Reeltime Rentals Inc (RLTR)

[tigerpac]

I'd love to see how Reeltime is going to structure this transaction.

Wonder if they will use their own barter system to pay for NWBB/Discount Ad Brokers?

http://nwbbi.com/blog.htm

This is how DAB books their revenue....

Increasing revenues in a public company environment In a public company environment reporting a steady flow of revenue increases can be a significant portion of the sales strategy being considered. In these situations the use of a barter based sales strategy has several significant advantages while operating that sales strategy through Barter Media Brokers (BMB) can maximize those advantages.

In a structured media based barter deal revenues are booked at the contract value of the campaign while COGS figures are booked at the cash cost of fulfilling on the media plan utilizing the highly discounted acquisition costs available through the BMB model.

For example, a current contract opportunity with a major hotel group calls for a $400,000 TV campaign over a 6 month ad flight. This would be booked as $400,000 in sales. The fulfillment cost of the campaign is contracted at $180,000 resulting in an initial gross margin of 55%. This however is only half of the equation. A result of the corporate barter model is that the $400,000 in sales is paid by the hotel group, not in cash, but in room nights. This provides for an additional revenue through the conversion of the room nights into cash conservatively at $200,000. This provides for a total of $600,000 of revenues for a total COGS of $180,000 with a net positive cash flow