After a second profit warning in as many weeks, EMI had been more receptive to a bid by Warner Music Group (WMG) for the company. At first the UK-based Association of Independent Music (AIM) was all on board, backing the European-based Impala trade body in support of the deal.
But the Ministry of Sound (MOS), evidently infuriated over not being communicated with, consulted or informed of the talks going on between Impala and Warner, resigned from the AIM in response.
"We are outraged at this decision," said Lohan Presencer, Managing Director at the Ministry of Sound. "The ongoing consolidation of the major music industry has 
impacted negatively upon our music business in every way."
Impala Chairman Martin Mills said a few days ago that they backed the deal because it would create concessions from the combined company that would make it more competitive.
Presencer disagreed saying concessions made by Warner would be impossible to enforce: "The music industry is a very fast moving business and should Warner choose not to honor its commitments, recourse through litigation is impractical, slow and too expensive for any independent to undertake.
He added that "the previous mergers of Universal/Polygram and SonyBMG had dramatically affected our level of support at retail, access to media, ability to license major owned catalog for our compilations and pricing."
AIM comments that they believe that the merger of the two companies would be in the best "commercial interests of Europe's independ music industry."
Analysts think that the new bid for the company would probably be around 260 pence, in contrast to the last offer by EMI last year of 320 pence.
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