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Microcap & Penny Stocks : Genesis Media Group, Inc (GNNX) -- Ignore unavailable to you. Want to Upgrade?

To: pete2 who wrote (2830)	5/2/1999 1:41:00 PM
From: Mike Sawyer	Respond to of 3129

The GNNX story...as told by Don Logan: GENESIS MEDIA GROUP, INC PRESS RELEASES Genesis Media Group, Inc.Completes Two Major Acquisitions. Genesis Media Group, Inc., Would Like to Announce the Completion of Two Major Acquisitions With Genetic Evolutionary Nutrition (GEN), and Midnight Marquee Entertainment (M4 Radio Program). CULVER CITY, Calif., Sept. 10 /PRNewswire/ -- Genetic Evolutionary Nutrition (GEN),is a company committed to formulating the most unique, and high performance sports nutrition supplements currently on the market today. Because of the company's dedication to research and development, GEN insists on putting forth products that have solid, scientific efficacy and that actually live up to their promise. GEN strives to maintain a top R&D division with locations both domestic and overseas. The company's goal is to always provide the consumer with in-depth, credible information on the safe use and benefits of all their supplements. GEN is committed to verifying product purity through unbiased, third-party laboratory analysis and to offering such verification to the consumer on demand. The company is dedicated to enhancing the athletic performance of the professional as well as the recreational athlete. GEN only offers products that improve training intensity, muscle growth and recovery, vitality, energy, metabolic function, overall health and well being. GEN products include: Whey Protein, 19-Norandrostenedione, DHEA, FX-Chrysin, Thermogen, GEN-FEN, Pyruvate, Androdiol, Creatine, just to name a few. One of the products GEN produces, Androstenedione, has recently received major publicity in regards to the use of this product, by professional Baseball player, Mark McGwire. GEN products can be found in many nutrition/vitamin stores nationwide. GEN's estimated Gross Revenues for the Sep./Dec. 1998 quarter, amount to, $857,500 and for the year of 1999 amount to, $6,317,000. Additional information can be obtained about GEN, via their web-site: www.genn.com. Genesis Media Group, Inc. (OTC Bulletin Board: GNNX), will assume all administrative functions for GEN, and will be providing an international advertising campaign, which will consist of commercials, media placement, print advertising, and expansion of product distribution. Midnight Marquee Entertainment (M4 Radio Program), is a cutting edge radio program that breaks away from corporate radio formats, currently broadcasting in the Orlando Florida area and in London England, with numerous interest from other stations from around the world, for syndication. Their programming features mostly unsigned independent music bands, with a world wide listener response. The M4 Radio Program also features direct broadcasting over the Internet, (www.M4radio.com). "Check it Out" Genesis Media Group, Inc., intends to provide International syndication for the program along with an international advertising and promotional package, which will provide advertising spots for many of Genesis's clients, to include our Auto Plus/Dealer Direct Program with Morton Downey Jr. as the national spokesperson. "We are extremely excited about these new acquisitions, they should prove to be profitable additions to Genesis, and its desire to increase shareholder value. These acquisitions are one of the several steps being taken by the company to insure its success as we near the new millennium." - Don R. Logan - Chief Executive Officer of Genesis Media Group, Inc. Safe Harbor Act Disclaimer: The forward-looking statements in this release involve risks and uncertainties, including but not limited to the successful completion of the projects. Successful completion of these projects are subject to the number of uncertainties and unforeseen events. There can be no assurance of the goals of the company stated herein may be realized. Forward-looking statements represent the company's beliefs and expectations concerning future events. These forward-looking statements are qualified by important factors that could materially impact the company's business and its abilities to complete these projects. SOURCE Genesis Media Group, Inc. CO: Genesis Media Group, Inc.; Genetic Evolutionary Nutrition; Midnight Marquee Entertainment ST: California IN: MTC SU: TNM 09/10/98 11:51 EDT prnewswire.com Genesis Media Group, Inc. Reports First andSecond Quarter Financial Statements CULVER CITY, Calif., Sept. 10 /PRNewswire/ -- The following financial statement is being released by Genesis Media Group, Inc. (OTC Bulletin Board: GNNX): Genesis Media Group, Inc. Balance Sheet March 31,1998 (Unaudited) ASSETS Current Assets Cash on hand and in banks 15,845 Contract receivables (Note 2) 1,800,000 Inventory (Notes 1,3) 41,050,907 Prepaid expenses and misc. receivables 85,659 42,952,411 Property & Equipment (Net of $13,557 accumulated depreciation) (Notes 1,4) 96,445 Other Assets (Note 2,5,8) 3,740,505 46,789,361 LIABILITIES & STOCKHOLDERS' EQUITY Current Liabilities Accounts payable $90,780 Accrued expenses 69,524 Current portion of long term debt (Note 6) 820,777 981,081 Long Term Debt (Note 6) 1,463,699 Total Liabilities 2,444,780 Stockholders' Equity Common stock -- Par value $0.0001, Authorized 50,000,000 shares, issued and outstanding 19,846,000 shares 1,986 Additional paid in capital (Note 3) 41,189,736 Retained earnings -- March 31, 1998 3,152,859 44,344,581 46,789,361 Genesis Media Group, Inc. Statement of Income and Retained Earnings For the Three Months Ended March 31, 1998 (Unaudited) Gross Sales & Other Income (Net of cost of sales) $145,092 Operating Expenses Amortization of copyrights 692 Automobile & parking 2,901 Bank charges 339 Depreciation (Note 1) 4,586 Insurance 2,677 Legal & accounting 7,392 Miscellaneous 3,394 Outside services 3,570 Postage 373 Rent & storage (Note 7) 49,219 Salaries & wages 17,868 Taxes & licenses 3,945 Telephone 4,402 Travel 386 101,744 Net Income before Taxes 43,348 Provision for Taxes 800 Net Income 42,548 Net Income per common share (Note 9) $0.004 Retained Earnings -- December 31, 1997 3,110,311 Retained Earnings -- March 31, 1998 $3,152,859 Genesis Media Group, Inc. Notes to Unaudited Financial Statements March 31, 1998 Note 1 -- Summary of Significant Accounting Policies The summary of significant accounting policies of Genesis Media Group, Inc. is presented to assist in understanding the Company's financial statements. The financial statements and notes are representations of the Company's management. Management is responsible for their integrity. These accounting policies conform to generally accepted accounting principles and have been consistently applied in the preparation of the financial statements. Line of Business The Company is primarily engaged in media and advertising. Accounts Receivable The Company provides allowances against accounts receivable to maintain sufficient reserves to cover anticipated losses. Inventory Inventory is stated at the lower of cost or market (with the exception of the inventory acquired from Genesis Group, Inc. which has been stated at its appraised value), cost generally being determined on a first-in, first-out basis. Equipment and Depreciation Depreciation has been provided on the same basis for tax and financial accounting purposes using the straight-line, accelerated and declining balance methods. The estimated useful lives of the assets are as follows: Production equipment 5 - 7 years Office equipment, furniture & fixtures 5 - 10 years Leasehold improvements 3 - 10 years Copyrights and Amortization Copyrights were purchased and are subject to the 15 years amortization rules. For purpose of these financial statements, copyrights are amortized on the straight line basis over 15 years. Note 2 - Contracts Receivable In August, 1997 Genesis Media Group, Inc. (formerly 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 31, 1998 in the amount of $1,000,000 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 3 - Inventories 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. Also included in inventory are the costs incurred to date in developing the production of the "Diary of James Dean". Inventories consist of the following: Music and films $41,000,000 Products 12,400 Productions in process 38,507 41,050,907 Note 4 - Property and Equipment Property and equipment consists of the following at cost: Computer equipment $26,946 Office furniture 27,056 Office equipment 35,354 Production equipment 1,000 Leasehold improvements 19,646 110,002 Less accumulated deprec. (13,557) 96,445 Note 5 - Other Assets Other assets consists of the following: Deposits $13,728 Copyrights net of accumulated amortization of $692 40,808 Loans to TranStar 35,331 Production costs 50,638 Long term portion of contract receivable 3,600,000 3,740 505 Note 6 - Long Term Debt Long turn debt consists of the following: Contract payable $2,284,475 Less current portion (820,777) 1,463,698 Note 7 - Commitments and Contingencies The Company is committed under a lease dated October 1, 1997 and expiring September 30, 1998, for a minimum annual rental (exclusive of real estate taxes, maintenance, etc.) as follows: Year-ending December 31 1998 $52,776 Said lease is payable monthly (Cash = $5,864 and Services = $2,932) Note 8 - Investment in TranStar Communications, Inc. The Company has an investment of 10% in the common stock of TranStar Communications, Inc. However, said investment has not been included in this financial statement as a separate item. The investment in TranStar has been combined with loans to TranStar ($35,331). Note 9 - Earnings per Common Share Earnings per share of common stock has been computed based on a weighted average of 10,547,926 shares. SOURCE Genesis Media Group, Inc. CO: Genesis Media Group, Inc. ST: California IN: ENT SU: ERN 09/10/98 11:58 EDT prnewswire.com Genesis Media Group, Inc., Announces Dividend CULVER CITY, Calif., July 16 /PRNewswire/ -- Genesis Media Group, Inc., (OTC Bulletin Board: GNNX - news), would like to announce a one time dividend to its common stockholders. Shareholders of record on July 21, 1998 will receive a dividend from Genesis. The dividend to be issued to the shareholders will be in the form of TranStar Communications, Inc. common stock. Terms of the dividend are as follows: Shareholders of record on July 21, 1998 will receive one share of TranStar Communications, Inc. (OTC Bulletin Board: TNNS - news) for every forty shares of Genesis owned. Safe Harbor Act Disclaimer: The forward-looking statements in this release involve risk and uncertainties, including but not limited to the successful completion of the projects. Successful completion of these projects are subject to the number of uncertainties and unforeseen events. And there can be no assurances of the goals of the company stated herein may be realized. Forward-looking statements represent the company's beliefs and expectations concerning future events. These forward-looking statements are qualified by important factors that could materially impact the company's business and its abilities to complete these projects. SOURCE Genesis Media Group, Inc. CO: Genesis Media Group, Inc.; Trans Star Communication, Inc. ST: California IN: ENT SU: TNM 07/16/98 16:15 EDT prnewswire.com ....to be continued

To: pete2 who wrote (2830)	5/2/1999 1:45:00 PM
From: Mike Sawyer	Respond to of 3129

...the rest of the story...Part II: Genesis Media Group, Inc.Announces the Acquisition ofOctavia Entertainment Group, Inc. CULVER CITY, Calif., July 16 /PRNewswire/ -- Genesis Media Group, Inc., (OTC Bulletin Board: GNNX), would like to announce the acquisition of Octavia Entertainment Group, Inc. Octavia Entertainment Group, Inc. is a recording production studio that will greatly enhance Genesis's music production facilities and recording facilities. Terms of the deal are as follows: Don R. Logan, Chairman of Genesis Media Group, Inc., will use 75,000 of his personal shares in the company to pay for the acquisition, total guaranteed value of this acquisition is $250,000.00. Safe Harbor Act Disclaimer: The forward-looking statements in this release involve risk and uncertainties, including but not limited to the successful completion of the projects. Successful completion of these projects are subject to the number of uncertainties and unforeseen events. And there can be no assurances of the goals of the company stated herein may be realized. Forward-looking statements represent the company's beliefs and expectations concerning future events. These forward-looking statements are qualified by important factors that could materially impact the company's business and its abilities to complete these projects. SOURCE Genesis Media Group, Inc. CO: Genesis Media Group, Inc.; Octavia Entertainment Group, Inc. ST: California IN: ENT SU: TNM 07/16/98 15:45 EDT prnewswire.com Genesis Media Group, Inc.Announces the Formation of an In-House InvestorRelations Department July 16, 1998 CULVER CITY, Calif., July 16 /PRNewswire/ -- Genesis Media Group, Inc., (OTC Bulletin Board: GNNX), would like to announce the formation of an in-house Investor Relations Department. Effective August 17, 1998 Genesis will have an in-house Investor Relations Department to better service the public shareholders. Safe Harbor Act Disclaimer: The forward-looking statements in this release involve risk and uncertainties, including but not limited to the successful completion of the projects. Successful completion of these projects are subject to the number of uncertainties and unforeseen events. And there can be no assurances of the goals of the company stated herein may be realized. Forward-looking statements represent the company's beliefs and expectations concerning future events. These forward-looking statements are qualified by important factors that could materially impact the company's business and its abilities to complete these projects. More to follow...... SOURCE Genesis Media Group, Inc. CO: Genesis Media Group, Inc. ST: California IN: ENT FIN SU: 07/16/98 15:02 EDT prnewswire.com Genesis Media Group, Inc. Announces a Signed Distribution Contract With CustomRevolutions, Inc. CULVER CITY, Calif., July 14 /PRNewswire/ -- Genesis Media Group, Inc., (OTC Bulletin Board: GNNX), would like to announce that a Distribution Contract has been signed with Custom Revolutions, Inc. Custom Revolutions Inc. is a large distributor of music albums and compilations via the Internet. Custom Revolutions, Inc. has agreed as part of their distribution agreement to pay a structured advance of fifty thousand dollars to Genesis Media Group, Inc. against future royalties. Genesis' contract with Custom Revolutions, Inc. is yet another of many steps to be taken for marketing and distribution of artists that are currently part of the Genesis music library. Other distribution avenues such as direct response, direct mail, and direct retail, are currently being finalized. Genesis Media Group, Inc. is also proud to announce that in house record label, SRI Records will release the highly anticipated, debut recording, of rock cult favorite, Sandro. The album entitled "Cheese," is scheduled for a fall release. Sandro is a critically acclaimed rock vocalist. Sandro's Australian-born lead vocalist and songwriter, Mark Sandro has opened for Blue Oyster Cult and Joan Jett. He was also the lead vocalist for the rock group Da Boyz. His debut SRI album has been previewed by a variety of program directors and they are unanimous in their rave reviews. Another SRI release due out this fall, is an album of classical music by world renowned, concert pianist, Sylvie Blouin. The album is entitled "Chopin: Piano Romantique." Genesis Media Group, Inc. is in the business of media advertising, media placement, telecommunication marketing, networking and professional production and post-production services. Safe Harbor Act Disclaimer: The forward-looking statements in this release involve risk and uncertainties, including but not limited to the successful completion of the projects. Successful completion of these projects are subject to the number of uncertainties and unforeseen events. And there can be no assurances of the goals of the company stated herein may be realized. Forward-looking statements represent the company's beliefs and expectations concerning future events. These forward-looking statements are qualified by important factors that could materially impact the company's business and its abilities to complete these projects. SOURCE Genesis Media Group, Inc. CO: Genesis Media Group, Inc.; Custom Revolutions, Inc. ST: California IN: ENT SU: CON 07/14/98 09:31 EDT prnewswire.com Genesis Media Group, Inc.Announces a Signed Distribution Contract WithVolatile Media, Inc. CULVER CITY, Calif., June 25 /PRNewswire/ -- Genesis Media Group, Inc., (OTC Bulletin Board: GNNX), would like to announce that a Distribution Contract has been signed with Volatile Media, Inc., out of New York, to market and distribute the Genesis Frank Sinatra CD. Volatile Media Inc. is a large distributor of music albums and compilations via the Internet. On their Web site, "Music Your Way", they offer a wide variety of music selections that may be purchased either as a whole album, or you can pick and choose different tracks from their music library to create your very own compilation. Genesis's Frank Sinatra CD, will be the first of many albums that will be marketed and distributed by Volatile Media, on behalf of Genesis. Volatile Media will receive a one week exclusivity on the distribution of the CD, prior to any other distributor. The Web site addresses for Volatile Media are as follows; WWW.VOLATILEMEDIA.COM, WWW.VOLTILEMUSIC.COM, and WWW.EZCD.COM. Genesis's contract with Volatile Media is the first of many steps to be taken for marketing and distribution of not only the Frank Sinatra CD, but many other artists that are currently part of the Genesis music library. Other distribution avenues such as direct response, direct mail, and direct retail, are currently being finalized and will be announced shortly, accompanied by a list of other artists that will be released. Genesis Media Group, Inc. is in the business of media advertising, media placement, telecommunication marketing, networking and professional production and post-production services. SOURCE Genesis Media Group, Inc. CO: Genesis Media Group, Inc.; Volatile Media, Inc. ST: California, New York IN: ENT MLM SU: CON 06/25/98 09:31 EDT prnewswire.com Genesis Media Group Inc. Announces an Update on SRI Label Group, Acquisition. CULVER CITY, Calif., June 16 /PRNewswire/ -- Genesis Media Group Inc., (OTC Bulletin Board: GNNX), as previously announced, Genesis has acquired all the assets and licensing agreements of SRI Label Group, a privately held company. Don R. Logan, Chairman of the Board of Genesis Media Group Inc., will assign 250,000 shares of his personal common stock in Genesis for the acquisition, so there will be no further dilution to the shareholders. In addition, Genesis will pay to SRI Label Group $90,000 over the next 12 months to complete the acquisition transaction. Some of the assets include: approximately 140 various audio tracks that include such artists as, Johnny Cash, Chuck Berry, Nat King Cole, Jefferson, Janice Joplin, Big Joe Turner, Fats Domino, Count Basie, Glen Miller, Benny Goodman, Frank Sinatra, Wille Nelson, Neal Sedaka, Freddy Fender, Glenn Yarborough, Hall and Oats, Rod Stewart, Duke Ellington, Quincy Jones, Al Jarreau, and many, many more. There is also approximately 140 Judy Garland tracks that consists of many of her hottest releases. Also included in the audio library are 22 classic fairy tails, such as; Aladdin and his Magic Lamp, Cinderella, Sleeping Beauty, Snow White and the Seven Dwarfs, just to name a few. There is also an extensive video library that includes video's such as; Judy, Frank and Dean, Judy Garland the Concert Years, Judy Garland and Friends, Judy and Liza live at the London Palladium, Opening of "A Star is Born," plus 26 one hour shows. As part of the acquisition, Genesis has retained the services of Shelly Liebowitz. Mr. Liebowitz is a veteran of more than 30 years experience in the entertainment industry. His background includes experience as a performer, writer, director, record promoter, record producer, personal manger, and as an executive at various recording and publishing company's. For information please contact: Howard Haber - Genesis Media Group Inc. SOURCE Genesis Media Group Inc. CO: Genesis Media Group Inc.; SRI Label Group ST: California IN: ENT SU: TNM 06/16/98 09:49 EDT prnewswire.com Media Group Inc. Announces a Music Industry Acquisition CULVER CITY, Calif., June 11 /PRNewswire/ -- Genesis Media Group Inc., (OTC Bulletin Board: GNNX), is pleased to announce the acquisition of SRI Label Group, a privately held company that consists of a large music and video library, and is a music licensing company. Don R. Logan Chairman of the Board of Genesis Media Group Inc., will assign 250,000 shares of his personal common stock in Genesis for the acquisition, so there will be no further dilution to the shareholders. In addition, Genesis will pay to SRI Label Group $90,000 over the next 12 months to complete the acquisition transaction. A more detailed description of this acquisition will be forthcoming. This is one of many projects that the company is currently working on. Genesis Media Group Inc., is in the business of Media Advertising and Placement, Telecommunications Marketing, and full entertainment production services. SOURCE Genesis Media Group CO: Genesis Media Group; SRI Label Group ST: California IN: ENT SU: TNM 06/11/98 15:59 EDT prnewswire.com Genesis Media Group Inc. Announces News On 'Sinatra The Early Years' CULVER CITY, Calif., June 4 /PRNewswire/ -- Genesis Media Group Inc. (OTC Bulletin Board: GNNX), has produced and will release a collector's edition Frank Sinatra recording. Genesis Media Group mourns over the loss of a great music icon. The recordings Genesis will release are some of Sinatra's early ballads. They are from the early Sinatra era, most of which were never recorded in studio sessions, and never released on any label, but in fact from live radio broadcasts. Due to its age and original sound recording the music has been digitally re-mastered with today's technology to enhance the sound quality. The album will be available on cassette and compact disc, and will be titled "Sinatra, The Early Years." It is scheduled for release on June 15, 1998. Genesis will explore many distribution and marketing avenues. First and foremost, Genesis will offer this Sinatra selection via the Internet on the company's own web site, GNNX.COM. The Company will also approach other Internet channels such as CD NOW, a large retail music web site. Genesis will sell directly to the retail market through small, independent record stores where the demographics for such a selection may be more likely to reach the Sinatra audience. Direct mail has been a growing industry, whereas people do not have to leave their homes to shop anymore. Such catalogs as AARP (American Association of Retired Persons) will be ideal for this product, as well as Parade magazine. Genesis, being a company in the business of distribution and media advertising, along with the company's production capabilities, will utilize their resources to produce a commercial/infomercial, to cover the Direct response area of marketing. It has not yet been determined how the company will format the commercial, and whether Genesis will use a spokesperson or not. The company hopes to incorporate additional related products that will complement the Frank Sinatra CD. The cover of the CD will be a picture of Frank Sinatra in his youth dating back to the 40's. The inside will contain a short bio of Frank including his birth date, birthplace and a brief note. This Frank Sinatra CD, is one of many music projects that Genesis will be working on in the future. The following are projections for an 18 month period: SINATRA, THE EARLY YEARS - SALES PROJECTIONS PROJECTIONS ARE OVER AN 18 MONTH PERIOD COMPACT DISC CASSETTE TOTAL DIRECT TO RETAIL 27,000 33,000 60,000 DIRECT MAIL 33,750 41,250 75,000 INTERNET 27,000 33,000 60,000 DIRECT RESPONSE 45,000 55,000 100,000 TOTAL UNITS 132,750 162,250 295,000 SALE PRICE (RETAIL) 10.95 8.95 SALE PRICE (WHOLESALE) 6.95 5.95 ESTIMATED EARNINGS PER SHARE FOR 18 MONTHS .05 to .07 TOTAL CD SALES TOTAL CASSETTE SALES GRAND TOTAL DIRECT TO RETAIL $187,650 $196,350 $384,000 DIRECT MAIL $369,562 $369,188 $738,749 INTERNET $295,650 $295,350 $591,000 DIRECT RESPONSE $492,750 $492,250 $985,000 TOTAL UNITS $1,345,612 $1,353,138 $2,698,749 Certain statements in this press release may include forward looking estimates such as technical and business progress. The company's actual results may vary due to risk uncertainties such as delays in distribution. SOURCE Genesis Media Group, Inc. CO: Genesis Media Group, Inc. ST: California IN: ENT MLM SU: PDT 06/04/98 16:25 EDT prnewswire.com Genesis Media Group Inc. Cancels 250,000 144 Shares CULVER CITY, Calif., May 29 /PRNewswire/ --Genesis Media Group Inc., (OTC Bulletin Board: GNNX) has conducted an internal investigation, and has concluded that the 250,000 144 shares that were issued to VistaQuest Inc., were wrongfully issued and were cancelled and retired on May 8th, 1997, by the original Board of Directors of Hollywood Showcase television Network Inc. Genesis Media Group Inc. has never had a relationship with VistaQuest Inc., and has also instructed the transfer agent to reaffirm the decision of the original Board of Directors of Hollywood Showcase Television Network Inc., to cancel and retire said 250,000 144 shares. SOURCE Genesis Media Group Inc. CO: Genesis Media Group Inc.; VistaQuest Inc. ST: California IN: ENT SU: 05/29/98 16:09 EDT prnewswire.com GENESIS FORMER CONSULTANT FILES FORM 144, TO SELL SHARES tagged for: GNNX retrieval keys: wall+street investment media otc sec sec-f144 stx washington WASHINGTON, DC, May 28, 1998 (States) - VistaQuest, Inc, a former consultant to Genesis MEdia Group of Culver City Calif., reported on May 18, 1998 the proposed sale os 250,000 shares on May 13, 1998 for $500,000 through Winchester Investment Sec., Inc. -0- Copyright States News Service, all rights reserved

To: pete2 who wrote (2830)	5/2/1999 1:46:00 PM
From: Mike Sawyer	Respond to of 3129

...Part III...not nearly the end: Genesis Media Group Inc. Moving Towards the Future With Certainty! CULVER CITY, Calif., May 21 /PRNewswire/ -- REPORTING STATUS Genesis Media Group Inc., (OTC Bulletin Board: GNNX), is pleased to announce that on May 18th, 1998, the company has filed its Form 10 with the Securities and Exchange Commission to become a: "FULLY REPORTING" publicly traded entity. This is the first step of many to increasing shareholder value. DIGITAL EDITING FACILITIES Genesis' new state-of-the-art 16 x 9 and 4 x 3 switchable component Digital Editing and Digital Multi-Camera Studio is now "FULLY OPERATIONAL". Genesis is featuring 12 Bit Digital Cameras, a 4:2:2 Digital Component Switcher, Digital Component Betacam Recorders, and D.2 Composite Digital Recorders. Genesis' capabilities include complete Digital production and post-production, as well as analog services. Genesis is now able to complete the many editing and production projects that were on hold until our new digital editing equipment installation process was completed. FRANK SINATRA In regards to Frank Sinatra: Genesis would first like to say, we all mourn the loss of a great icon in the world of music, and that he will be greatly missed. In his remembrance, the company is pleased to announce that it has completed the digital re-mastering of its Frank Sinatra albums, and is currently in the process of finalizing the avenues for distribution and marketing. This should be released some time in early June. TELECOMMUNICATIONS Genesis would also like to mention that our telecommunication marketing efforts are moving forward in a positive direction. SOURCE Genesis Media Group Inc. CO: Genesis Media Group Inc. ST: California IN: ENT TLS SU: 05/21/98 09:09 EDT prnewswire.com Genesis Media Group Inc. Announces the Release of Its 1997 Year End Audited Financial Statement CULVER CITY, Calif., May 20 /PRNewswire/ -- Don R. Logan, Chairman of the Board of Genesis Media Group Inc. (OTC Bulletin Board: GNNX), announces today the release of the company's 1997 year end audited Financial Statement. HOLLYWOOD SHOWCASE TELEVISION NETWORK, INC. Balance Sheet As At December 31, 1997 ASSETS Current Assets Cash in Banks $10,025 Accounts Receivable 13,814 Contract Receivables - Note 1 1,800,000 Inventory - Note 1 & 2 41,012,500 Prepaid Expenses 51,416 Total Current Assets $42,887,755 Property & Equipment (Net of $15,733 Depn - Note 1 & 4) 162,034 Other Assets - Note 1 4,059,040 Total Assets $47,108,829 LIABILITIES & STOCKHOLDERS' EQUITY Current Liabilities Accounts Payable $100,000 Accrued Expenses 17,588 Current Portion of Long Term Debt 820,777 Total Current Liabilities $938,365 Long Term Debt $1,463,698 Stockholders' Equity Common Stock $687 Common Stock Authorized - 50,000,000 At $.0001 par value. Issued and outstanding 6,869,500 shares Paid in Capital 41,396,401 Retained Earnings December 31, 1997 3,310,678 Total Stockholders' Equity 44,706,766 Total Liabilities & Stockholders' Equity $47,108,829 The accompanying footnotes are an integral part of these financial statements. HOLLYWOOD SHOWCASE TV NETWORK, INC. Statement of Operations For The Year Ended December 31, 1997 Sales $5,483,334 Other Income 804,983 Less: Cost of Sales 2,215,664 Gross Profit on Sales $4,072,653 Operating Expenses Auto & Parking $3,124 Bank Charges 2,533 Equipment Rental 9,360 Insurance 1,173 Miscellaneous 5,895 Moving Expense 4,433 Outside Services 166,791 Professional Fees 39,385 Printing 1,214 Rent & Storage 51,605 Repairs 13,790 Salaries 174,013 Samples 1,530 Stock Transfer 1,981 Supplies - Office 6,877 Taxes - Miscellaneous, 1,946 Taxes - Payroll 34,734 Telephone 12,461 Travel & Trade Prom 48,620 Total Operating Expenses 581,465 Profit before Depreciation $3,491,188 Less: Depreciation 15,733 Profit before Income Tax $3,475,455 Corporate Income Tax -0- Net Profit on Operations $3,475,455 The accompanying footnotes are an integral part of these financial statements. HOLLYWOOD SHOWCASE TELEVISION NETWORK, INC. Statement of Cash Flows For The Year Ended December 31, 1997 Cash Flows from Operations: Net Income $3,475,455 Adjustments to reconcile net income to net cash provided by operating activities: Depreciation 15,733 3,491,188 Changes in Operating Assets & Liabilities (Increase)in accounts receivable (13,814) (Increase) in contract receivable (1,800,000) (Increase) in inventory (41,012,500) (Increase) in Prepaid expenses (51,416) Decrease in Accounts Payable 100,000 Decrease in Accrued expenses 17,588 Decrease in current portion of Long Term Debt 820,777 (41,939,365) Net Cash Provided by Operations 45,430,553 Cash Flows from Investments Additional paid in capital (42,663,152) Other Assets (4,059,040) Purchase of Equipment & Furniture (162,034) (46,884,226) Financing Activities Increase in Long Term Debt 1,463,698 Net Cash Increase 10,025 Cash on Hand - 1/1/1997 -0- Cash on Hand - 12/31/1997 $10,025 The accompanying footnotes are an integral part of these financial statements. HOLLYWOOD SHOWCASE TELEVISION NETWORK, INC. Notes to Financial Statements As At December 31, 1997 SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES The summary of significant accounting policies of Hollywood Showcase Television Network Inc. is presented to assist in understanding the Company's financial statements. The financial statements and notes are representations of the Company management. Management is responsible for their integrity. These accounting policies conform to generally accepted accounting principles and have been consistently applied in the preparation of the financial statements. Note 1. Contract Receivable In August 1997 Hollywood Showcase Television Network Inc. purchased in a tax free exchange a company named Genesis Group Inc. One of the assets received is a contract for the sale of certain films. The terms of the contract call for monthly payments beginning March 1, 1998 in the amount of $100,000 per month for six months and $200,000 per month for the next 24 months totaling $3,000,000. Beginning October 1, 1999 a licensing fee of $100,000 will be paid to the Company monthly, until September 1, 2002, total of contract being $5,400,000. Analysis of the available records of Genesis Group indicates that the cost of the 380 films purchased was $2,184,625. This transaction will be treated as an installment sale, and will be reported for taxation on the same basis. Note 2. Inventory The inventory was acquired from Genesis Group Inc. and consists of Movie Films and 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 appraisal that identifies each item of inventory, and evaluates it. Inventory is carried at appraised value. Note 3. Office Furniture & Equipment Acquired in the same transaction was office furniture and equipment that cost the company $3,120. Depreciation based on the remaining useful life of the items will be calculated on the straight line method beginning September 1, 1997. Note 4. Stockholders' Equity The Company has 50,000,000 shares of Stock authorized at $.0001 par value, 6,869,500 were issued. The assets of Genesis Group Inc. were acquired by trading 6,869,500 shares of Hollywood Showcase for 100% of the stock of Genesis. The assets acquired are now shown on the Balance Sheet. Note 5. Depreciation Depreciation has been provided on the same basis for tax and financial accounting purposes using the straight line methods. The estimated useful lives of the assets are as follows: Shop Equipment 5-7 Years Office Furniture & Fixtures 5-10 Years Leasehold Improvements 3-10 Years Commitments 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 SOURCE Genesis Media Group, Inc. CO: Genesis Media Group, Inc.; Hollywood Showcase Television Network, Inc. ST: California IN: TLS ENT FIN SU: ERN 05/20/98 09:01 EDT prnewswire.com Genesis Media Group Inc. Announces the Completion and Submission of the Company's Form '10' With The SEC CULVER CITY, Calif., May 19 /PRNewswire/ -- Don R. Logan, Chairman of the Board of Genesis Media Group Inc., (OTC Bulletin Board: GNNX), is proud to announce that Genesis has completed and has submitted the filing of the company's form "10" with the Securities and Exchange Commission. By taking this step of becoming a fully reporting company, Genesis feels that this will substantially increase shareholder value. Genesis is a diversified company in the business of media advertising, media placement, distribution, telecommunications and networking. With the use of the company's own studio facilities, Genesis offers professional production and post production services, by way of the industries most advanced hi-tech editing equipment. Genesis also holds an extensive music library that is currently in the process of being digitally re-mastered. SOURCE Genesis Media Group Inc. CO: Genesis Media Group Inc. ST: California, New York IN: TLS SU: 05/19/98 12:32 EDT prnewswire.com

To: pete2 who wrote (2830)	5/2/1999 1:50:00 PM
From: Mike Sawyer	Respond to of 3129

...Part IV...will it ever end: Genesis Media Group Inc. Announces its Open Door Policy For Shareholders CULVER CITY, Calif., May 6 /PRNewswire/ Don R. Logan, Chairman of the Board of Genesis Media Group Inc. (OTC Bulletin Board: GNNX), would like to announce the introduction of the Genesis Media Group Inc., "Open Door Policy" for its shareholders. Genesis Media Group Inc., has a vision towards the future, and is primed for success. Genesis handles an exceptional range of diversified technological mediums. The Company's primary areas of business encompass Marketing, Media Advertising, Media Placement, Telecommunications and Networking. With the use of the Company's ultramodern switchable component Digital Editing and Digital Multi-Camera production studio, Genesis is able to provide professional production and post-production services. Genesis has an extensive music library that is currently in the process of being digitally re-mastered. The company is able to re-score music sound tracks for motion pictures and television productions. Genesis is a marketing arm for the telecommunications business. Due to the competitive nature of the business of the Telecommunications Industry, there is certain proprietary and confidential information pertaining to the Company's existing Telecommunications Contracts that cannot be disclosed. Genesis has been subjected to the signing of Confidentiality and Non- Disclosure Agreements on behalf of its Telecommunication Clients that it is currently providing service for. Genesis would like to offer its shareholders the opportunity to contact its corporate offices at (310) 665-0221, to schedule an appointment to visit its facilities and review and discuss the operations of the Company. Individuals will be subject to the signing of a Confidentially and Non- Disclosure Agreement, that will be valid and enforceable by the court of such jurisdiction charged with interpreting and/or enforcing that Agreement. Genesis is moving towards the future with certainty, and it would like its shareholders to move along with it. SOURCE Genesis Media Group Inc. CO: Genesis Media Group Inc. ST: California IN: TLS SU: 05/06/98 10:08 EDT prnewswire.com Genesis Media Group, Inc. Announces a 1 Million Dollar Contract Genesis Media Group Inc., announces the signing of a national advertising/sales and marketing campaign contract with Glassmaster Industries USA Inc. CULVER CITY, Calif., April 29 /PRNewswire/ -- Don R. Logan, Chairman of the Board of Genesis Media Group Inc., (OTC Bulletin Board: GNNX) announced today the signing of a national advertising/sales and marketing contract with Glassmaster Industries USA Inc. The company is on the Toronto Exchange, with the trading symbol: GMTR. Glassmaster designs and distributes window film products made by contract manufacturers to help people succeed in their business. Its customers are entrepreneurs who want practical products that accomplish tasks with as little expenditure of time and money as possible. With over 100 years of combined experience of previous operations as manufactures, marketing managers and applicators, Glassmaster is uniquely positioned to be the leader in distribution of window film products. The key sales staff is strategically located in regions of the United States and supported from a central point in Arizona that utilizes the regional shipping approach via fulfillment programs in order to create an outstanding shipping service. Glassmaster has contracted for the products to supply all five of the markets in the window film industry: Automotive window films/bullet proof, Residential window films, Security window films/bullet proof, National accounts, Tools and products support. Genesis Media Group Inc., is a company in the business of media advertising, media placement, telecommunications, networking and professional production and post-production services. Genesis will create and produce commercials, videos and advertising materials for Glassmaster, as well as Web hosting and design, with an advertising network via the World Wide Web. Genesis will also provide air- time media placement for advertising and distribution. This is all possible through the use of Genesis's state of the art high tech Digital editing and production equipment. This contract between Genesis Media Group Inc., and Glassmaster Industries USA Inc., is a performance based contract with revenues to be realized by Genesis estimated to be a minimum of l million dollars for the first l2 months of the contract, plus earned commissions on gross sales. SOURCE Genesis Media Group Inc. CO: Genesis Media Group Inc.; Glassmaster Industries USA Inc. ST: California IN: SU: CON 04/29/98 12:33 EDT prnewswire.com Genesis Media Group, Inc. Closes a 6 Million Dollar Contract Genesis Media Group, Inc. Announces the Closing of Another Wholesale Telecommunications Contract Additional Annual Gross Billing To The Company Could Be As High As 24 Million CULVER CITY, Calif., April 24 /PRNewswire/ -- Don R. Logan, Chairman of the Board of Genesis Media Group Inc., (OTC Bulletin Board: GNNX) announced that the company has closed a telecommunications contract to provide wholesale long distance service to the country of China. The initial capacity will be for 1 million minutes per month, for the next 12 months, with the possibility of increasing to 4 million minutes per month within the first 30 days of service. The gross billings received from this contract, to the company, will be between 500,000 and 2 million dollars per month, and between 6 to 24 million dollars annually. Genesis is a diversified company in the business of media advertising, media placement, distribution, telecommunications and networking. With the use of the company's own studio facilities, Genesis offers professional production and post production services, by way of the industry's most advanced hi-tech editing equipment, Genesis also holds an extensive music library that is currently in the process of being digitally re-mastered. The company is able to re-score music sound tracks for motion pictures and television productions. Certain statements in this press release may include forward looking estimates such as availability of funding as well as technical and business progress. The company's actual results may vary due to risk uncertainties such as delays in installation of equipment. SOURCE Genesis Media Group, Inc. CO: Genesis Media Group, Inc. ST: California IN: TLS SU: CON 04/24/98 10:30 EDT prnewswire.com Genesis Media Group, Inc. Announces $120 Million Contract Genesis Media Group, Inc. Announces a Telecommunications Contract with Anticipated Gross Billing for the Company in Excess of $120 Million Annually CULVER CITY, Calif., April 22 /PRNewswire/ -- Don R. Logan, Chairman of the Board of Genesis Media Group (OTC Bulletin Board: GNNX) announced today that Genesis Media Group has entered into a definitive agreement to establish a telecommunications service network to the country of Mexico. The network is currently under construction and is anticipated to be active over the next 35 to 45 days. Genesis Media Group has acquired the capacity to provide a minimum of 600 million minutes of long distance service over a 12 month period. The various customers that have committed to the service will provide letters of credit equal to 2 weeks worth of billing on a revolving basis. Gross billings to Genesis will be approximately $11 million per month. Genesis will realize the first billings in approximately 2 months. Genesis Media Group, Inc., is in the business of media advertising, media placement, telecommunications and networking. Genesis offers professional production and post-production services. Genesis is also involved with various advertising and media ventures. Utilising their extensive in house music library, the Company is able to re-score music soundtracks for motion pictures and television productions. Certain statements in this press release may include forward looking estimates such as availability of funding as well as technical and business progress. The Company's actual results may vary due to risk uncertainties such as delays in installation of equipment. SOURCE Genesis Media Group, Inc. CO: Genesis Media Group, Inc. ST: California IN: TLS SU: CON 04/22/98 11:17 EDT prnewswire.com Genesis Media Group, Inc. Closes a $60 Million Contract CULVER CITY, Calif., April 16 /PRNewswire/ -- Don R. Logan, Chairman of the Board of Genesis Media Group, Inc. (OTC Bulletin Board: GNNX) announced today that a one year contract was closed with The Meyer Group Limited, a substantial California company. This media communications contract represents revenues exceeding $60 million. This contract has been completed with advance deposits received by Genesis Media Group. The terms of this contract are as follows: Payment is to be made in advance and weekly to Genesis Media Group. This contract is one of many contracts that Genesis Media Group is in the process of closing. SOURCE Genesis Media Group CO: Genesis Media Group ST: California IN: TLS SU: CON 04/16/98 11:14 EDT prnewswire.com Genesis Media Group, Inc. and GMT Productions Announce a Joint Venture Partnership to Complete Production of the James Dean Diaries CULVER CITY, Calif., March 18 /PRNewswire/ -- Genesis Media Group, Inc. (OTC Bulletin Board: GNNX) announced today the signing of an agreement with GMT Productions to complete editing and production from the Genesis Studios in Culver City, California, of the James Dean Diaries, a two hour showcase documentary of the very private diaries of James Dean. Alan Houge, President of GMT Productions is one of the very few people who have been allowed by the James Dean Family Estate to have access to the very private diaries. He is the only one to be allowed to produce a film of the life of James Dean, based on these diaries. The film is now past 60% completion. Release in the Japanese market has already been spoken for, making this project a profitable venture even before completion. Other interesting projects for Genesis Media Group, Inc. include two other feature films with producer Willie Benoun, the first one being "Cuba," a drama/adventure with Ms. Benoun as the producer and Don R. Logan as the executive producer, costing approximately $60,000,000.00. The second is a comedy, "Baldie's," also produced by Ms. Benoun, and executive producer Mr. Logan, costing approximately $12,000,000.00. SOURCE Genesis Media Group, Inc. CO: Genesis Media Group, Inc.; GMT Productions ST: California IN: ENT SU: JVN Corporate Relations: Dutch Associates, Inc, , 718-850-5966 03/18/98 11:26 EST prnewswire.com Genesis Media Group Inc./GNNX(OTC-BB) Announced a Dealer Distribution Agreement With Thomson Broadcast Systems PR Newswire - February 23, 1998 08:57 GNNX Also Announced the Introduction of the Genesis New Digital Editing System CULVER CITY, Calif., Feb. 23 /PRNewswire/ -- Genesis has entered into a Dealer Distributor Agreement with Thomson Broadcast Systems. Thomson Broadcast Systems is a worldwide organization with subsidiaries in Asia, Europe and the US, as well as distributors and agents around the world. The company headquarters are located near Paris, with two production sites in Brittany (France). Thomson addresses the digital image chain from end to end: image capture processing, compression, transmission and broadcasting. This is an exciting time. Not only because Thomson's strategic commitment to digital technologies is being confirmed in bold new applications such as digital television, MPEG2 Compression and multi-service fiber networks, but also because of the unique synergy that now exists across Thomson's product and systems divisions and with the worldwide resources of Thomson multi-media, the fourth largest consumer electronics group in the world. From creating the next generation of broadcast equipment, to implementing today's most advanced digital solutions, Thomson Broadcast Systems and Genesis share two essential values: a passionate commitment to what they do and a vision of the future that is resolutely digital. Genesis' Media Technologies announces the debut of their state-of-the-art 16 x 9 and 4 x 3 switchable component Digital Editing and Digital Multi-Camera Studio at their Culver City Facility. Genesis is featuring Thomson 12 Bit Digital Cameras, 4:2:2 Digital Component Switcher, Digital Component Betacam Recorders, and D.2 Composite Digital Recorders. Our insert stage is air-conditioned (30' x 25') and the on-premise main stage (80' x 120') with 2 wall cyc, complete with Digital Multi-Camera Equipment. Genesis' capabilities include complete Digital production and post-production, as well as analog services. For Corporate information, news and updates: genesis. For Corporate technical information: genx.com. For information please contact Carl J. Conte at Genesis, 310-665-0221 SOURCE Genesis Media Group Inc. /CONTACT: Carl J. Conte of Genesis Media Group, 310-665-0221; / /Web site: genesis genx.com (GNNX) In story NYM054, Genesis Media Group Inc./GNNX(OTC-BB) Announced a Dealer Distribution Agreement With Thomson Broadcast Systems, moved earlier today, the Web site address in the third graph and below the CONTACT should read "http://www.Genesis-ent.com", rather than "http://www.Genesis/ent.com" as incorrectly transmitted by PRNewswire. /PRNewswire -- Feb. 23/ /Web site: genesis-ent.com genx.com (GNNX)

To: pete2 who wrote (2830)	5/2/1999 1:52:00 PM
From: Mike Sawyer	Read Replies (1) \| Respond to of 3129

...Part V...I can't find the end... Genesis Media Group, Inc. (OTC Bulletin Board: GNNX) Announces Revenues and Earnings for the Year Ended December 31, 1997 PR Newswire - February 24, 1998 08:57 GNNX ------------------------------------------------------------------------ Shares Outstanding @ 12/31/97: 10,990,000 Net Income @ 12/31/97: 3,475,455 The Earnings Per Share: $ .316 LAS VEGAS, Feb. 24 /PRNewswire/ -- Genesis Media Group, Inc. (OTC Bulletin Board: GNNX) reported the following today: Hollywood Showcase T.V. Network, Inc. Genesis Media Group, Inc. Consolidated Balance Sheet December 31, 1997 (Unaudited) ASSETS Current Assets Cash in banks $ 10,025 Accounts receivable (Note A) 13,814 Contract receivables (Note B) 1,800,000 Inventory (Notes A,C) 41,012,500 Prepaid expenses and misc. receivables 51,416 42,887,755 Property & Equipment (Net of $15,733 accumulated depreciation) (Notes A, D) 162,034 Other Assets (Note E) 4,059,040 $47,108,829 Liabilities & Stockholders' Equity Current Liabilities Accounts payable $100,000 Accrued expenses 17,588 Current portion of long term debt (Note F) 820,777 938,365 Long Term Debt (Note F) 1,463,698 Total liabilities 2,402,063 Stockholders' Equity Common stock - Par value $0.0001, Authorized 50,000,000 shares, issued and outstanding 10,990,000 shares 1,099 Additional paid in capital (Note C) 41,394,989 Retained earnings - December 31, 1997 3,310,678 44,706,766 $47,105,829 10,990,000 issued and outstanding shares Net income 12/31/97 3,475,455 Earnings per share $ .316 See accompanying footnotes Hollywood Showcase T.V. Network, Inc. Genesis Media Group, Inc. Consolidated Statement of Income and Retained Earnings For the Year Ended December 31, 1997 (Unaudited) Sales $ 5,483,334 Cost of Sales 2,215,664 Gross Profit 3,267,670 Other Income 804,983 4,072,653 Operating Expenses Automobile & parking 3,124 Bank charges 2,533 Depreciation (Note A) 15,733 Equipment rental 9,360 Insurance 1,173 Miscellaneous 5,895 Moving expense 4,433 Outside services 166,791 Professional fees 39,385 Printing 1,214 Rent & Storage (Note G) 51,605 Repairs 13,790 Salaries 174,013 Samples 1,530 Stock Transfer & Delivery 1,981 Supplies - computer & office 6,877 Taxes - miscellaneous 1,146 Taxes - payroll 34,734 Telephone 12,461 Travel & entertainment 48,620 596,398 Net Income before Taxes 3,476,255 Provision for Taxes 800 Net Income $3,475,455 Retained Earnings - December 31, 1996 (118,000) Less Treasury Stock (46,777) Retained Earnings - December 31, 1997 $3,310,678 See accompanying footnotes Hollywood Showcase T.V. Network, Inc. Genesis Media Group, Inc. Consolidated Statement of Income and Retained Earnings For the Year Ended December 31, 1997 (Unaudited) Operating Activities: Net income $ 3,475,455 Adjustment to reconcile net income to net cash provided by operating activities: Depreciation 15,733 3,491,188 Changes in operating assets and liabilities: (Increase) decrease in accounts receivable (13,814) (Increase) decrease in contract receivable (1,800,000) (Increase) decrease in inventory (41,012,500) (Increase) decrease in prepaid expenses and miscellaneous receivables (51,416) Increase (decrease) in accounts payable 100,000 Increase (decrease) in accrued expenses 17,588 Increase (decrease) in current portion of long term debt 820,777 (41,939,365) Net cash provided by operating activities 45,430,553 Investing Activities: Additional paid in capital (42,616,375) Treasury stock (46,777) Other Assets (4,059,040) Purchase of equipment, furniture and leasehold improvements (Net of $15,733 accumulated depreciation) (162,034) (46,884,226) Financing Activities: Increase (decrease) in long term debt 1,463,698 Increase (decrease) in cash 10,025 Cash - Beginning of Period 0 Cash - End of Period $ 10,025 See accompanying footnotes Hollywood Showcase T.V. Network, Inc. Genesis Media Group, Inc. Notes to Consolidated Financial Statements December 31, 1997 Note A - Summary of Significant Accounting Policies The summary of significant accounting policies of Hollywood Showcase T.V. Network, Inc. is presented to assist in understanding the Company's financial statements. The financial statements and notes are representations of the Company's management. Management is responsible for their integrity. These accounting policies conform to generally accepted accounting principles and have been consistently applied in the preparation of the financial statements. Line of Business The Company is primarily engaged in media and advertising. Accounts Receivable The Company provides allowances against accounts receivable to maintain sufficient reserves to cover anticipated losses. Inventory Inventory is stated at the lower cost or market (with the exception of the inventory acquired from Genesis Group, Inc. which has been stated at its appraised value), cost generally being determined on a first-in, first-out basis. Equipment and Depreciation Depreciation has been provided on the same basis for tax and financial accounting purposes using the straight-line, accelerated and declining balance methods. The estimated useful lives of the assets are as follows: Shop equipment 5 - 7 years Office furniture & fixtures 5 - 10 years Leasehold improvements 3 - 10 years Note B - Contracts Receivable 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 Leasehold improvements 22,621 177,767 Less accumulated 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 contract receivable 3,600,000 $4,059,040 Note F - Long Term Debt Long term debt consists of the following: Contract payable $2,284,475 Less 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 SOURCE Genesis Media Group, Inc. /Web site: genesis-ent.com /Web site: genx.com (GNNX) Genesis Group Inc. Announces Name Change and Symbol Change PR Newswire - February 20, 1998 10:57 GNNX HSTV CULVER CITY, Calif., Feb. 20 /PRNewswire/ -- Genesis Group Inc./Hollywood Television Network Inc. (HSTV) would like to announce the execution of a name and trading symbol change. New Corporation name: GENESIS MEDIA GROUP, INC. New Cusip#: 371934-10-0 New Trading Symbol: (OTC Bulletin Board: GNNX) Genesis Media Group, Inc. would also like to announce the addition of two new web sites: For Corporate information, news and updates: genesisent.com For Corporate Technical Information: gnnx.com SOURCE Genesis Group Inc. /CONTACT: Carl Conti, 310-665-0221 /Web site: genesisent.com (GNNX) In LAF020, Genesis Group Inc. Announces Name Change and Symbol Change, we are advised by a representative of the company that the headline should read, "Genesis Group Inc./Hollywood Showcase Television Network Inc. (HSTV) Announces a Name Change and a Trading Symbol Change," rather than "Genesis Group Inc. Announces Name Change and Symbol Change." Also, the first line should read, "Genesis Group Inc./Hollywood Showcase Television Network (HSTV)" rather than "Genesis Group Inc./Hollywood Television Network Inc. (HSTV)" as originally issued. /PRNewswire -- Feb. 20/ /Web site: genesisent.com (GNNX HSTV)