InvestorsHub Logo
Followers 29
Posts 3383
Boards Moderated 1
Alias Born 02/18/2006

Re: None

Monday, 01/18/2010 1:42:35 PM

Monday, January 18, 2010 1:42:35 PM

Post# of 24326
TDGI

FILING IS ON PINKSHEETS

http://www.pinksheets.com/otciq/ajax/showFinancialReportById.pdf?id=27997

Excluding the value of the ongoing operations of
Hannover, the direct and immediate balance sheet benefit of the Hannover House assets and
library relative to the total number of Target shares exchanged to acquire Hannover represents a
valuation of approximately $.13 per share.

Target has also initiated discussions with several significant funding sources for an offbalance-
sheet financing for $16.5-million, to be utilized in pursuit of the purchase of a major film
franchise, details for which are subject to non-disclosure and confidentiality agreements (the
“Franchise Venture”).

Based upon the Company’s current release slate of
30 video releases, 4 theatrical titles and 5 books in 2010 (as well as revenues to be derived from
the Company’s existing library plus the Elite Entertainment and FOCUSFilm libraries),
management forecasts $17-million as “Base Business” gross revenues for 2010, with pre-tax
margins of approximately $3.75-million.
VI-b). Key Title Anticipated Forecasts for 2010 – Subject to the Company’s successful
closing of the financing venture for the P&A Fund (or any other comparable financing venture),
and subject to the acquisition of at least two of the key titles now being pursued for national
theatrical release, Target-Hannover believes that an additional $22-million in gross revenues
(generating an additional $4.8-million in pre-tax margins) is realistically obtainable to be added
to the Company’s base Business Forecasts for 2010.



For 2010 and 2011, Target-Hannover forecast sales
from these two libraries along with the new release titles being provided from these two
companies is expected to generate approximately $6.3-million in gross revenues, with fees and
other margins to Target-Hannover of approximately $1.26-million (plus recoupment of all costs,
including the acquisition advance).

Based upon Target-Hannover’s current
release plans for each of these two titles (to theaters, television and video markets), the Company
forecasts gross sales of approximately $12-million with fees and margins of approximately $3-
million, most of which are expected to be realized during 2010.

Four of the key titles currently being pursued by
Target-Hannover would likely be characterized as “major release” titles, each capable of
generating $40-million or more in domestic revenues.

In December, Hannover executed agreements with Central
Film Company and Plaza Entertainment authorizing Target-Hannover to be the USA distributor
for a total of ten new release video titles. The acquisition cost for these titles was limited to art
and master delivery material expenses. For 2010 and 2011, Target-Hannover forecast sales from
these ten titles to generate approximately $1.5-million in gross revenues, with fees and other
margins to Target-Hannover of approximately $375,000 (plus recoupment of all costs).

Under the terms of the acquisition and stock-swap agreement, Parkinson and Shefte
exchanged one-hundred-percent (100%) of the shares of Truman Press, Inc., d/b/a “Hannover
House” for 159,336,082 restricted shares of Target Development Group, Inc. common stock,
collectively representing sixty-one percent (61%) of the total shares in issue following the
completion of the acquisition and stock swap agreement


Join the InvestorsHub Community

Register for free to join our community of investors and share your ideas. You will also get access to streaming quotes, interactive charts, trades, portfolio, live options flow and more tools.