Hannover House Inc (HHSE)

[asrmal]

Revised Post - Another hard one to answer. My guess is that 2010 will show 100% loss for Tweleve. So any advance paid to producers (and subsequent scheduled payments) will be written off and all expenses not covered by the "off balance sheet" P&A fund. Don't know how they account for the "off balance sheet" numbers but remember HH has over 700K in payables for Hound Dog on their books which could be the off balance sheet money that was guaranteed to be paid back? {That is just a guess on my part} Everyone should hope that the Twentieth deal is lucrative because they are starting out on paper with negative 2M. The 2M figure is what HH reportedly pledged to the producers for the distribution rights.

EDIT: Engineer is correct. So add the $1.5-MM IN "P&A" COSTS to the 2M guarantee and they will start out at negative 3.5M. What we don't know is maybe Twentieth offered HH a guarantee for the DVD/VOD that's already higher than the the 3.5M. I'll be honest, this day to day drama of this company is far more entertaining than any of the movies they have every put out.