Exhibit 10.1  Employment Agreement

December 15, 1998


Brent Gordon
10464 Garden Grove Avenue
Northridge, California 91326 


Dear Brent:

The following are the terms of your employment by Platinum Entertainment, Inc.
("Platinum") as Executive Vice President, Sales and Distribution.

1.  You shall exercise all of the executive and administrative
responsibilities of Executive Vice President, Sales and Distribution, subject
to the by-laws of Platinum and the supervision of the Chief Executive Officer
of Platinum.  You also agree to perform such other duties and services as may
be entrusted to you by the Chief Executive Officer and the Board of Directors
of Platinum that are consistent with your position and title and shall report
to the Chief Executive Officer and the Chief Operating Officer of Platinum.
You agree to discharge your responsibilities diligently, in good faith, and to
the best of your abilities and to at all times give Platinum full information
and truthful explanation of all matters relative to your employment
responsibilities.  You shall devote all of your time during ordinary business
hours to the interests and business of Platinum and shall not, except as
otherwise agreed to by the Board of Directors, work with or receive any
compensation or consideration from any other party for services performed or to
be performed by you.

2.  (a)  Your employment will be for a term of three (3) years, beginning
January 1, 1999 (the "Term"), at the annual base salary of $230,000.00, less
withholding ("Base Salary"), which will be paid in accordance with Platinum's
regular payroll policies.  Your Base Salary shall be increased by the amount of
$10,000.00 in each of the second and third annual periods of the Term.  In
addition, during the term of your employment, you and your family will be
entitled to participate in Platinum's regular health and dental insurance plan
under Platinum's policies with respect to such plans.  The amount of your Base
Salary shall be increased by an amount sufficient, after taking into effect
federal and state taxes, to pay the cost of health and dental insurance for you
and your wife.  During each annual period of your employment you shall be
entitled to up to four (4) weeks of vacation, and five (5) personal leave days.
You shall also be eligible to participate in the 401(K), life insurance, and
all other benefit plans of Platinum under Platinum's policies with respect to
such plans for its employees.  You shall also be reimbursed for reasonable
expenses incurred by you for promoting the business of Platinum and in
performance of your duties hereunder in accordance with Platinum's expense
policies.  You will be issued a company credit card and long distance telephone
charge card.

(b)  Platinum hereby acknowledges that, at the date hereof, you reside in
Northridge, California.  Platinum has asked you to relocate to Atlanta, Georgia
area, and you hereby agree to such relocation.  Accordingly, promptly following
any such relocation of the principal residence of you and your family, Platinum
shall reimburse you for the expense of such relocation upon your delivery to
Platinum of proper documentation evidencing such expense.  Temporary housing
for you and your family, not to exceed seventy-five (75) days, will be paid
for by Platinum.

3.  (a)  In further consideration of your services hereunder, Platinum agrees
to grant to you an option (the "Purchase Option") to purchase an aggregate of
Thirty Thousand (30,000) shares of Platinum's common stock at a purchase price
established pursuant to the 1995 Employee Incentive Compensation Plan, as
amended in 1996, at the next grant date as approved by the Board of Directors
of shareholders of Platinum (the "Grant Date").  The Purchase Option shall be
exercisable with respect to a portion of the shares subject to the Purchase
Option over the course of the option period as follows:  up to and including
one-third (1/3) of the shares subject to the Purchase Option shall be
exercisable on and after the first anniversary of the Grant Date; up to and
including two thirds (2/3) of the shares subject to the Purchase Option shall
be exercisable on and after the second anniversary of the Grant Date; and up to
and including one hundred percent (100%) of the shares subject to the Purchase
Option shall be exercisable on and after the third anniversary of the Grant
Date.  The Purchase Option shall be subject to the provisions of a separate
stock option agreement, in the form of other Platinum employee stock options,
to be entered between Platinum and you, as well as the terms of Platinum's
Stock Option Plan existing as of the Grant Date.  In the event your employment
with Platinum continues for the complete Term of this Agreement but terminates
thereafter by action of Platinum without cause prior to the third anniversary
of the Grant Date, the Purchase Option with respect to the portion of shares
vesting on the third anniversary of the Grant Date shall be exercisable by you
effective upon the date of such termination.

(b)  In further consideration of your services hereunder, Platinum agrees that
you shall be entitled to receive such bonuses, including stock options, as are
determined by the Compensation Committee of the Board of Directors of Platinum
for each annual period of the term of this Agreement.  Platinum agrees that
the formula for the calculation of your bonus shall be based upon the EBIDA
performance of Platinum's proprietary distribution system presently entitled
Platinum Distribution, and that your portion of the bonus pool for the
employees of Platinum Distribution shall be twenty-five percent (25%).
Platinum agrees that options to purchase Ten Thousand (10,000) shares of
Platinum's common stock ("Incentive Options") shall be awarded to you during
each annual period of this Agreement upon your achieving certain levels of Net
Sales of product owned by Platinum and distributed through Platinum
Distribution ("Incentive Product"), which levels shall be determined annually
by the Compensation Committee of the Board of Directors of Platinum.  For
purposes of this Agreement, the term "Net Sales" shall mean gross sales of
Incentive Product, less returns and credits.  The Incentive Options shall be
exercisable on or after the respective dates of your achievement of the
applicable levels of Net Sales in each period of this Agreement (the
"Incentive Grant Dates").  The Incentive Options shall be subject to the
provisions of separate stock option agreements, in the form of other Platinum
employee stock options, to be entered between Platinum and you, as well as the
terms of Platinum's Stock Option Plan existing as of the respective Incentive
Grant Dates.

4.  Unless otherwise mutually extended, this agreement shall terminate on
December 31, 2001, or the first to occur of the following:

(a)  Your death.

(b)  Your absence or inability to render the services required hereunder by
reason of a state of physical or mental incapacity for more than a period of
fifteen (15) consecutive weeks and upon thirty (30) days prior written notice
by Platinum to you of an intent to terminate because of such absence or
inability.

(c)  (i) Your act or acts which constitute a felony; 

(ii)  Your act or acts in the course of your employment that constitute a
fraud, misappropriation of property of Platinum or any of its affiliates, or
dishonesty;
(iii) Your act or acts which constitute any crime involving moral turpitude; or

(iv) Your willful engagement in one or more acts, or your willful failure to
act, which is damaging to Platinum or any of its affiliates in a material
manner, or your willful failure to comply with reasonable directions of the
Chief Executive Officer or Chief Operating Officer of Platinum, after (A)
written notice is delivered to you describing such willful failure or
engagement in one or more acts and (B) you fail to cure such willful failure
or engagement after a reasonable period of time as determined by the Chief
Executive Officer or Chief Operating Officer in their reasonable discretion
(not to be less than five (5) days).

(d)  In the event Platinum terminates this Agreement for any reason other than
those reasons set forth in Paragraph 4(a), 4(b) or 4(c), Platinum shall
continue to pay you, as severance compensation, all compensation payable
hereunder in the form of Base Salary for a period beginning on the date of
your termination and ending on the end of the Term.  You shall not be required
to mitigate the amount of any payment provided for pursuant to this Paragraph
4(d) by seeking other employment or otherwise.

5.  (a)  You acknowledge that the relationship between the parties hereto is
exclusively that of employer and employee and that Platinum's obligations to
you are exclusively contractual in nature. Platinum shall be the sole owner of
all the fruits and proceeds of your services hereunder, including but not
limited to all ideas, concepts, formats, suggestions, developments,
arrangements, designs, packages, programs, promotions, musical compositions,
inventions pertaining to or useful in or to the activities of Platinum, and
other such intellectual properties which you may create during the Term of
your employment hereunder (all of the foregoing being collectively referred to
herein as "Work Product"), free and clear of any claims by you (or anyone
claiming under you) of any kind or character whatsoever, other than your right
to compensation hereunder, provided however that this shall only apply to Work
Product that is conceived or made on Platinum's time or with the use of
Platinum's facilities or materials. You shall, at the request of Platinum,
execute such assignments, certificates or other instruments as Platinum may
from time to time deem necessary or desirable to evidence, establish,
maintain, perfect, protect, enforce or defend its right, title and interest in
or to any Work Product of which Platinum shall be the sole owner as
hereinabove provided.

(b)  All memoranda, notes, business records and other documents made or
compiled by you or made available to you during the Term of this Agreement
concerning the business of Platinum shall be Platinum's property and on
request shall be delivered to Platinum on the termination or expiration of
this Agreement or at any other time on request.

(c)  You agree that, during the term of this agreement and at all times
thereafter, you will maintain the confidentiality of all Confidential
Information regarding Platinum and its subsidiaries, affiliates, successors,
and assigns (hereinafter collectively the "Protected Entities") that you have,
or will have received or had access to as an employee, officer or director and
that you will not make any disclosure thereof to anyone else except as to
matters that have been the subject of public announcement or disclosure, is
generally available to the public from sources not subject to confidentiality
agreements with Platinum, or except as required by law.  "Confidential
Information" shall mean any information relating to the business or affairs of
the Protected Entities, including but not limited to information relating to
plans, developments, financial statements, customer identities, potential
customers, employees, suppliers, servicing methods, equipment, programs,
strategies and information, analyses, profit margins, inventions, improvements,
copyrightable work, or other proprietary information used by the Protected
Entities in connection with their businesses.   Nothing herein shall prevent
you subsequent to the termination or expiration of your employment pursuant to
this Agreement from using and availing yourself of your general technical
skills, knowledge and experience, including that pertaining to or derived from
the non-secret or non-confidential aspects of the Protected Entities.

(d)  For a period of one year after the Term of this Agreement, unless approved
by the Board of Directors of Platinum, you will not, directly or indirectly,
except for secretarial or clerical employees who have theretofore rendered
services for you:
	
(i) solicit any employee of the Protected Entities, or any performing artist or
other person then under contract with or rendering services to or making
phonograph or other recordings for the Protected Entities to terminate his or
her employment by, or contractual relationship with, the Protected Entities,
or to refrain from extending or renewing the same (upon the same or new terms)
or to refrain from rendering services to or making phonograph or other
recordings for the Protected Entities, or to become employed by or to enter
into contractual relations with, or to make phonograph or other recordings for,
persons other than the Protected Entities;
	
(ii) approach any such employee, performing artist, producer or other person
for any of the foregoing purposes; or
(iii) authorize or knowingly approve or assist in the taking of any such
actions by any other person.

(e)  Platinum shall be entitled, in addition to any other right or remedy it
may have, to an injunction, without the posting of any bond or other security,
enjoining or restraining you from any violation or threatened violation of any
part of Paragraphs 5(a), 5(b), 5(c), or 5(d).
	
6.  This agreement (a) represents the entire agreement between you and
Platinum;(b) is not to be amended, supplemented, varied or discharged except
by an instrument in writing; (c) may be executed in counterparts, each of which
shall be deemed an original; and (d) shall be interpreted in accordance with
and in all respects governed by the laws of the State of Illinois.  If any
provision of this agreement is declared void, or otherwise unenforceable, such
provision shall be deemed to have been severed from this agreement, which shall
otherwise remain in full force and effect.
	
If the foregoing correctly states our agreement, please so confirm by signing
below where indicated.

                                              Platinum Entertainment, Inc.



                                              By:/s/THOMAS R. LEAVENS 

Accepted and Agreed:


/s/ BRENT GORDON	
Brent Gordon 
12/17/98
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