't know what our ticket minimum was on that.
Q. You don't know what the minimum amount of tickets could be bought?
A. They're different for every single tour.
Q. I want to know about this tour --
A. I don't know.
A. I don't know if the 525k in the cue, when we stopped selling, what the basis of his, you know,
data Is for that.
Q. He said it was a computer.
A. Well --
Ms. Stebbins Bina. Objection to the extent Mr. Panish Is -- that's actually not what he said, what
the testimony was.
Mr. Panish. He said it.
The Judge. Sustained. Unless you can show him.
Ms. Stebbins Bina. I have the testimony right here, actually.
Mr. Panish. Whatever. 525.
Q. how many tickets would they have to buy -- there's 50 shows sold out; right? Is that right?
A. Correct.
Q. Okay. So how many would 525 have to buy for 150 more shows to be done?
A. Is that simply a math question?
Q. Well, you told us it couldn't be done, so let's see.
A. I'm telling you that I don't know if I agree with there were 525 in the cue.
Mr. Panish. This witness testified that there's no way that this number of tickets, the shows
could be sold.
Ms. Stebbins Bina. that's not true, your honor. He said it was -- in his opinion -- I apologize.
The Judge. Go on.
Mr. Panish. Interrupting your honor. Go ahead, your honor.
Ms. Stebbins Bina. I did not mean to interrupt the Court. I apologize.
The Judge. I forgot my thought.
Ms. Stebbins Bina. I was just saying, your honor --
Mr. Boyle. I'll jump in. Your honor, I mean, this guy -- they're having him carry their water as an
expert witness. I know the Court has ruled on it. Thats fine. But we should be able -- when he
makes these statements about certain shows can't sell out, and we start showing him the
underpinning evidence that his own company said they can, and now they're preventing us from
doing that, it's really unfair to us that this guy can just come in here and opines about the
projections --
The Judge. First of all --
Mr. Boyle. -- and then not --
The Judge. -- he's saying I've been involved In these things. the "Voodoo Lounge," how much
the capacity was. He didn't say this is the capacity for all --
Mr. Panish. Yes, he did.
The Judge. I have multiple times. And you know what? Mr. Panish, what you have to
understand is, if a witness does not listen to the court, that is not lost upon a jury, and you have to
leave it at that. They get it.
Mr. Panish. All right.
The Judge. they will get it.
Mr. Panish. But --
The Judge. And you're free to comment on that, if that's in fact what's happening. If that's what's
happening. But I can only tell him to answer the questions "yes" or "no," agree or disagree. If he
doesn't want to do that, then the jury will see.
Mr. Panish. Okay. All right.
The Judge. And make of it what you will, or you can argue to them what they should make of it.
Mr. Panish. When he makes a statement --
The Judge. But to argue with me or to argue with the jury, to argue with counsel, or to make
negative comments, it's not going to advance the ball.
Mr. Panish. All I was trying -- okay. I understand that. All Im trying to do is get him to -- like
when he says -- he gives a statement, I have to cross-examine on the underpinning. He just
throws out things. Oh, "this guy wrote it." he doesn't know that. He just says it, your honor.
Theres no basis. So I can question him on his basis. He just says things -- Okay. Thats fine. I
won't make any comments to him. I'll look to the court to help me. And then if he doesn't want to
Answer, I understand what you said.
The Judge. then you have to leave it.
Ms. Stebbins Bina. He's going to say, "Assume this came from a computer."
Mr. Panish. No, Im not.
Mr. Boyle. Wait. Mr. Gongaware also testified about the cue, and we asked him what the cue
was, and it was people online trying to buy tickets. Thats where the "computer" comment came
from. That was Mr. Gongaware's testimony.
The Judge. that's not what you said. He asked If Mr. Phillips meant that and got that number
from an e-mail, which is not accurate.
Mr. Panish. Well, it actually did come from a Computer.
Mr. Boyle. Randy Phillips said, "someone told Me that."
Mr. Panish. Gongaware.
Mr. Boyle. The inference being Gongaware told Him that; Gongaware got it from his computer.
Mr. Panish. that is a legitimate inference from the evidence.
The Judge. And this witness is supposed to know that? I mean, come on. It's fair to ask him, "is
Randy Phillips in a Better position to know the numbers than you?" I think that's a fair question.
Mr. Panish. I think so, too.
The Judge. Then, "given that, do you agree or disagree with his statement?" I think that's a fair
question.
Mr. Panish. And then Im going to ask him, "how many tickets -- assuming this is accurate, how
many does it take to sell out the additional shows?" that's Easy.
Q. Okay. Before we go back to that last exhibit, I was informed that I was mixing up my
millions and my billions, which is not unusual. Is it your understanding there's 1.2 something
billion people in India?
A. Yes, I understand that.
Q. Okay. And 18 million in number by -- not multiple billions, as I said, right?
A. Yes, I didn't -- I understand youre mistaken. I understand. Doesn't mean you're a liar.
Q. I won't respond to your --
A. Thank you.
Q. But despite it being 1.2 billion, you still think that's a small market in India, don't you, sir?
A. No, I do not think it's a small market. I think it's an undeveloped concert market.
Q. Did you testify yesterday, under oath, that India is a small market?
A. I do not recall my specific testimony. What I believe about India is that it is a market that
is not frequently gone to by concert tours, nor are there a -- if somebody goes there, it's usually
for a show or two and that is it.
Q. Okay. Sir, first of all, if somebody testifies one way and it's not true, what would that be?
Ms. Bina: objection; vague.
The court: sustained.
Mr. Panish: okay. Well, sirs, first of all, lets look and see here -- and I was mistaken when
I said "no one" goes to India. You said "nobody" goes to India.
Q. Do you remember that, sir?
A. Yes, I do.
Q. And nobody, to you, means only some people, right?
A. In that reference, yes.
Q. That was your under-oath testimony, you didnt say some people, you said nobody, right?
A. Yes, that is correct.
Ms. Bina: Im going to object that it misstates the record. The next sentence was "a few
shows have gone there," so it's misleading.
The court: okay.
Mr. Panish: could I just ask one more time for counsel to just state the grounds for the
objection instead of keep making speeches, your honor?
The court: just ask your next question.
Mr. Panish: okay. Where were we? India.
The court: the objection was misstates the record, wasn't it?
Ms. Bina: yes, your honor.
Q. Sir, did I misstate your testimony when you said nobody goes to India?
A. I -- I would probably need to see that again now, if you don't mind, because --
Q. All right.
A. -- I -- I may --
Q. You've answered.
A. -- have said no one goes to India other than a few people have gone.
Mr. Panish: sir, at page 11422, let's put it up and show it to you, lines 4 to 8. You said
"nobody." Okay? Let's see if this refreshes your recollection. This is when Ms. Bina was
questioning you. Let's just put up what she asked you.
Ms. Bina: and I would ask that it be extended down to line 18.
Mr. Panish: let's look at what you asked him, Ms. Bina.
The court: let me see what goes down to line 18.
The witness: I think that --
The court: wait, wait. Read to 18.
Mr. Panish: okay. That's fine. Let's go to the top.
Ms. Bina: so the first question I have, Mr. Meglen, did AEG Live ever propose that Mr.
Jackson would do 60 days in India, to your knowledge?
A. No. Can we put it up so I can read it, your honor?
The court: you may put it up.
Mr. Panish: sure.
Q. Have you ever proposed that an artist go -- do 60 dates in India?
A. I've never, probably, proposed an idealist (sic) to go to India.
Q. Why not?
A. Nobody goes to India. Why not? There's no -- I mean, theres been a few concerts that
Im aware of. I've personally never done a show in India. I don't even know if there's -- I think
there's a cricket field but no arenas, and I don't know if there's any real stadiums in India.
Q. Is that what you said, sir?
A. Yes.
Q. Okay. Tell me who went to India that you know.
A. I know that Michael played India.
Q. You didn't know that this morning when I asked you.
A. Well, I heard Michael had played India. I'm not sure where I heard that.
Q. Okay. Okay. And, sir, you don't know what the stadium capacities are in the stadiums in
India; you told us that yesterday, right?
A. I -- if I did, you know -- Im not sure of what the capacities of the different venues are in
India.
Q. All right. Now let's go to -- back to Mr. Phillips' e-mail. This was talking about -- I dont
remember the number. I'm sorry. I'll get the number for you, sir. 115 (sic). Remember we were
talking about this, sir?
A. Yes, sir.
Q. Okay. Now let's just assume that 200 shows are accurate. Okay?
A. Okay.
Q. And if you have 200 shows -- the arena holds 15,000, right?
A. Correct.
Q. And 15,000 times 200 are 3 million people, right?
A. 15,000 times 200 is 3 million.
Q. Okay. We're all in agreement on that, right?
A. Correct.
Q. Okay. Now, if -- do you know what percent of the population in London that is -- or
excuse me -- in the United Kingdom that is?
A. No, I do not.
Q. You have no idea about the population of the United Kingdom?
A. No, I don't know the population of the United Kingdom.
Mr. Panish: okay. Fair enough. Now, sir, that exhibit that you were telling us about
yesterday, I think it was 734 -- is that right, Ms. Bina? 734?
Ms. Bina: I don't remember using exhibit 734.
Mr. Panish: the one that --
Ms. Bina: the one that plaintiffs' counsel had?
Mr. Panish: the one that you showed him with all the information. This exhibit right here.
Ms. Bina: I am not sure --
Mr. Panish: is that 734?
Ms. Bina: what does it say on the bottom right-hand corner?
Mr. Panish: it says exhibit 7 of the depo.
Ms. Bina: but that one, I think there was a chart that was exhibit 74- -- Id have to check the
chart, but this exhibit was 13 something.
The court: right. You replaced it with the one with the larger font or something?
The court: wait a minute. Are we talking about Erk or this witness? I'm confused, too.
Ms. Bina: yeah. Your honor, this witness, to my knowledge, has not reviewed that entire
exhibit. We talked about a couple of pages of it yesterday.
The court: true.
Ms. Bina: so I may have a foundation objection. I don't recall talking about the 12.1
million, I -- thats -- we were limited in terms of our use of that document, your honor. I only
used this page.
Mr. Panish: can I say something?
The court: Im sorry. What was --
Ms. Bina: I used, I think, three pages of this with this witness.
Mr. Panish: is it okay if I say something?
The court: yes.
Mr. Panish: I just asked the witness if he reviewed this document, he just said yes. But I
dont -- it's pretty simple what I want to ask him. I havent even been able to get a question out.
The court: well --
Ms. Bina: I have no objection, your honor, to him asking about this page. I have not heard
the 12.1 million before.
Mr. Panish: it was 12.9.
The court: actually, I just don't think there was any testimony on that yesterday. Can you
read back the question about the 12.9, or whatever?
The record was read as follows:
Q. You understand that you were questioned about that, and Mr. Erk had estimated 12.9 people
for the total -- 12.9 million for the world tour? Do you remember that?
End of record
The court: okay. So Im sustaining that objection.
Mr. Panish: what was the ground?
The court: what do you mean, what was the ground? My own grounds. There's no
foundation for that.
Mr. Panish: okay.
Q. I want you to assume that Mr. Erk estimated 12.9 people for all the concerts for Mr.
Jackson. Okay? Are you with me?
A. Sure, I can assume that.
Q. For 200 -- million. I keep -- 260 dates. Remember you talked about that? Right?
A. I do not remember talking about 260 dates.
Ms. Bina: again, objection --
Mr. Panish: okay. I want you to assume 260 dates.
Q. All right?
A. I can assume 260 dates.
Q. All right. And if you take 12.9 and we subtract 3 million, would you agree with me that
leaves 9.9 million?
A. Yes, I would.
Q. Okay. And if you take out -- that's not the question I want to ask. Let me back it up. Are
there a lot of stadiums in the world that hold more than 60,000 people?
A. Yes.
Q. Okay. I mean, there's a lot of them in Australia, right?
A. There are a lot of soccer stadiums around the world that have large capacities.
Mr. Panish: okay. Sir, I was just asking you about Australia. Your honor, Id ask the
witness to please answer the question. The question --
The witness: yes, there are stadiums in Australia.
Mr. Panish: in fact, in Australia they play a game called world -- excuse me -- called Australian
Rules football, don't they?
A. Yes, they do.
Q. And they have stadiums of over 100,000 in Australia, don't they, sir?
A. I do not recall.
Q. Do you know if he ever has, sir?
A. I've been told that. I do not recall.
Q. Okay. Johannesburg, have you been there?
A. Where?
Q. Johannesburg?
A. No, I have not been to Johannesburg.
Q. Do you know anything about the stadium capacities in South Africa?
A. Not really. Only what I have seen in other touring materials on other tours.
Q. Do you watch the world cup?
A. Yes.
Q. Did you see they had a lot of large stadiums there?
A. Yes, I did.
Q. Do you know if Michael Jackson was popular in South Africa?
A. I believe he was. I do not know.
A. Yes.
Q. Okay. Let's just use 60,000. Okay? At 200 shows at 60,000, how many people would
come?
A. 200 shows at 60,000? Is that 18 million, or --
Q. I think it's 12 million, but check me.
A. No. 200 times -- it would be 12 million.
Q. 12 million people. And if you added on another ten shows at 60 that would be 18 million
people?
A. Another ten shows --
Q. No, no. 600,000.
A. Yeah.
Q. 12.6, right?
A. Correct.
Q. And, sir, if you have a good artist, youre good at selling tickets, right? You're a promoter?
A. Yes, I am.
Q. That's your job, selling tickets?
A. Yes, sir.
Q. Among other things?
A. Yes.
Q. Productions, you've done a world tour one time as the producer and promoter and AEG
Live, correct?
A. We've done more than one worldwide tour at
A. AEG Live.
Q. As the producer and the promoter?
A. I believe we produced Leonard Cohens tour. That is a worldwide tour. Prince, we
produced his. That was really just the U.K. and -- North America, at AEG. And Bon Jovi would
be Europe and -- that, we promoted only, did not produce.
Q. So back to my question.
A. Yes.
Q. Mr. Gongaware and Mr. Phillips said that the company had only done one worldwide tour
where they had been the promoter and the producer. Is that correct?
A. They may be -- they may have forgotten about Leonard Cohen.
Q. Okay. When did you do Leonard Cohen?
A. Well, it's still -- it's been going on for the last four or five years.
A. Correct.
Q. Okay. So what I want to ask you now is certain things, if you've had experience with them.
Okay? You told us about a lot of the experiences youve had. Do you remember that?
A. Yes, sir.
Q. Okay. Have you ever had experience in all your touring and concert preparation
experience where there was an intervention between the CEO of your company and one of the
artists?
A. Am I aware of it?
Q. Have you had that experience?
A. I was aware of it happening once prior, yes.
Q. And when was that?
A. It would have been back in the early '80's.
Q. At AEG Live.
A. No, no, not at AEG, no. I thought you said in my experience.
Q. Well, I did say that.
A. Okay.
Q. Okay. Who was that -- that -- did Mr. Gongaware doing that?
A. No.
Q. Okay. So let me -- let's talk about AEG Live first.
A. Okay.
Q. Okay? Have you had that experience at AEG live?
A. Doing an intervention on an artist?
Q. Where the CEO was involved.
A. Not that I can recall.
Q. Okay. When you said once prior the CEO was involved in that --
A. It was a different company a long time ago.
Q. CEO was involved?
A. I don't know if his title was CEO back then, or -- might have been president.
Q. Prior to this, you said one time, right?
A. Not at AEG I am aware of one time something like that happened.
Q. Okay. And who was the CEO?
A. Tom Hulett.
A. Yes, he is.
Q. Okay. And have you ever had a situation in all your experience at AEG where the
production manager has written e-mails about the artist saying that the artist has been
deteriorating in front of his eyes over eight weeks?
A. Specifically that, no.
Q. Okay. Have you had e-mails from production managers where artists have been
deteriorating in front of them?
A. Possibly a long time ago.
Q. At AEG?
A. No, not at AEG
Q. Okay. We're sticking with AEG for now.
A. Not that Im aware of.
Q. Okay. Have you had situations in your experience at AEG in the hundred -- you said it was
hundreds of concerts, right? Or is that hundreds of tours?
A. I probably worked on hundreds of tours.
Q. Which would be thousands of concerts?
A. Correct.
Q. We're talking about AEG now.
A. Maybe not hundreds of tours at AEG maybe close to that number, but --
Q. Well, you've been there 13 years, right?
A. Yeah; so it's going to be close.
Q. You do ten a year, at least, don't you?
A. Maybe not every year, no.
Q. Okay. We'll just -- how about an average?
A. Probably averages -- around 100 in 13 years probably might be a good guess.
Q. Fair enough. So in those hundreds, have you ever had it where the production managers e-
mailed the management that the doubt was pervasive and they were seriously worried about the
artist?
A. I have had situations where the production manager has sent e-mails regarding behavior of
an artist.
Q. Have you ever had it where they said that doubt was pervasive and they didn't think the
artist was going to make it and needed professional help?
A. No, not at AEG
Q. Now, have you ever had it in your experience where the artist has come to rehearsal
wrapped in blankets unable to perform?
A. I have had situations where artists have been sick before at rehearsals, yes.
A. No, I -- we -- again, I -- we don't -- we dont hire doctors. If the artist wanted his doctor
there, the way you check that out is ask the artist if this is his doctor.
Q. Okay. So does the CEO thoroughly check out doctors, from AEG?
A. No, we do not thoroughly check -- we thoroughly check out -- I mean, if Im asking an
artist if that's his doctor, then that would be thoroughly checking out, in my opinion, yes.
Q. Okay. Well, no. Were you aware that Mr. Phillips wrote an e-mail that said that AEG
thoroughly checked out Dr. Murray and that he was highly successful? Are you aware of that,
sir?
Ms. Bina: objection; misstates the evidence. That e-mail did not contain the word
"thoroughly."
The court: okay. Strike "thoroughly."
Mr. Panish: strike "thoroughly." Im sorry. Mr. Phillips wrote an e-mail that said that they
checked Dr. Murray out, and he was successful.
Q. Were you aware of that, sir?
A. I was aware of that e-mail you're speaking of. I do not know the -- every word within that
e-mail; and as I explained, if you'll let me answer --
Q. I just asked if you were aware of that e-mail, of someone doing that. That's all Ive asked.
A. I have heard about that e-mail, yes.
Q. Okay. Did you ask Mr. Phillips what he did to check out Dr. Murray?
A. That -- that e-mail was with randy and somebody else, I believe. I wasn't copied on that e-
mail.
The court: he's just asking -- even if its between somebody else, he's just asking have you
read it, even if it's between other people.
Q. by Mr. Panish: did you review that e-mail, sir? Did you not understand that?
A. I don't recall if I did. I mean, can you show it to me?
Q. Sure.
A. Okay.
Q. You really want to see it?
A. Well, no. I'm just saying -- you're asking me specifics about that e-mail, and it might be
easier for me to see it.
Mr. Panish: Ill be happy to, sir. All Ive got to do is figure out the number. I think it's
307. Is that it? I remember that one.
Ms. Bina: we're just putting it up for the witness to see if he's ever reviewed it?
Mr. Panish: he wants to see it. I'll put it up for everybody. Everybody else has seen it.
The court: that's true. Show it. Everyone has seen it.
The witness: can you make it a little bigger?
Mr. Panish: you just look at it. Let's just speed this up.
Q. Have you seen it, sir, and this e-mail? Tell me whether you've seen it or not.
A. Yes, Ive seen this.
Q. Okay. And who showed it to you?
A. I don't recall. Possibly the attorneys.
Q. Before you came to testify here, you saw that?
A. I saw this e-mail before; I do not -- because I remember the "trouble at the front." I do not
remember the specifics of it, but I know Ive seen it before. I don't recall who showed it to me.
Q. Sir, you weren't shown that in your deposition, were you?
A. Was I? I don't recall. Was I or was I not?
Q. Well, Ill give you your deposition again, but --
A. I'm -- okay.
The court: is there any reason why --
Mr. Panish: just stipulate that --
Mr. Putnam: Ill stipulate -- what would you like? I'm trying to figure out the relevance
of this.
Ms. Bina: Im not sure whether he was shown it at his deposition or not. I'm looking now.
Q. Okay?
A. Okay.
Q. So when did you see it? Since your deposition?
A. You know, I do not recall when I saw this e-mail and all of the specifics of it.
Q. Was it within the five days that you were preparing to come here and testify, sir?
A. I do not know, do not recall if that was it or not.
Q. Okay. All right. Then I won't ask you.
A. Okay.
Q. All right. You know, one other thing I do want to ask you about, you spent some time
yesterday with us talking about exhibit number 13129. Do you have that in front of you, sir?
That's the Las Vegas thing. It's got the AEG logo on it.
A. The "now and forever" thing? Yes.
Q. You told us all about this yesterday, right?
A. Correct.
Q. Okay. And yesterday you told us that this was something that you prepared, right?
A. This is something Im very familiar with.
Q. Okay. So does that refresh your recollection how long the term was?
A. It also, if you look below that, says AEG shall have the right to terminate consistent with
common practice if any consecutive six-month performance period has less than 60 percent of
seating capacity was sold. So although the term may be ten years, you can cancel it in less than
ten years.
Q. And you can extend it, couldn't you, sir?
A. I don't know if there's an extension built in to this or not.
Q. How about this? "AEG shall have the right to extend the term beyond ten years in annual
increments." Is that a term, sir?
A. Yes, but this is a proposal. That is a term.
Q. Okay. So in this ten-year term that you proposed, the gross revenue would be about a
billion dollars, right, sir?
A. Yes.
Q. For the Michael Jackson show, right?
A. The projected gross at 100 percent sales is close to a billion dollars.
Q. That's your projection, right, sir?
A. We -- there's also an 80 percent projection, I believe, also. So we do multiple projected
levels.
Q. And you told us that Celine Dion, one of the reasons that she likes to perform there is
because she has a family, right?
A. Correct.
Q. And it's very lucrative, correct?
A. Correct.
Q. And that she's able to do the shows there? Now, does Michael Jackson have a family, to
your knowledge?
A. Yes, he does.
Q. Okay. It's very lucrative to perform there, correct?
A. Yes.
Q. Okay. And do you know of any reason why Michael Jackson himself couldn't have
performed there?
A. I asked Michael Jackson if he was interested in performing there, and he told me that he did
not want to do that.
Q. In 2007?
A. In 2007, correct.
Q. I'm talking about after London. Okay?
A. I would think that Michael would have to do over two and a half shows a week or you
could not make such a deal.
Q. My question, sir -- could you try to answer my question?
A. I'm trying to answer your question.
Q. The question was --
The court: after London, is what you said?
Ms. Bina: your honor, he gave a reason. He asked, "Do you know of any reason why he
wouldnt perform?" and the witness gave a reason. It was asked and answered.
The court: can you read the question?
Mr. Panish: you know, your honor let me just ask --
Q. Sir, are there two shows in Las Vegas now about Michael Jackson?
A. No; there's only one show.
Q. Okay. That's the Cirque du Soleil?
A. There are two Cirque du Soleil Michael Jackson tours, one that is touring the world, and the
new one which opened about approximately a month ago.
Q. Okay.
A. It's the new permanent installation show.
A. Correct.
Q. And a $40 million production fee, right?
A. Production budget of 40 million to create the show.
Q. And if you got 300 more seats in, you would increase the revenue by 16.5 million a year,
correct? Is that right, or is it 16.5 --
A. Might have been for the life of the project.
Q. Okay. Well --
A. That sounds --
Q. Sounds too high for what you said?
A. Yeah sounds too high.
Q. All right. Well, you might be right. Let's look. I think it's at the end of page 3. I thought
it says it would add -- 300 seats would add 16.5 million to the gross potential each year. Is that
what it says?
A. Yeah, it could be because of the number of shows. This was a ten-show-a-week pro forma.
Q. I'm just asking you if that's what you wrote, sir. Is that what you wrote?
A. Yes, that's what I wrote.
Q. And -- and, sir, when AEG advanced -- strike that. Do you know that AEG advanced $34
million for production costs for "this is it"?
A. Yes; but my understanding is that it was not entirely for production costs, that roughly 26
million, 27 million, was spent on production.
Q. Okay. So you know the specifics of that?
A. I -- those -- Ive heard those numbers within the office and in our executive meetings.
Q. Okay. And AEG thought this was going to be a successful show, didn't they?
Ms. Bina: objection; vague as to "show." The Vegas show or "this is it" tour?
Mr. Panish: "this is it."
The witness: yes, we believed this would be successful.
Q. And the ticket sales certainly indicated it was going to be successful, correct?
A. The ticket sales for London was very good.
Q. Do you know what queue scores are, sir?
A. Queue scores?
Q. Yeah.
A. I'm drawing a blank.
Q. Well, as far as a promoter and a concert promoter when you're going to go do concerts, do
you pay attention to queue scores?
Q. Yes?
A. Yes.
Q. And in those documents, you put, so Im clear, what AEG uses for a concert at those
venues, correct?
A. I think it was actually based on actual information of artists that played at those. The term
AEG uses" would not necessarily be appropriate.
Q. Okay. So then you took information that wasnt AEG information to make those; is that
right?
A. No. I took information based on shows that we had done in those stadiums that -- and we
looked at what the saleable capacity for those shows was, and that is what it represents.
Q. Okay. So those charts show what AEG has done specifically only as those facilities, right?
A. Yes.
Q. Okay. Now, do you have the documents that support those exhibits?
A. I believe the subpoena that you gave us, we got yesterday; and it calls that we had until the
29th to deliver those, and the attorneys are working on it.
Mr. Panish: okay. Very good. Thank you. That's all I have.
The court: redirect?
Ms. Bina: yes, your honor.
Q. So would you say -- fair to say it's kind of a long-range plan of possibilities?
A. I would say it's a long-range plan; and as I look at it now, we intended the recoupment of
the $60 million to be in five years, which means we wanted to know that if it only went five
years, that we could recoup the $60 million and the 40 -- the $40 million production advance.
Q. And I guess my question is, do you have any way of knowing at the time you made that
proposal whether the show was going to ever be made; or if it was made, whether it was going to
last ten years?
A. No. As I said in my testimony earlier, Ive become aware that Cirque du Solei was
anxious to get a deal done with the estate for a Michael Jackson show; and my argument was
with John Branca and John McClain that there was, perhaps, something better to do, to which
we laid out this initial proposal.
Q. And you were hoping that the proposal would be a success and a good proposal, right?
A. Absolutely.
Q. But you didn't know for sure one way or the other?
A. No. There's -- we don't have a crystal ball.
Q. And I think you said yesterday this would have been the first conceptual show that you
would have ever been involved in putting together where there wasn't actually an artist
performing.
A. Yes; because up until this point, all of our shows had been purely with headliners, we had
not done any purely conceptual shows like Cirque du Soleil has.
Q. And Mr. Panish asked you about Celine Dions show. Is that a conceptual show about --
Q. Let me just ask you straight out. If somebody stands in the middle of a stadium with a
microphone, and the fire marshal is feeling generous, is there any reason you can't fill that
stadium to capacity?
A. No.
Q. In your experience producing concerts, does that happen often?
A. No.
Q. Why not?
A. Well, one, an artist has to be comfortable performing center stage in the round. Number 2,
production becomes a very challenging thing; a very, very expensive thing; and to -- to do what
u2 had done at the rose bowl is incredibly expensive. It -- its -- you know, it has -- you know,
it's really a production thing. And it's also a sales thing because people will get nervous about
putting a center stage stadium in-the-round show on that they could sell all of those tickets to.
Q. And have you done productions where they were center stage in the round?
A. In a stadium, no.
Q. Have you done them in an arena?
A. Oh, yes.
Q. And when you've done them in arenas, am I correct in understanding that you no longer
have the sight line issue, so you can fill those seats, but there are still some seats that are not for
sale?
A. On a 360 in the round?
Q. Yes.
A. Well, you're going to -- as opposed to what you're talking about with the person, you know,
standing at center court with a microphone, you're going to have a big old stage sitting there,
and that, so it's a question of how much that takes up.
Q. What about all those suites?
A. You're not going to lose your -- you know, I mean, every building is different; but you
shouldn't lose any seats in the sense around the stage when you do 360 degree center stage, the
question is what is your footprint of your stage, how big that is, and how much that takes up.
Q. Got it. Briefly, pam, can you put up the chart we showed yesterday with the arenas on it?
13470. Mr. Meglen, you testified --
Mr. Panish: I just object, it's beyond the scope. I didn't ask about this.
The court: overruled.
Q. Mr. Meglen, you testified a moment ago that these numbers are based on actual shows
A. AEG Live is performing in these arenas, right?
A. Absolutely.
Q. And did they just perform one show in these arenas?
A. No. It looks like an average of 51 shows per arena.
Q. So you've done a lot of shows in the arenas?
A. Yes.
Q. And are these numbers the average capacity over all those shows?
A. This is the average saleable capacity in these arenas for, you know, an average of 51 shows
that played there.
Q. And that would include shows like Britney Spears where she was 360 in the round?
A. Yes. That would include -- if during this time period we had shows that played in the
center stage 360-degree shows, that would be in here, too.
Q. And so those would raise the average, whereas ones that are a lower viewing capacity
would lower it?
A. Absolutely.
Q. And this is what's averaged out over all of these shows?
A. This is what most people end up doing.
Q. All right. That's what I wanted to ask you about, because we've had all this conversation
about the theoretical possibilities of stadiums and 360-degree shows. Was the "this is it" tour set
up to be a 360-degree show?
A. No. It was probably the opposite of a 360-degree show.
Q. And that was a production that cost millions of dollars to put together, right?
A. 26 to 27 million is the number I was told.
Q. And could you put a gag like a giant 3d screen behind Mr. Jackson if he was performing in
a center stage in the round?
A. It's very difficult to do screens in the round. They have to be up high in the air, and you
can't do any of the effects -- they have to be above -- above the artist's head, they have to -- it
has to be high enough not to block sight lines from upper decks and that. You can't have
somebody up in the 300 level looking into a screen and the top of a screen and a lighting rig, so
you can't do a lot of the effects that were planned on Michaels show with center stage in the
round.
Q. For instance, you couldn't have a giant bulldozer zoom toward the screen and kind of come
out of the screen and almost run over Mr. Jackson?
A. No. I don't know where you would hide the bulldozer. You'd probably -- they'd say,
"Well hide it under the stage," and Id say, "Your stage is going to be 20 feet high and nobody
on the floor of the lower deck is going to be able to see the stage."
Q. And could you have Mr. Jackson step through
A. Screen and disappear if he was in the middle of a stage in the round?
A. Not if the screen is 40 to 60 feet above your head.
Q. So is it fair to say that in order to become a 360-degree show, the "this is it" tour would
basically have to be redeveloped from scratch?
A. Yeah. You might be able to save some of the video content that was produced. You know,
if you're going to different screen size, you're going to be reformatting that stuff, so there's going
to be a cost associated with that. But your rigging, your lighting rigs, your p.a., you know --
your band gear would be the same, probably, but really just about your stage, everything else will
pretty much have to be a new production.
Q. And so when we talk about the "this is it" tour, talking about the actual show that was
produced, or was going to be produced, was -- what -- I think you said yesterday it was about a
220 show; is that right?
A. I don't remember exactly. I think we could sell a little bit on the sides, which makes it a
little better than 180; but, you know, I don't think it was 240. So Im somewhat speculating that
it was somewhere between 180 and 240 degrees. So, you know, thats pretty standard.
Q. And for your estimates in terms of when you said for a typical show you would lose about a
third of the seating, is that consistent with your understanding for the "this is it" tour?
A. It still holds true for what I do every day.
Q. You were asked about the two shows you put on for the rolling stones voodoo lounge tour
at the rose bowl, right?
A. Yes.
Q. Was that a 360-degree show?
A. No.
Q. And what was the saleable capacity for that show?
A. I think it was just shy of 60,000.
Q. As a concert promoter, do you want to sell the most tickets possible for your shows?
A. Yes. It's -- in fact, when we load a production in, you know, that's one of the first things
we do is you have the box office manager or some representative from the box office there, and
you check what you sold versus the actual physical production because that's the first time
you're putting it into the building. So -- and if you find extra seats that you can sell, then you
try and do some little media that day or something like that to let people know that -- we've all
heard, "good seats just released." Usually that's where that comes from. We find that, you
know, we might be able to sell, you know, another four seats deep in these two sections on the
side of the stage.
Q. So is it fair to say if you could have sold more tickets for that show, you would have?
A. Yeah. It's nothing about, you know, profit at that point.
Q. And if the Michael Jackson "this is it" show had gone on tour, do you have any reason to
expect there would be anything other than the kind of production that they'd spent months
already building?
A. Well, that wouldn't be very efficient, to build a production to just play in one city and then
go build another one.
Q. Did you ever hear any discussions of converting the Michael Jackson show to a 360-degree
tour?
A. No, there was never any conversations about that.
Q. Do you know if Michael Jackson had ever performed that way?
Mr. Panish: no foundation.
Ms. Bina: he may have no foundation.
Q. Do you know?
A. I think, you know, when you take a super bowl halftime that Michael performed at the rose
bowl that year, where he had the jet pack on him, I guess you would call that -- but that wasn't a
concert that was a halftime show.
Q. What about the shows that you promoted on the "history" tour? Were they 360?
A. No. They were onstage.
Q. Were they more similar to what the "this is it" tour was going to be set up as?
A. Yes, very similar.
Q. Now, you talked a little bit yesterday about tour doctors and the idea that AEG Live does
not hire doctors, although sometimes they've been indirectly responsible for paying them. And
one thing you talked about was Celine Dions show, right? Do you recall that?
A. Correct.
Q. And in that case, I think -- and correct me if I misunderstood your testimony. You testified
that AEG Live pays Celine Dions production company a budget -- like a chunk amount, and
then she pays her doctor out of that as well as all the other production staff?
A. Correct.
Q. Now, if AEG Live were paying all those production staff directly, would you consider your
AEG Live to have hired the doctor in that instance?
Mr. Panish: Im going to object, your honor. It's a motion in limine about hiring and this
witness. It calls for expert opinion, and you've ruled its improper.
The court: sustained.
Mr. Panish: and that question is improper. And just like your instruction that you gave on
Ms. Seawright --
A. Yes.
Q. Was there a time in this case where you gathered up your computer and files and handed
them over to attorneys?
A. Yes, quite a while ago, I think shortly after the lawsuit was filed, they came and took --
went through my computer, went through all of my files and took everything I had.
Q. And was there anything you held back and said, you know, "I don't think the attorneys are
going to be interested in this one"?
A. No.
Q. So everything you had, you turned over?
A. Yes.
Q. Lets talk a minute about exhibit 31. And --
A. 31.
Q. That's that e-mail that you've been asked about a bunch of times.
A. This says exhibit 8. Erk 8.
Q. No. It's the e-mail.
A. Oh, the e-mail. Yes.
Q. Do you remember being asked about whether or not you could remember anything at your
deposition about the e-mail?
A. Yeah, I think I was asked about it during my deposition. You know, Im not sure if I was or
not, but if this is -- I can't remember.
Q. Do you recall testifying at your deposition about the idea of gross versus net numbers?
A. Yes, I remember that. I -- you know, what I may have done is said I don't remember this e-
mail, but I would tend to speculate on what was written in it.
Mr. Panish: it's totally nonresponsive to the question. Move to strike. The question was
did you testify about gross or net, do you remember testifying about gross or net at the
deposition.
The court: motion denied. I think he said he didnt remember exactly.
Q. By Ms. Bina: Mr. Meglen --
A. I remember talking about gross or net at my deposition, yes.
Q. And do you remember giving essentially the same explanation that you gave in this court
yesterday?
A. Yes.
Q. Has your understanding of gross versus net changed --?
A. No.
Q. -- since your deposition was made?
A. No, no. It's --
Q. And do you think anything different now than you did in January about the appropriateness
or inappropriateness as to giving an artist gross numbers?
A. No, not at all.
Q. Is that still your understanding of whats common and customary?
A. That's pretty much what we do on a regular basis.
Q. Now, Mr. Panish also asked you a couple of questions about assume that there were this
many tickets left in the queue, and so on and so forth. Do you recall those?
A. Yes, I do.
Q. If Mr. Phillips said in that e-mail 200 shows, and then at another point said 100 shows, and
then also said he wasn't exactly sure where he got the 525,000 figure from, would that affect
your understanding at all of whether or not he was right or wrong?
A. I -- it's hard to answer whether, you know, he was right or wrong. I'm sure he believed
what he believed, and you get very excited when you're in the middle of these things, but I don't
personally -- I mean, everybody is going to have their own opinions on what something is going
to do. I personally don't agree with his opinion of -- that there were 200 shows there.
Q. And that actually leads me to another question. You were asked a number of questions
about opinions or projections that Mr. Phillips had or Mr. Gongaware had. For instance, whether
or not Michael Jackson was the greatest artist ever, right? Do you recall those?
A. Yes, I recall those.
Q. As the executives of a concert promotion and production company, do you and Mr. Phillips
and Mr. Gongaware have the same opinion all the time on whether or not artists are popular?
A. A couple, maybe one or two, that got to 3 million; but no, Im not familiar -- not tours that I
have done, you know.
Q. And if Mr. Jackson's prior tours were around the 4, 4 and a half million range, would you
have any reason to expect that "this is it" would be a 13.9 -- or 12.9 million sales?
Mr. Panish: Im going to object. That's calling for expert opinion, speculation.
Ms. Bina: I think plaintiffs' counsel opened the door to this.
The court: overruled.
Ms. Bina: and this witness would be approving these legs.
The court: overruled.
The witness: you're going have to repeat the question. I'm sorry.
Ms. Bina: sure.
Q. If Mr. Jackson's prior tour sales were around 4, 4 and a half million tickets -- that's a very
popular tour, isn't it?
A. Yes, that's a very popular tour.
Q. Would you have any reason to put on for sale for the "this is it" tour 13 million tickets,
given that history?
A. No, not at all.
Q. Would that even cross your mind?
A. No.
Q. And, again, you expected the "this is it tour to do well, right?
A. I expected London to do well, and that is as far as we got. If -- if you remember, the way
the show was advertised, the way the press conference -- just simply the name of the show when
Michael walked out and said "this is it," it gives the impression to the public and the audience
that this is it, these are going to be the only shows that he does. So to -- the minute you go and
try to do that in another city, well, you're -- you know, your draw is going to start dropping
because, "oh, it's not. This is it and that's it."
Q. And as of the time that Mr. Jackson passed away, what number of shows had AEG Live
approved per the terms of the --
A. 50 shows.
Q. And that's all?
A. Yes, that is all.
Ms. Bina: nothing further at this time.
The court: anything further?
Mr. Panish: yeah.
The court: all right.
Recross-examination by Mr. Panish
Q. Did the public -- what did you say, you never know, you gotta let the public decide? Right?
A. A phrase that we use is that the public decides.
Q. Did the public decide on the popularity of Michael Jackson in London when the tickets
went on sale, sir?
A. Yes, they did.
Q. And it was a resounding favorable response, wasnt it, sir?
A. For a lower ticket price, it was a great response. That was our intention.
Q. Sir, is it appropriate for people from concert companies to misrepresent their artists?
A. No.
Q. And you said everyone talks in terms of gross numbers, right?
A. It is common with artists to talk about their gross, yes. The reason, you asked earlier, that
we put 100 percent on my Vegas projection is because the artist always wants to know if, "I sell
it out, what will I make?"
Q. Could you answer my question? Is that a yes?
A. I think I just did.
Q. But Mr. Gongaware said, "well, we'd better not talk about net; we'd better talk about
gross, didnt he, sir?
A. No. I'm not necessarily saying that it is -- it is a bad projection. I'm just saying that it's a
long ways from what we had agreed to do, and all we had agreed to do is 50 shows. People can
project if something keeps going and keeps going and keeps going.
Q. Can you answer my question, please, sir?
The court: so the answer is no?
The witness: no.
Q. And at that time, sir, it was only 30 shows, wasn't it?
A. Yes.
Q. And then that went to 50, right?
A. Yes.
Q. And the 186 could have gone to more, couldnt it, sir?
A. Could have gone down, too. Youre speculating.
Q. Want to add something else, sir?
The court: remember what I said about comments. You're just going to --
Mr. Panish: all right, your honor. But I would ask that the witness be instructed to please,
please, answer the question.
The court: answer the question. You don't want to end up in arguments with each other.
A. Conceptual?
Q. Thank you. And you talked about the Beatles show, right? The "love" show?
A. At one point we talked about "love," yes.
Q. And that's a conceptual show, right?
A. Correct.
Q. And some of the Beatles were still alive when that show was going on, right?
A. Correct.
Q. And still are alive?
A. Correct.
Q. And that show has been going on for seven years, hasn't it, sir?
A. That sounds about right. Might even be eight now.
Q. And it's been very successful, hasn't it, sir?
A. For the most part, yes.
Q. Well, has it been successful or not, sir?
A. Yes, it's successful.
Q. Didn't you tell us it was the best one as far as you knew?
A. Of -- of those. I mean, it's -- "love" and o" are probably your two biggest conceptual
shows in Vegas.
Q. Now, when you talked about the stadiums, the rose bowl, and your average, your average,
you said, was about -- let's just say 60,000 for all the stadiums, right?
A. For the shows Ive done, right.
Q. And usually does an artist do more than one show at a stadium when they're in a specific
city?
A. Not normally. I would say the average is more one than it is multiple.
Q. How many did they -- did the rolling stones do at the rose bowl?
A. The stones did two.
Q. And, sir, didn't you originally have three dates for the rolling stones?
A. Boy, I can't remember.
Q. And you couldn't sell enough tickets, so you reduced it to two shows; isn't that right?
A. No, no. It doesn't work that way.
Q. All right. So you're saying you never had three shows initially calendared for the rolling
stones; is that right?
A. You have itineraries that have options built into them; and you don't know, again, until you
go on sale how many you're going to get. So you could route and say, "Maybe we'll get three
rose bowls; if we dont get the third one, we'll go play San Diego." That would be common.
So -- but you're asking me about something that's nearly 20 years ago, and I can't remember
what the route -- potential routes for the stones were that year.
Q. I'm not going to argue with you. Does Live Nation do bigger concerts?
A. Do they do bigger concerts? No. There's not a rationale of one company does bigger
concerts than other companies.
Q. They did that rose bowl concert, didnt they, sir, with -- with u2?
A. Yes; and we did Coachella that's bigger than that one, so --
Q. So you had more than --
A. They do some big shows and they do little shows. We do big shows and little shows.
Q. So you had more than 97,000 in Coachella?
A. Not quite, but pretty close.
Q. Okay.
A. But I don't know if they had 97 at theirs.
The court: we're not going to go back over that.
The witness: thank you.
A. Correct.
Q. Do you have any interest in doing a conceptual show of Michael Jackson if you can still
have Michael Jackson alive and touring?
A. No, because it would -- I mean, there are tribute shows in Las Vegas that are done on a
very small level, and -- but no, if Michael is still alive and touring, I would not be interested in
doing a conceptual show.
Q. When you say "tribute shows," are you talking about those bands that play other bands'
music and charge like 10 bucks a head to go see that?
A. Yes.
Q. Would you have done that with Michael Jackson?
A. Well, Im sure you could -- someone could put that together and maybe make some money
at it; but that really wasn't what we were into doing.
Q. You, AEG Live, were not making that offer?
A. No.
Q. And the offer you made and wanted to do was for Michael Jackson to tour live?
A. Correct.
Q. And it was only after he had, sadly, passed away and you were talking about potential other
things that you ever had any idea of doing this Las Vegas-style show?
A. I never had any conversations about doing a conceptual Michael Jackson Las Vegas show
until after he passed.
Ms. Bina: nothing further.
The court: anything further?
Mr. Panish: oh, me? Yes.
Further recross-examination by Mr. Panish
Q. On that exhibit number 31 -- I don't need to put it up. It said 31 shows, right? Put it up.
All right. Whatever. We all want to go on a break.
A. Going back to the beginning?
Q. Well, it said 31 shows, didn't it? Or 30 show?
A. 30 shows.
Q. That went to 50, right?
A. Correct.
Q. Okay. And this was before -- and you said -- counsel asked you were only interested in
Michael Jackson touring live, right? You weren't interested in a tribute show; is that right?
A. While he was alive, yes.
Q. And -- and your job as a promoter is to make as much money as you can, right?
A. Right.
Q. And if Michael Jackson wanted to tour worldwide, you could have set that tour up, couldnt
you?
A. Of course.
Q. And you could have made as much money as there was to be made, right?
A. We would have tried to.
Q. Well, nobody can do it better than you, right?
A. I guess that's a personal opinion, isnt it?
Q. That's your opinion, isn't it?
A. I think we're very, very good at what we do.
Q. So you -- with all your resources and as good at this job as you are, you give -- if Michael
Jackson wanted to do 260 shows worldwide, you could have made that happen, couldn't you,
sir?
A. It's very speculative.
Q. Sir, you could have made that happen if Michael Jackson wanted to do it, as one of the best
in the business, couldn't you, sir?
A. I could have set up the arrangements for something like that. Whether -- to predict whether
we could do a 260-date tour, you know, they come in steps. It comes bit by bit by bit. You don't
sit there and say zero or 260.
Q. Okay. Actually --
A. You do 50, and then you go, "okay. Lets do some more."
Q. Okay. If you did 50, you could have done another 210, couldn't you, sir?
A. You know, I -- Im capable of promoting many more concerts, I hope, in my life; and I
could always promote more shows and hopefully do a very good job at it. I cannot tell you how
many more Michael Jackson shows I could have done. It would be pure speculation.
Q. I'm just asking you, sir, if Michael Jackson wanted to do it, and we saw what he did on
selling out the 02, and he wanted to do it, you could have set up the tour for him and got the
people to come, couldn't you?
A. We could have set up the tour, yes.
Q. Okay. We don't need to go to Live Nation; you could do that for us, right?
A. I would suggest you get a bid from both.
Mr. Panish: okay. Thank you.
Ms. Bina: two questions. Further redirect examination by Ms. Bina:
Q. One, if you set up that 260-show tour, could you have guaranteed that people would buy
tickets to it?
A. No.
Q. And if Michael Jackson didn't want to do a 260-show tour, could you make him?
A. No.
Further recross-examination by Mr. Panish
Q. Did you know that Michael Jackson told his children and Kenny Ortega that he was going
to do a world tour?
A. I was not aware of that.
Mr. Panish: okay.
The court: okay. Thank you. You may step down.
The witness: thank you.