*confused*
Is this any part of GNNX? What am I missing? Merger, or?
In august, 1997 Hollywood Showcase T.V. Network, Inc.
purchased in a tax free exchange a company named Genesis
Group, Inc. One of the assets received is a contract for the
sales of certain films. The terms of the contract call for
monthly payments which commenced March 1, 1998 in the amount
of $100,000 per month for six months and $200,000 per
month for the next 24 months. The total of the contract being
$5,400,000. Income tax on this transaction will be reported
on the installment basis.
Beginning October 1, 1999, a licensing fee of $100,000
will be paid monthly to the Company until September 1, 2002.
Note C - Inventory (Continued)
The inventory was acquired from Genesis Group, Inc. and
consists of movie films, music tapes and CD-ROM interactive
tapes. With the inventory comes the rights to reconfigure,
compile, manufacture, distribute, license, sell and lease.
Each item is one of a kind. The Company has an independent
appraisal that identifies each item of inventory, and
evaluates it. Inventory is carried at appraised value.
Note D - Property and Equipment
Property and equipment consists of the following at cost:
Shop equipment $127,140
Office furniture 28,006
old improvements 22,621
177,767
umulated deprec. (15,733)
162,034
Note E - Other Assets
Other assets consists of the following:
Deposits 36,706
Copyrights 41,500
Production costs 380,834
Long term portion of
tract receivable 3,600,000
4,059,040
Note F - Long Term Debt
Long term debt consists of the following:
Contract payable 2,284,475
current portion (820,777)
1,463,698
Note G - Commitments and Contingencies
The Company is committed under a lease dated October 1,
1997, for a minimum annual rental (exclusive of real estate
taxes, maintenance, etc.) as follows:
Year-ending December 31 1998 $97,772
1999 19,200
2000 16,000
((Los Angeles Newsdesk 213-380-2014))
REUTERS
Thanks all.
okee-boy |
