
Katy Lied marked Steely Dan's debut on ABC Records, showcasing a continued refinement of their signature sound with intricate arrangements and sharp lyrical observations. The album notably features the band's first use of the Fairlight CMI synthesizer.
- Katy Lied was the first Steely Dan album not to feature any contribution from guitarist Denny Dias. Photographer Albert Watson shot the album cover in just 30 minutes. The album was named after a character from an early Fagen and Becker song.
- Despite the album's success, Walter Becker was reportedly unhappy with the final mix of Katy Lied, particularly the drum sounds. The album reached #11 on Billboard's album chart. The single "My Old School" reached #35 on the Billboard Hot 100.
- Producer Gary Katz famously declared that he didn't think the album sounded like Steely Dan, a comment that perplexed and possibly offended the band. Engineer Roger Nichols was nominated for a Grammy for his work on the album. The album was recorded at three different studios: Village Recorders, Quantum Studios, and The Sound Palace.
Steely Dan is the enigmatic jazz-rock duo of Walter Becker and Donald Fagen, known for their meticulous production and sophisticated, often cynical, songwriting. Katy Lied was released midway through their career, after the success of Pretzel Logic and before the even greater commercial heights of The Royal Scam and Aja.
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