THE PANIC CHANNEL Splits With CAPITOL RECORDS

THE PANIC CHANNEL/ex-JANE'S ADDICTION guitarist Dave Navarro has issued the following update:

"Siggy [Sjursen, bass], Perk [Stephen Perkins, drums] and I have decided to get together in a couple of weeks and start writing some musical ideas together while Steve [Isaacs; THE PANIC CHANNEL frontman] is in New York City. At a later date, Steve is going to come out here for an extended leave from the East with his ideas and contribute to what we have done, with the sole purpose of cranking out another PANIC CHANNEL record. We couldn't be more excited about this because we are now out of Capitol and don't foresee any potential hold ups from the corporate world. Our plan is to write, record, mix and make the music available online. Total DIY style.

"We have been complaining about the current state of the record business for so long and now we have an opportunity to do what we always wanted... End our personal slavery to a failing corporate industry that is on its last legs and gasping for air. It's not only Capitol... It's all of them. They all play follow the leader but they look to each other to lead. You can easily see how that would be a confusing game to play.

"Anyway, enough label trashing. It's all about action anyway. Anyone can complain and we DO feel very grateful for the opportunities we have had, many of them made available to us by Capitol, so the real key is to keep moving forward. As long as we have the music and all of you, it isn't so bad. In fact, it's a pretty amazing deal!"

THE PANIC CHANNEL's debut album, "(ONe)", sold more than 8,000 copies in the United States in its first week of release last August to land at position No. 108 on The Billboard 200 chart. The CD was produced by Josh Abraham, whose resume includes such multi-platinum artists as KORN, COURTNEY LOVE, LIMP BIZKIT and VELVET REVOLVER, among others. Mixing duties were handled by Ryan Williams, who has previously worked with veteran producer Brendan O'Brien.