Conversation so far:
What is the new curved air?
This new band played a much more conventional brand of rock than the former Curved Air.
Were they more popular than the former Curved Air?
the new band's sole album, Air Cut, failed to even chart.
Did the band dissolve after this?
Due to artistic differences with Jobson, Kirby Gregory and Jim Russell both left the group to form Stretch.
Is stretch the new name for the "new curved air"?
they continued using the name Curved Air so as to give them a commercial leg up.
What did the critics have to say about them?
Warner Brothers realized that the current Curved Air was in essence not the same band they had signed, and so the remaining trio recorded a demo tape for the label.

Question: How did that demo do?
Self-contained rewrite: How did the demo recorded by Warner Brothers do?