ITEM 7. MANAGEMENT'S DISCUSSION AND ANALYSIS OF FINANCIAL CONDITION AND RESULTS OF OPERATION
The following discussion and analysis should be read in conjunction with our financial statements, including the notes thereto, appearing elsewhere in this Annual Report.
PRINCIPLES OF CONSOLIDATION
We operate under the name of Red Giant Entertainment, Inc. and our wholly owned subsidiaries Active Media, LLC and ComicGenesis, LLC. The companies have been incorporated for the intentions of developing brand names. The wholly owned companies are inactive. Any activities of these subsidiaries or holdings have been included in our consolidated financial statements, with elimination of any intercompany accounts and transactions.
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