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Hannover House has already received new orders for multiple thousands-of-units of "BATTLECREEK" (street date Feb. 6), also starring Bill Skarsgård! The momentum might get even stronger with the February launch of Bill's new TV series, "CASTLE ROCK" from J.J. Abrams, Stephen King and HULU. With "BATTLECREEK" right in the middle of a media-feeding-frenzy for Bill Skarsgård - this title looks to be positioned as a very successful video release for Hannover House!
OTCQB = AUDITED FINANCIALS
Go HHSE!
HHSE Since Going Public in 2010, 32 Consecutive Quarters of Revenues & Profitability out of 32.
Amazon News: VODwiz Niche, Value Just Got Bigger
Exclusive: Amazon Studios to cut back on indie films in programming shift:
https://www.reuters.com/article/us-amazon-com-films-exclusive/exclusive-amazon-studios-to-cut-back-on-indie-films-in-programming-shift-sources-idUSKBN1F70IG ; ;
This is good news for VODwiz. The value and niche of VODwiz is Independent Films. A niche that just got bigger.
HHSE initial (first year) target is to have 100,000 subscription customers, averaged at $8.50 per month - for annualized gross revenues of $10.2-million.
Go $HHSE
GETTING GRACE
Acclaimed Comedy from Writer-director Daniel Roebuck Follows a Teenaged Girl with Cancer, Who Forges an Unconventional Approach for Dealing with Her Impending Death.
LOS ANGELES, CA / ACCESSWIRE / January 14, 2018 / Hannover House, Inc. (OTC PINK: HHSE) and theatrical affiliate Medallion Releasing, Inc. have entered into an agreement with Getting Grace, LLC, the production company behind the comedy-drama, ''GETTING GRACE'', for a nationwide theatrical release this spring. The award-winning feature was written, produced and directed by Daniel Roebuck. Roebuck is one of Hollywood's most familiar faces. His acting resume spans 35 years and includes popular television hits (MATLOCK, LOST), blockbuster films (THE FUGITIVE), faith-based films (LET THERE BE LIGHT), horror films (HALLOWEEN 2) and one of the Internet's most watched original series (THE MAN IN THE HIGH CASTLE).
In Getting Grace, Roebuck portrays a small-town mortician whose world is rocked by a rambunctious teenaged girl dying of cancer, as she plans for her departure and a better impact lives for those who will survive her. Newcomer Madelyn Dundon plays the title character of Grace; Marsha Dietlen (LITTLE CHILDREN, NEWLYWEDS) plays Grace's mother, Venus; Duane Whitaker (PULP FICTION, HALLOWEEN II) plays Reverend Osbourne, and Dana Ashbrook (TWIN PEAKS) plays the successful and handsome author who challenges Roebuck's character (Bill) in a duel for the romantic attentions of the lovely Venus.
Roebuck produced the film with a team that included his wife, Tammy Roebuck, as well as Mark Rupp and Davie Cabral. The film was executive produced by Samantha Edwards, Mike Molewski, Mick Trombley, Zach Tran, Melanie Molewski and Robert ''R.J.'' Morris. GETTING GRACE was directed by Daniel Roebuck from a screenplay by himself and award-winning writer, Jeff Lewis.
Getting Grace premiered in September at the Northeast Film Festival in Teaneck, New Jersey, where it won Best Feature, Best Director, Best Actress (Madelyn Dundon) and the Audience Choice awards. The film was also exhibited in competition in October at the Adirondack Film Festival, where it won the coveted ''Best of the Best'' Audience Award, over notable contenders (including LOVING VINCENT).
Hannover House and Medallion Releasing will launch the film to theatres in top USA markets commencing March 23, with a campaign that will include non-traditional promotional events and cross-promotions designed to build audience interest. All of the top 20 largest markets are targeted, along with 20 additional key markets that collectively represent theatrical markets with about 80% of the total U.S. population.
''As a filmmaker, who has spent the last nine years bringing our 'Grace' to an audience, I am thrilled to be teaming with Hannover House and my long-time friend, Eric Parkinson,'' Roebuck recently commented from his Los Angeles home. ''Together we are hoping to make history with our extraordinary and unique approach to building audience interest for this film that has, so far, touched people of all ages and all faiths. We can't wait to share Grace with the rest of world!''
LOGLINE: When a spunky teenaged girl with terminal cancer decides to make her own funeral arrangements, she sets in motion a plan that affects all of those around her in unexpected and positive ways.
FILM SYNOPSIS: Audiences would be hard pressed to find a more likeable protagonist in any film. GRACE, the title character, is funny, sarcastic, empathetic and riveting. But, unfortunately, she is going to die.
Although Grace's time is short, her positive impact on the world around her is monumental. The story is about a young girl who knows that she is dying. Grace goes into a funeral home to learn about death and ends up teaching the disenfranchised funeral director, BILL, about life.
We soon learn that while trying to ''hedge the bet'' about her afterlife possibilities she is also trying her best to prepare her mother, VENUS, for a future without her only child. Venus, we learn, is not dealing with the sad imminent truth well and is reverting to her old ways of drinking and ''drugging.''
Simultaneously, Grace humorously hijacks an ironically named ''EMBRACE LIFE'' class offered by her hospital for children dealing with their own fatal diseases, and moves it to the funeral home. Not only does she do her best to teach the adults in her life to live their lives to the fullest, she has the same effect on her peers. And she discovers love, herself.
Grace is also desperately searching for someone to take care of her mother. Will it be Bill, REVEREND OSBURN (the hospital's chaplain) or RON, the charismatic and successful author of a book about the afterlife. Once those around her actually ''GET'' Grace (meaning they finally understand her), every one of them is able to transition to their own new life.
''GETTING GRACE'' is an extraordinary story with a lead character who affects a chain of positive events in the lives of all she come in contact with . . . be they doctors or morticians or her own mother. Through Grace, her loved ones learn that life need not be lived long to be lived fully.
DISTRIBUTION PARTNERSHIPS
- Sony Pictures Home Entertainment
- Cinedigm Entertainment
- Random Media (the indie studio headed by former Paramount President Eric Doctorow and indie-film producer Tom Skouras).
Film Library Evaluation ($28,000,000) ~ .035 Per Share
FILM & TV LIBRARY (incl. VODWIZ)* 23,565,337
* HHSE Film Library Valuation is currently being updated to include over 145 DVD titles previously not listed in the 2010 report, along with 23 titles since expired or discontinued. No value has yet been assessed on the 2,215 titles under license for the VODWIZ streaming portal other than those capitalizedand otherwise recoupable amounts due to Company for mastering and preparation costs on titles.
http://www.otcmarkets.com/ajax/showFinancialReportById.pdf?id=177628 ; ; ; ;
Though a little wordy. In the HHSE Filing below, HHSE feels the new Film Library Evaluation should be $28,000,000. The Evaluators completing the New, Updated HHSE Film Library Evaluation determined it is worth more than $28,000,000.
Item 11 A1-A6 – Supplemental Disclosures.
i). The Company has completed the written and disclosure portions of a Form 10-12(g) Registration Statement, which was previously planned for filing with the Securities and Exchange Commission on or Jan. 15, 2016, subject to the completion of outside audits by a PCAOB licensed auditing firm. The Company has since engaged a qualifying auditing firm and participated in extensive interviews and reviews of filings, reports and back-up materials. As disclosed to shareholders on the HHSE Company blog site on January 30, 2016, the new auditors have made several determinations of material deficiencies in the financials for the Company, specifically, 1). The value of the Film Library relative to all other assets (and the issues of the five-year-aging of the prior Film Library Valuation report, the changing marketplace for physical video sales as compared to the growing market for digital streaming, and the significant exclusions of key titles from the prior Film Library) and 2). The need for Internal Controls and Compliance Documentation that would conform to standards prescribed under Sarbanes-Oxley Act 404. While technically not “advising” the Company on how to conduct internal controls or instructing the Company to conduct a more thorough and current Film Library Valuation Study, the new auditors did clarify that not addressing or rectifying these issues would result in significant comments by the auditors to the Form 10-12(g) audit portion, and this could result in commentary and non-compliance following S.E.C. review of the registration filing. Having the Company’s largest balance sheet asset reviewed under more recent valuation, and having the Company conform to widely accepted Internal Controls Procedures, would be a requirement for the auditors, unless the Company was willing to proceed with significant auditor’s footnote commentary on these issues. Rather than risk having another obstacle impact the S.E.C. acceptance of the Company’s registration, management has taken the steps to conform to these higher disclosure and operational standards.Company anticipates that the updated Form 10-12(g) Registration Filing, including 2-years of full-year audits and a revised and updated Film Library Valuation Report will be submitted to the S.E.C. in the near-term future, subject to the completion of the new Film Library Valuation (it should be noted that Company is seeking to obtain a lowered valuation than the initial figure determined by the new Library Evaluators, which contains sales forecasts for titles greater than Company Management’s estimates. It is Company’s position that a Library Valuation that is significantly higher than forecasts based on Company’s existing, internal self-distribution apparatus, could elevate shareholder expectations higher than management’s more conservative forecasts. While the higher sales values provided by the first Library Valuation report have as a premise the assumption that HHSE will align itself with one of the Major Studios in the coming year, there can be no assurance that such a deal will occur, and as such, management feels that the current Film Library Valuation should reflect existing distribution channels and revenues, and conform closer to management’s estimated current value of $28-mm. A review of sales activities at the Cannes Film Festival and Marche du Film and other relevant agenda items affecting the Company’s Film Library Valuation have occurred over the summer (2016) and the Company feels confident of having reached a consensus with the valuators on the current and anticipated value of each title, by media income stream.
Page 20
HHSE 10-Q For the three-month period ended: June 30, 2016:
http://www.otcmarkets.com/ajax/showFinancialReportById.pdf?id=161112 ; ; ; ;
Though Final Libary Valuation not released yet, safe to say $28,000,000 Minimum.
$28,000,000 / 799,000,000 = $.03504 = .035 Per Share
This is based on HHSE Film Library Valuation Alone. Does not include any Profits which HHSE has recorded every Quarter since Going Public in 2010.
HHSE
Where we have been... Where we are now... and Where we are going at HHSE...
WHAT IS OUR PLAN FOR GROWTH IN 2018 AND BEYOND?
* We believe that HHSE is "one film away" from being a major independent studio. All it takes is any one of the many titles in our current release queue to become a surprise box officer performer such as "Lady Bird" or "Get Out" and we are suddenly a $100-MM company.
* We have an impressive slate of titles for 2018 and 2019 - and two terrific distribution partners for North America (Cinedigm Entertainment and Sony Pictures Home Entertainment) - as well as our direct relationships with all of the major theatre exhibition chains. Our "lower-end" titles are much higher profile than in past years... and our higher-end titles are now genuine theatrical caliber contenders. We are positioned for the proverbial lucky break that happens when the right film is released at the right time...
* Our recently re-focused Theatrical Release model is delivering huge benefits to our ancillary revenues... and our new partnerships with indie labels is providing access for the VODWIZ streaming venture, which truly could become "the tail that wagged the dog" for HHSE shareholders.
What else is worth noting for this long, holiday weekend? Here are a few observations:
1). Hannover House has Not Issued any Shares in 2.5-years.For the company's first two years as a public equity, the stock structure was quite stable. For the past 2-1/2 years, the stock structure has also been stable. But in 2013 and 2014, the company got involved in some ugly predatory lender situations, most notably TCA Global and JSJ, which precipitated a rapid growth in share issuances. The business model for both TCA and JSJ - as exercised against HHSE and many other borrowers - is to make repayment with cash as difficult as possible, in order to force a "conversion of the debt" into freely trading shares of the issueer at a dramatic discount-to-market. Such returns grossly exceed the legal usury law limitations in all states, and this general business practice is operating in a legally dubious space. JSJ, for instance, refused to accept repayment from HHSE via a bank wire transfer (including all applicable, legal interest per the note), preferring instead to file a lawsuit (in Texas?!), in order to try to force repayment via shares at 200% or more interest. These predatory lenders generally prey on companies that are unable to defend themselves, and therefore are forced to allow the lenders to squeeze out profits far in excess of lending laws through toxic-conversions; most of the time, these small borrowers are ultimately forced out of business. However, this was not the case with Hannover House - as the company has a operating business that is unaffected by fluctuations of our stock price and not dependent on the issuance of shares for capital. These toxic dilutions from 2013 and 2014 definitely hurt our shareholders, and hurt our "market cap," as demonstrated in the charts. So, the Board voted to cease such forms of borrowing, and as a result, HHSE has not issued any new shares in 2.5-years. Anyone predicting on a chat board or anywhere else that a "big dilution is coming" is mistaken.
2). It Doesn't Take Much to Double or Triple the HHSE Share Price - Look at the market-cap spike for HHSE stock earlier this year (seen as June, 2017). This increase in PPS was due to shareholder excitement about the prospect that a merger with Crimson Forest would provide HHSE with high-profile films to distribute. The growth in PPS was not based on any increase in revenues (in fact, the time-distraction of the Crimson merger caused many 2017 releases to be delayed). The PPS spike was driven solely by enthusiasm.
3). Does HHSE Need a Merger Partner? - If the right opportunity came along that would provide HHSE with a reliable source of high-end theatrical titles, we would be responsive to consider such opportunities. However, the programing philosphy ultimately revealed by Crimson Forest did not conform to North American market conditions, in HHSE's opinion. When the promised operating funding didn't materialize, the promised high-end productions turned into low-end films, and the promised "big" releases all turned out to be Mandarin-language releases, we knew that the partnership would not deliver what HHSE wanted for our step-up to major independent status.
4). What's in Store for the first half of 2018?
a). Release Activities: January will see the theatrical release of "BLOODFEAST" - delayed since July due to MPAA re-cut needs. February will see a massive placement of DVDs and BluRays for "BATTLECREEK" (street date Feb. 6). That same week, on Friday (Feb. 9), HHSE will commence the initla theatrical launch of "DEATH HOUSE" to theatres. In April, three titles will be released via Sony Pictures Home Entertainment (including "DAISY WINTERS" ; in May, HHSE will release "THE RIOT ACT" to theatres and Cinedigm will release DVD's and BluRays of "THE LENNON PROJECT" for the Company. Other titles in queue for theatrical and / or home video during the first half of 2018 include "MUSE", "INSOMNIUM", "IDENTITY CRISIS", "SLEEPER CELL", "DINOSAURS OF THE JURASSIC" and "SACRED HEARTS" (all but the last title were planned for 2017, but delayed during the Crimson merger pursuit).
b). Corporate Governance: HHSE will be re-filing a Form 10 Registration with two full years of audits (2016 and 2017) early this coming year, during the first few weeks; the CPA review is already underway and much of the documentation and procedural steps for the audit were already assembled during 2017 while planning for the Crimson merger. We feel that a registration of the shares and the subsequent uplist to OTC:QB will attract more investors and some institutional funds... resulting in a higher anticipated daily trading volume, and a predicted much higher HHSE stock price (based on business results, industry fundamentals and the proven power of Shareholder Enthusiasm).
c). New Ventures - With Sony and Cinedigm handling selected HHSE releases, our management time can be redirected towards theatrical releases, higher-end acquisitions (including productions) and our VODWIZ streaming venture. As will be seen in our 2017 filings, theatrical release activities are the engine that is now driving HHSE revenues in all other arenas. Theatrical titles get more shelf space and priority placement when released to home video; theatrical titles get larger license fees from Netflix and Television licensors; and theatrical titles provide two direct revenue streams for HHSE in the form of both servicing fees and revenue participations. The current mass merchant and key video retail support for "BATTLECREEK" evidences the sales boost that a targeted, limited theatrical release can deliver for the subsequent home video release.
5). Thoughts on the HHSE Stock Chart: (abbreviated) The company did very little in share issuances for the first two years... and none for the past 2.5-years - as seen by the flat-line of total shares in issue.
The next interesting item of note is the tremendous PPS Spike that occurred earlier this year, at which time the Market Cap jumped from $5.4-MM to $24-MM in just a few month's time. What's interesting about this result is that the company was functionally frozen from new releases during that time, so the sudden shareholder enthusiasm cannot be attributed to improved revenues... it can only be viewed as a reaction to the prospective merger with Crimson. The current Market Cap of $12.4-MM has been stable for quite a few months now.
A third observation can be seen during the "heavy dilution" time-frames of 2013 to the end of 2015, when TCA (via MAGNA) and JSJ were flooding the market with toxic-conversion shares. What is interesting about this? Well, the market cap stayed surprisingly stable during this dilution... meaning that the average PPS went DOWN while the total float went UP, but the overall Market Cap remained steady. HHSE Management believes that the Market Cap remained relatively steady during these dilution times due to Investor Relations / Stock Promotions. As the toxic-lenders dumped their HHSE shares onto the market, some effort was being expended (by them or third parties) to create an investor market for their share dumps... which is another reason why HHSE management hates the concept of these toxic-conversion notes. It also answers the question that some shareholders have posted to HHSE management over the past few years about "why aren't you doing IR / Stock PR now?" The answer is that we are are focused on building the fundamentals of the business rather than on creating a momentary spike in PPS interest while some third party lender dumps out shares. We are not philosophically opposed to I.R. and new investor outreach. We just feel that the cost of such promotions would be best utilized after our Registration and other major events in the works.
There are more thoughts and developments to share... watch this blog over the holidays, and watch for news releases occuring between Christmas and New Years, as well as during the first week of January. Happy Holidays / Merry Christmas / Happy New Year and Best Wishes to all our HHSE shareholders!
HHSE VODWIZ welcomes Production Master Technician EARL HALE to our Team!
Greetings Hannover House Friends & Followers - Just in time for the Holidays, we are pleased to announce the engagement of EARL HALE as Technical Services Director for VODWIZ and Hannover House. Earl has an impressive resume in video production, mastering and technical services, including multi-year directorships at Walmart TV and the Media Center of the University of Arkansas Global Campus.
MORE VODWIZ - there's another MAJOR STUDIO ALERT in the works! Over the past three years of development, two Major Studios (each offering a small "test quantity" of titles for VODWIZ), were secured to support the initial launch of this streaming operation. Now, we are poised for a very major development of a third Major Studio with over 500 high-profile, ready-to-place titles available for the VODWIZ streaming platform. HHSE key managers (Fred Shefte and Eric Parkinson) are meeting at the studio in southern California on Friday to discuss the logistics of this venture, which is already documented through a participation term sheet.
VODWIZ - As anticipated, we have closed a major studio venture that will provide tonnage of product to VODWIZ, including a large quantity of recent, theatrical hits. The totality of programming that will be available to consumers through VODWIZ appears to be on track to being second only to Amazon at this point. We see VODWIZ as a major portal for home entertainment digital streaming access, and potentially "the tail that wags the dog" so to speak. Additionally, we are about a week away from the anticipated finalization of a private funding structure to finance the costs associated with building the VODWIZ website (to Amazon Digital infrastructure standards), and all other pre-launch and initial consumer launch costs for this venture.
VODwiz - Online Independent Films Streaming Portal
- a.) Doubled Titles Library (Second only to Amazon at this point).
- b.) Partnered with Amazon the World's Leading Digital Services Operator.
First of all, we'd like to point out that Hannover House is unlike most any other "OTC Pinksheet" listed company. We have been operating continuously since 1993 (24-years) and have been reporting to the OTC Markets since Dec. 2009 (8-years). Statistically, most OTC listed equities are flashes-in-the-pan time wise... lots of Stock Hype / I.R. Promotions, insider share dumps, and quick closures. That's definitely not HHSE.
First of all, we'd like to point out that Hannover House is unlike most any other "OTC Pinksheet" listed company. We have been operating continuously since 1993 (24-years) and have been reporting to the OTC Markets since Dec. 2009 (8-years). Statistically, most OTC listed equities are flashes-in-the-pan time wise... lots of Stock Hype / I.R. Promotions, insider share dumps, and quick closures. That's definitely not HHSE.
It Doesn't Take Much to Double or Triple the HHSE Share Price - Look at the market-cap spike for HHSE stock earlier this year (seen as June, 2017). This increase in PPS was due to shareholder excitement about the prospect that a merger with Crimson Forest would provide HHSE with high-profile films to distribute. The growth in PPS was not based on any increase in revenues (in fact, the time-distraction of the Crimson merger caused many 2017 releases to be delayed). The PPS spike was driven solely by enthusiasm.
Corporate Governance: HHSE will be re-filing a Form 10 Registration with two full years of audits (2016 and 2017) early this coming year, during the first few weeks; the CPA review is already underway and much of the documentation and procedural steps for the audit were already assembled during 2017 while planning for the Crimson merger. We feel that a registration of the shares and the subsequent uplist to OTC:QB will attract more investors and some institutional funds... resulting in a higher anticipated daily trading volume, and a predicted much higher HHSE stock price (based on business results, industry fundamentals and the proven power of Shareholder Enthusiasm).
HHSE New Ventures - With Sony and Cinedigm handling selected HHSE releases, our management time can be redirected towards theatrical releases, higher-end acquisitions (including productions) and our VODWIZ streaming venture. As will be seen in our 2017 filings, theatrical release activities are the engine that is now driving HHSE revenues in all other arenas. Theatrical titles get more shelf space and priority placement when released to home video; theatrical titles get larger license fees from Netflix and Television licensors; and theatrical titles provide two direct revenue streams for HHSE in the form of both servicing fees and revenue participations. The current mass merchant and key video retail support for "BATTLECREEK" evidences the sales boost that a targeted, limited theatrical release can deliver for the subsequent home video release.
32 Consecutive Quarters of Revenues/Profitability
Yowsa! Mega-Success of "IT" video release spurs THOUSANDS of new orders for HHSE's BATTLECREEK!
HHSE-UPLIST-OTCQB:
Audited Financials = Third (3rd) Party Verification = SEC Reporting Standards
HHSE-Where we have been... Where we are now... and Where we are going at HHSE...
WHAT IS OUR PLAN FOR GROWTH IN 2018 AND BEYOND?
* We believe that HHSE is "one film away" from being a major independent studio. All it takes is any one of the many titles in our current release queue to become a surprise box officer performer such as "Lady Bird" or "Get Out" and we are suddenly a $100-MM company.
* We have an impressive slate of titles for 2018 and 2019 - and two terrific distribution partners for North America (Cinedigm Entertainment and Sony Pictures Home Entertainment) - as well as our direct relationships with all of the major theatre exhibition chains. Our "lower-end" titles are much higher profile than in past years... and our higher-end titles are now genuine theatrical caliber contenders. We are positioned for the proverbial lucky break that happens when the right film is released at the right time...
* Our recently re-focused Theatrical Release model is delivering huge benefits to our ancillary revenues... and our new partnerships with indie labels is providing access for the VODWIZ streaming venture, which truly could become "the tail that wagged the dog" for HHSE shareholders.
What else is worth noting for this long, holiday weekend? Here are a few observations:
1). Hannover House has Not Issued any Shares in 2.5-years.For the company's first two years as a public equity, the stock structure was quite stable. For the past 2-1/2 years, the stock structure has also been stable. But in 2013 and 2014, the company got involved in some ugly predatory lender situations, most notably TCA Global and JSJ, which precipitated a rapid growth in share issuances. The business model for both TCA and JSJ - as exercised against HHSE and many other borrowers - is to make repayment with cash as difficult as possible, in order to force a "conversion of the debt" into freely trading shares of the issueer at a dramatic discount-to-market. Such returns grossly exceed the legal usury law limitations in all states, and this general business practice is operating in a legally dubious space. JSJ, for instance, refused to accept repayment from HHSE via a bank wire transfer (including all applicable, legal interest per the note), preferring instead to file a lawsuit (in Texas?!), in order to try to force repayment via shares at 200% or more interest. These predatory lenders generally prey on companies that are unable to defend themselves, and therefore are forced to allow the lenders to squeeze out profits far in excess of lending laws through toxic-conversions; most of the time, these small borrowers are ultimately forced out of business. However, this was not the case with Hannover House - as the company has a operating business that is unaffected by fluctuations of our stock price and not dependent on the issuance of shares for capital. These toxic dilutions from 2013 and 2014 definitely hurt our shareholders, and hurt our "market cap," as demonstrated in the charts. So, the Board voted to cease such forms of borrowing, and as a result, HHSE has not issued any new shares in 2.5-years. Anyone predicting on a chat board or anywhere else that a "big dilution is coming" is mistaken.
2). It Doesn't Take Much to Double or Triple the HHSE Share Price - Look at the market-cap spike for HHSE stock earlier this year (seen as June, 2017). This increase in PPS was due to shareholder excitement about the prospect that a merger with Crimson Forest would provide HHSE with high-profile films to distribute. The growth in PPS was not based on any increase in revenues (in fact, the time-distraction of the Crimson merger caused many 2017 releases to be delayed). The PPS spike was driven solely by enthusiasm.
3). Does HHSE Need a Merger Partner? - If the right opportunity came along that would provide HHSE with a reliable source of high-end theatrical titles, we would be responsive to consider such opportunities. However, the programing philosphy ultimately revealed by Crimson Forest did not conform to North American market conditions, in HHSE's opinion. When the promised operating funding didn't materialize, the promised high-end productions turned into low-end films, and the promised "big" releases all turned out to be Mandarin-language releases, we knew that the partnership would not deliver what HHSE wanted for our step-up to major independent status.
4). What's in Store for the first half of 2018?
a). Release Activities: January will see the theatrical release of "BLOODFEAST" - delayed since July due to MPAA re-cut needs. February will see a massive placement of DVDs and BluRays for "BATTLECREEK" (street date Feb. 6). That same week, on Friday (Feb. 9), HHSE will commence the initla theatrical launch of "DEATH HOUSE" to theatres. In April, three titles will be released via Sony Pictures Home Entertainment (including "DAISY WINTERS" ; in May, HHSE will release "THE RIOT ACT" to theatres and Cinedigm will release DVD's and BluRays of "THE LENNON PROJECT" for the Company. Other titles in queue for theatrical and / or home video during the first half of 2018 include "MUSE", "INSOMNIUM", "IDENTITY CRISIS", "SLEEPER CELL", "DINOSAURS OF THE JURASSIC" and "SACRED HEARTS" (all but the last title were planned for 2017, but delayed during the Crimson merger pursuit).
b). Corporate Governance: HHSE will be re-filing a Form 10 Registration with two full years of audits (2016 and 2017) early this coming year, during the first few weeks; the CPA review is already underway and much of the documentation and procedural steps for the audit were already assembled during 2017 while planning for the Crimson merger. We feel that a registration of the shares and the subsequent uplist to OTC:QB will attract more investors and some institutional funds... resulting in a higher anticipated daily trading volume, and a predicted much higher HHSE stock price (based on business results, industry fundamentals and the proven power of Shareholder Enthusiasm).
c). New Ventures - With Sony and Cinedigm handling selected HHSE releases, our management time can be redirected towards theatrical releases, higher-end acquisitions (including productions) and our VODWIZ streaming venture. As will be seen in our 2017 filings, theatrical release activities are the engine that is now driving HHSE revenues in all other arenas. Theatrical titles get more shelf space and priority placement when released to home video; theatrical titles get larger license fees from Netflix and Television licensors; and theatrical titles provide two direct revenue streams for HHSE in the form of both servicing fees and revenue participations. The current mass merchant and key video retail support for "BATTLECREEK" evidences the sales boost that a targeted, limited theatrical release can deliver for the subsequent home video release.
5). Thoughts on the HHSE Stock Chart: (abbreviated) The company did very little in share issuances for the first two years... and none for the past 2.5-years - as seen by the flat-line of total shares in issue.
The next interesting item of note is the tremendous PPS Spike that occurred earlier this year, at which time the Market Cap jumped from $5.4-MM to $24-MM in just a few month's time. What's interesting about this result is that the company was functionally frozen from new releases during that time, so the sudden shareholder enthusiasm cannot be attributed to improved revenues... it can only be viewed as a reaction to the prospective merger with Crimson. The current Market Cap of $12.4-MM has been stable for quite a few months now.
A third observation can be seen during the "heavy dilution" time-frames of 2013 to the end of 2015, when TCA (via MAGNA) and JSJ were flooding the market with toxic-conversion shares. What is interesting about this? Well, the market cap stayed surprisingly stable during this dilution... meaning that the average PPS went DOWN while the total float went UP, but the overall Market Cap remained steady. HHSE Management believes that the Market Cap remained relatively steady during these dilution times due to Investor Relations / Stock Promotions. As the toxic-lenders dumped their HHSE shares onto the market, some effort was being expended (by them or third parties) to create an investor market for their share dumps... which is another reason why HHSE management hates the concept of these toxic-conversion notes. It also answers the question that some shareholders have posted to HHSE management over the past few years about "why aren't you doing IR / Stock PR now?" The answer is that we are are focused on building the fundamentals of the business rather than on creating a momentary spike in PPS interest while some third party lender dumps out shares. We are not philosophically opposed to I.R. and new investor outreach. We just feel that the cost of such promotions would be best utilized after our Registration and other major events in the works.
There are more thoughts and developments to share... watch this blog over the holidays, and watch for news releases occuring between Christmas and New Years, as well as during the first week of January. Happy Holidays / Merry Christmas / Happy New Year and Best Wishes to all our HHSE shareholders!
http://hannoverhousemovies.blogspot.com/2017/...w-and.html ;
Amazon News: VODwiz Niche, Value Just Got Bigger
Exclusive: Amazon Studios to cut back on indie films in programming shift:
https://www.reuters.com/article/us-amazon-com-films-exclusive/exclusive-amazon-studios-to-cut-back-on-indie-films-in-programming-shift-sources-idUSKBN1F70IG ;
This is good news for VODwiz. The value and niche of VODwiz is Independent Films. A niche that just got bigger.
HHSE initial (first year) target is to have 100,000 subscription customers, averaged at $8.50 per month - for annualized gross revenues of $10.2-million.
Go $HHSE
HHSE-UPLIST-OTCQB:
Audited Financials = Third (3rd) Party Verification = SEC Reporting Standards
Getting Grace trailer
GETTING GRACE
Acclaimed Comedy from Writer-director Daniel Roebuck Follows a Teenaged Girl with Cancer, Who Forges an Unconventional Approach for Dealing with Her Impending Death.
LOS ANGELES, CA / ACCESSWIRE / January 14, 2018 / Hannover House, Inc. (OTC PINK: HHSE) and theatrical affiliate Medallion Releasing, Inc. have entered into an agreement with Getting Grace, LLC, the production company behind the comedy-drama, ''GETTING GRACE'', for a nationwide theatrical release this spring. The award-winning feature was written, produced and directed by Daniel Roebuck. Roebuck is one of Hollywood's most familiar faces. His acting resume spans 35 years and includes popular television hits (MATLOCK, LOST), blockbuster films (THE FUGITIVE), faith-based films (LET THERE BE LIGHT), horror films (HALLOWEEN 2) and one of the Internet's most watched original series (THE MAN IN THE HIGH CASTLE).
In Getting Grace, Roebuck portrays a small-town mortician whose world is rocked by a rambunctious teenaged girl dying of cancer, as she plans for her departure and a better impact lives for those who will survive her. Newcomer Madelyn Dundon plays the title character of Grace; Marsha Dietlen (LITTLE CHILDREN, NEWLYWEDS) plays Grace's mother, Venus; Duane Whitaker (PULP FICTION, HALLOWEEN II) plays Reverend Osbourne, and Dana Ashbrook (TWIN PEAKS) plays the successful and handsome author who challenges Roebuck's character (Bill) in a duel for the romantic attentions of the lovely Venus.
Roebuck produced the film with a team that included his wife, Tammy Roebuck, as well as Mark Rupp and Davie Cabral. The film was executive produced by Samantha Edwards, Mike Molewski, Mick Trombley, Zach Tran, Melanie Molewski and Robert ''R.J.'' Morris. GETTING GRACE was directed by Daniel Roebuck from a screenplay by himself and award-winning writer, Jeff Lewis.
Getting Grace premiered in September at the Northeast Film Festival in Teaneck, New Jersey, where it won Best Feature, Best Director, Best Actress (Madelyn Dundon) and the Audience Choice awards. The film was also exhibited in competition in October at the Adirondack Film Festival, where it won the coveted ''Best of the Best'' Audience Award, over notable contenders (including LOVING VINCENT).
Hannover House and Medallion Releasing will launch the film to theatres in top USA markets commencing March 23, with a campaign that will include non-traditional promotional events and cross-promotions designed to build audience interest. All of the top 20 largest markets are targeted, along with 20 additional key markets that collectively represent theatrical markets with about 80% of the total U.S. population.
''As a filmmaker, who has spent the last nine years bringing our 'Grace' to an audience, I am thrilled to be teaming with Hannover House and my long-time friend, Eric Parkinson,'' Roebuck recently commented from his Los Angeles home. ''Together we are hoping to make history with our extraordinary and unique approach to building audience interest for this film that has, so far, touched people of all ages and all faiths. We can't wait to share Grace with the rest of world!''
LOGLINE: When a spunky teenaged girl with terminal cancer decides to make her own funeral arrangements, she sets in motion a plan that affects all of those around her in unexpected and positive ways.
FILM SYNOPSIS: Audiences would be hard pressed to find a more likeable protagonist in any film. GRACE, the title character, is funny, sarcastic, empathetic and riveting. But, unfortunately, she is going to die.
Although Grace's time is short, her positive impact on the world around her is monumental. The story is about a young girl who knows that she is dying. Grace goes into a funeral home to learn about death and ends up teaching the disenfranchised funeral director, BILL, about life.
We soon learn that while trying to ''hedge the bet'' about her afterlife possibilities she is also trying her best to prepare her mother, VENUS, for a future without her only child. Venus, we learn, is not dealing with the sad imminent truth well and is reverting to her old ways of drinking and ''drugging.''
Simultaneously, Grace humorously hijacks an ironically named ''EMBRACE LIFE'' class offered by her hospital for children dealing with their own fatal diseases, and moves it to the funeral home. Not only does she do her best to teach the adults in her life to live their lives to the fullest, she has the same effect on her peers. And she discovers love, herself.
Grace is also desperately searching for someone to take care of her mother. Will it be Bill, REVEREND OSBURN (the hospital's chaplain) or RON, the charismatic and successful author of a book about the afterlife. Once those around her actually ''GET'' Grace (meaning they finally understand her), every one of them is able to transition to their own new life.
''GETTING GRACE'' is an extraordinary story with a lead character who affects a chain of positive events in the lives of all she come in contact with . . . be they doctors or morticians or her own mother. Through Grace, her loved ones learn that life need not be lived long to be lived fully.
Yowsa! Mega-Success of "IT" video release spurs THOUSANDS of new orders for HHSE's BATTLECREEK!
Corporate Governance: HHSE will be re-filing a Form 10 Registration with two full years of audits (2016 and 2017) early this coming year, during the first few weeks; the CPA review is already underway and much of the documentation and procedural steps for the audit were already assembled during 2017 while planning for the Crimson merger. We feel that a registration of the shares and the subsequent uplist to OTC:QB will attract more investors and some institutional funds... resulting in a higher anticipated daily trading volume, and a predicted much higher HHSE stock price (based on business results, industry fundamentals and the proven power of Shareholder Enthusiasm).
HHSE: NEW DISTRIBUTION PARTNERSHIPS
- Sony Pictures Home Entertainment
- Cinedigm Entertainment
- Random Media (the indie studio headed by former Paramount President Eric Doctorow and indie-film producer Tom Skouras).
32 Consecutive Quarters of Revenues/Profitability
No Dilution in 2 1/2+ Years. No Plans To Ever Again!
Do you have any info on the share structure and the no dilution that you can share?
HHSE New Ventures - With Sony and Cinedigm handling selected HHSE releases, our management time can be redirected towards theatrical releases, higher-end acquisitions (including productions) and our VODWIZ streaming venture. As will be seen in our 2017 filings, theatrical release activities are the engine that is now driving HHSE revenues in all other arenas. Theatrical titles get more shelf space and priority placement when released to home video; theatrical titles get larger license fees from Netflix and Television licensors; and theatrical titles provide two direct revenue streams for HHSE in the form of both servicing fees and revenue participations. The current mass merchant and key video retail support for "BATTLECREEK" evidences the sales boost that a targeted, limited theatrical release can deliver for the subsequent home video release.
Nice! How many other OTC stocks can say they don't need to dilute shareholders!
HHSE The Board believes that Fully Registered Shares will be more attractive to HHSE program suppliers and investors - as well as to institutional investors and hedge funds - and that pursuing these activities now is a good use of ongoing cash flows
HHSE-UPLIST-OTCQB:
Audited Financials = Third (3rd) Party Verification = SEC Reporting Standards
HHSE Successful, Experienced, Respected, Shareholder Friendly Management Dedicated to Building HHSE Based on Business Fundamentals Rather than Stock Promotion.
HHSE Since Going Public in 2010, 32 Consecutive Quarters of Revenues & Profitability out of 32.
Three (3) Rock Solid Foundations Of $HHSE
1.) Successful, Experienced, Respected, Shareholder Friendly Management Dedicated to Building HHSE Based on Business Fundamentals Rather than Stock Promotion.
2.) Since Going Public in 2010, 32 Consecutive Quarters of Revenues & Profitability out of 32.
3.) No Dilution in 2 1/2 Years. No Plans To Ever Again.
Updated Film Library Evaluation ($28,000,000) ~ .035 Per Share
FILM & TV LIBRARY (incl. VODWIZ)* 23,565,337
* HHSE Film Library Valuation is currently being updated to include over 145 DVD titles previously not listed in the 2010 report, along with 23 titles since expired or discontinued. No value has yet been assessed on the 2,215 titles under license for the VODWIZ streaming portal other than those capitalizedand otherwise recoupable amounts due to Company for mastering and preparation costs on titles.
http://www.otcmarkets.com/ajax/showFinancialReportById.pdf?id=177628 ; ; ;
Though a little wordy. In the HHSE Filing below, HHSE feels the new Film Library Evaluation should be $28,000,000. The Evaluators completing the New, Updated HHSE Film Library Evaluation determined it is worth more than $28,000,000.
Item 11 A1-A6 – Supplemental Disclosures.
i). The Company has completed the written and disclosure portions of a Form 10-12(g) Registration Statement, which was previously planned for filing with the Securities and Exchange Commission on or Jan. 15, 2016, subject to the completion of outside audits by a PCAOB licensed auditing firm. The Company has since engaged a qualifying auditing firm and participated in extensive interviews and reviews of filings, reports and back-up materials. As disclosed to shareholders on the HHSE Company blog site on January 30, 2016, the new auditors have made several determinations of material deficiencies in the financials for the Company, specifically, 1). The value of the Film Library relative to all other assets (and the issues of the five-year-aging of the prior Film Library Valuation report, the changing marketplace for physical video sales as compared to the growing market for digital streaming, and the significant exclusions of key titles from the prior Film Library) and 2). The need for Internal Controls and Compliance Documentation that would conform to standards prescribed under Sarbanes-Oxley Act 404. While technically not “advising” the Company on how to conduct internal controls or instructing the Company to conduct a more thorough and current Film Library Valuation Study, the new auditors did clarify that not addressing or rectifying these issues would result in significant comments by the auditors to the Form 10-12(g) audit portion, and this could result in commentary and non-compliance following S.E.C. review of the registration filing. Having the Company’s largest balance sheet asset reviewed under more recent valuation, and having the Company conform to widely accepted Internal Controls Procedures, would be a requirement for the auditors, unless the Company was willing to proceed with significant auditor’s footnote commentary on these issues. Rather than risk having another obstacle impact the S.E.C. acceptance of the Company’s registration, management has taken the steps to conform to these higher disclosure and operational standards.Company anticipates that the updated Form 10-12(g) Registration Filing, including 2-years of full-year audits and a revised and updated Film Library Valuation Report will be submitted to the S.E.C. in the near-term future, subject to the completion of the new Film Library Valuation (it should be noted that Company is seeking to obtain a lowered valuation than the initial figure determined by the new Library Evaluators, which contains sales forecasts for titles greater than Company Management’s estimates. It is Company’s position that a Library Valuation that is significantly higher than forecasts based on Company’s existing, internal self-distribution apparatus, could elevate shareholder expectations higher than management’s more conservative forecasts. While the higher sales values provided by the first Library Valuation report have as a premise the assumption that HHSE will align itself with one of the Major Studios in the coming year, there can be no assurance that such a deal will occur, and as such, management feels that the current Film Library Valuation should reflect existing distribution channels and revenues, and conform closer to management’s estimated current value of $28-mm. A review of sales activities at the Cannes Film Festival and Marche du Film and other relevant agenda items affecting the Company’s Film Library Valuation have occurred over the summer (2016) and the Company feels confident of having reached a consensus with the valuators on the current and anticipated value of each title, by media income stream.
Page 20
HHSE 10-Q For the three-month period ended: June 30, 2016:
http://www.otcmarkets.com/ajax/showFinancialReportById.pdf?id=161112 ; ; ;
Though Final Libary Valuation not released yet, safe to say $28,000,000 Minimum.
$28,000,000 / 799,000,000 = $.03504 = .035 Per Share
This is based on HHSE Film Library Valuation Alone. Does not include any Profits which HHSE has recorded every Quarter since Going Public in 2010.
HHSE