Simplify the following text for a Grade 4 native English-speaking person.
Original: Sony BMG faced several class action lawsuits regarding this matter . On 31 January 2007 , the U. S. Federal Trade Commission issued a news release announcing that Sony BMG had agreed to settle Federal Trade Commission charges that Sony BMG committed several offenses against United States federal law .
Simplified: Sony would later join forces with BMG to form `` Sony BMG . ''