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Alias Born 08/23/2006

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Thursday, 09/28/2006 8:28:45 AM

Thursday, September 28, 2006 8:28:45 AM

Post# of 46577
Staying focused ....

Earnings Potential

RMD earns approximately $10.00 US on average per cd sold. This is an average of both the North American revenue received from Bungalo Records (exclusively distributed by Universal Music) and The Pickwick Group in European markets.

Management also feels confident that with our vast digital distribution network, we will at least equal the earnings we receive from cd sales with our download and ring-tone revenue. When we look closely at the numbers we can clearly see the potential for major revenue for each album we release through our distribution system. See revenue scenarios below.


Roc Monee "Diamond in the Rough"
IF THEN
CD units sold CD revenue Digital Sales Total revenue
100,000 $1,000,000 $1,000,000 $2,000,000
250,000 $2,500,000 $2,500,000 $5,000,000
500,000(gold sales) $5,000,000 $5,000,000 $10,000,000
1,000,000 $10,000,000 $10,000,000 $20,000,000


Strategic Initiative

With a lower overhead structure than many major labels we don't have to go platinum with every release to see significant profits from our music division. We have successfully executed a plan to release no less than six album projects per fiscal year. Our next release is in the first quarter of 2007 with our artist Big Kuntree. Additional artists are being added to our current roster as we speak and announcements are forthcoming as contracts are completed with each one. In addition, we are in discussions with several other formidable music entities about providing them with one stop global distribution on all platforms. This will significantly increase our inventory which will have a huge impact on our number of releases during the year.