Watermelon Records was a bright star in the independent record label galaxy during the 1990s, delivering important and memorable Texas music, distinguished singer-songwriters and a wealth of other notable releases to an appreciative listening public. Over the course of a decade, the Austin, Texas-based label earned Grammy nominations and critical acclaim for its efforts, and launched the recording careers of such Texas artists as Don Walser, Alejandro Escovedo, The Derailers and the Austin Lounge Lizards. It also provided a creative haven for such veterans as Tish Hinojosa, Ian Matthews, Steve Young, Timbuk 3, Santiago Jimenez, Jr. and Darden Smith, among others. The Watermelon Reissue Series brings back onto the market many of the significant albums that the label issued, in some cases augmented with bonus material, new artwork and remastering. Launching this series are reissues from Walser, The Derailers, Hinojosa and Escovedo.

Heinz Geissler, a Texas music fanatic who migrated to the Lone Star State from his native Germany, started Watermelon thanks to the instigation of singer-songwriter Robert Earl Keen, who also suggested the label's first release, Highway Cafe of the Damned by the Austin Lounge Lizards. Geissler forged a partnership with John Kunz, the owner of Austin's Waterloo Records, one of the most respected independent record stores in America, and the label began to make its indelible mark on the contemporary music scene.

During its run, Watermelon specialized in the music of Texas. This included such country acts as Walser, the Derailers and Monte Warden, a range of Mexican-American artists from Hinojosa to Escovedo to Jimenez, native Texans residing on the West Coast like Katy Moffat and Carla Olsen, and an album by perhaps the most Texan artist ever, the late Doug Sahm. Another area of concentration was singer-songwriters. In the label's roster of such artists, Texas was also well-represented by releases from Smith, Hinojosa, Escovedo, Vince Bell and Eric Taylor, alongside albums from such noted acts residing in Austin at the time as Steve Young and Iain Matthews and frequent visitors like England's Julian Dawson. The label also practiced an eclectic approach, seeking out notable music regardless of genre or origin. Such diverse rock acts as The Silos, Webb Wilder and Timbuk 3 enjoyed releases on the label, which also issued Etched In Swing, a jazz album from Maryann Price, former singer for Dan Hicks and His Hot Licks, The Kinks and Asleep At The Wheel. The company continued with the Austin Lounge Lizards for a string of albums that established the acts as premier bluegrass musicians and humorists, while also putting out discs by two of Austin's most eclectic acts, The Gourds and The Asylum Street Spankers. As well, Watermelon recorded two live Threadgill's Supper Sessions CDs, documenting a significant Austin tradition and many of the esteemed artist that played the weekly Singin'n'Supper shows at the Texas music landmark. The Watermelon compilation of rising Austin country acts, Austin Country Nights, featured such now well-known acts as Walser, The Derailers, Bruce and Charlie Robison and Dale Watson. The Watermelon tradition is being carried on by the Texas Music Group with its Lone Star Records imprint, which complements TMG's continuing contributions to the blues with Antone's Records. As the Watermelon Reissue Series brings many of the label's releases back into catalog, it enhances the growing status of the Texas Music Group as the Lone Star State's premier record company.