Idle Media Inc (IDLM)

[tturner617]

Sunday morning bordom sets in, so re-reading the 10q for forth qtr. trying to read between the lines of the 70k consulting fee....of which most is just "repaying" the loan/note recievable to/from Idol LLC.

"Overall expenses increased by 258% from the three months ended December 31, 2009 to the comparable period ended December 31, 2010. The majority of the increase is attributable to an agreement we entered into as of October 1, 2010 for information technology consulting services to be provided by Idle Media, LLC, a related party entity, at a rate of $70,000 per month. The agreement may be cancelled at any time by either party with 30 days’ notice and without penalty. These services include, primarily, maintenance of existing websites and games and development and programming services for future potential properties. We believe changes implemented through this agreement have been beneficial, in that our websites and games receive ongoing improvements and back-end improvements, as well as providing for greater advertising and sponsorship capabilities."

To me, it looks like about half the "expence" is for some kind of "off-the-IDLM-books" Investment for new products/games/web-sites. If so, I see that as a positive, and kinda explains why we got PB, Buddies, and Early so cheap. I think we can expect the purchase "cost" of any other software we "buy" from the LLC to be as cheap....cause we already "paid" for it's developement.