The first releases on the Music Records label were mostly LPs by local groups including Petersen’s own with the Midnite Special in 1977. Later M.R.S. Records was used as the label. By late 1979, Petersen had built a second studio; this time in the basement of his own home which was also in rural Chenoa.Petersen’s operation, now T.P. Record Productions and Breaking Out Publishing Co., was also producing commercials and jingles for local businesses in addition to local music. In June of 1980, Petersen's home was struck by a tornado however the studio, where Petersen and his family safely took shelter, was undamaged. Later that year, several newspaper articles referred to Petersen’s studio as Tall Tree Sound Studio. Sometime in the early 1980’s Petersen moved to the Nashville, TN area.