Hannover House Inc (HHSE)

[Michael Anderson]

INFO FOR NEW INVESTORS: Dont Miss Out

Off the bat, they are incredibly undervalued and things are really starting to pickup. They are at the ground level of what is going to occur going forward and it is amazing where they are this early in their stage. Management is growing as well as that is easy to see recently. Now, you can add Regal(RGC) to the list of partnerships.

Forward P/E Less than 5?

If we pulled in $350K of net income, like Q1, for each quarter, that would equate to $1.4 million. Even that would be incredible. We already know, we have near $3 million in revenue for Q2 and what lies ahead for the rest of the year.

1.4 million/480 million = EPS of .0029

.025/.0029 = P/E of 8.6

pps of .05 = P/E of 17.2

Seriously, that is ridiculous and unheard of in the pinks. Plus, they are getting their debt paid down, gaining partnerships, and have a ton of releases coming out to theatres and post theatrical. So, $1.4 million net income is probably conservative. We are probably looking at a FORWARD P/E LESS THAN 5

Lets say, Net income ends up at $3 million.

We are looking at a P/E of 4

Even with the stock at .05, that would still put the P/E at 8

This is possible with the post theatrical release of Turtle and other theatrical releases. 4th quarter should be huge


QUARTER 1 2011 RESULTS:
http://www.otcmarkets.com/otciq/ajax/showFinancialReportById.pdf?id=54991

590% Revenue Growth compared to Q1 2010

Revenue: $1.4 million
Net Income: $353.5K


QUARTER 2 2011 RESULTS:
http://www.otcmarkets.com/otciq/ajax/showFinancialReportById.pdf?id=58545
CEO Interview: http://finance.yahoo.com/news/Target-Development-Group-Inc-prnews-3669613367.html?x=0&.v=1

Revenue: $348K + $2.5 million(est. per interview)
Net Income: $4K + ?
* Net income is unknown, but could come in higher than Q1 due to fees received from Seaworld and depending on expenses paid to 20th Century Fox. It is possible net income could surpass $1 million for the quarter


PARTNERSHIPS:

http://finance.yahoo.com/news/December-Video-Releases-Drive-iw-360117672.html?x=0&.v=1

"Twelve" is set in the upscale party-world of privileged teens in New York City, and stars Chace Crawford, Emma Roberts and Curtis '50-Cent' Jackson. The film will be released on DVD, Blu-Ray and Video-On-Demand formats December 28, by 20th Century Fox Home Entertainment under a license with Hannover House. "Twelve" was released by Hannover House to theaters in more than 50 top markets in August.


http://www.prnewswire.com/news-releases/seaworld-parks--entertainment-announces-the-us-release-of-turtle-the-incredible-journey-121390824.html

SeaWorld Parks & Entertainment today announced the launch of "Turtle: The Incredible Journey," a family documentary directed by National Geographic Explorer's Nick Stringer. The film will be distributed in partnership with Hannover House by SeaWorld's newly formed SeaWorld Pictures division. Hannover House is the entertainment unit of Target Development Group


MANAGEMENT DISCUSSION - AUGUST 9, 2011:
http://www.otcmarkets.com/otciq/ajax/showFinancialReportById.pdf?id=57302

A few things:

UPDATE ON AUDIT STATUS – Shefte provided the board with an update on the filing of the tax returns for Target Development Group, Inc. (for the f/y/e 12-31-2009) and how this was an essential step in determining an appropriate starting for the combined entity reports (Target Development Group, Inc., and Truman Press, Inc. for 2010). The company financial data for 2009 and 2010 will be reviewed by Controller Eduardo Suarez-Moreno, along with Shefte and Parkinson this week, and determined if the reporting and back up fully comply with the needs of Hogan Taylor. The Board voted unanimously to move forward with the 2009 and 2010 audits as expeditiously as possible.


NOTIFICATION OF MANAGEMENT INTENTION TO PURCHASE COMPANY STOCK - A discussion was held covering the issue of the purchase of TDGI stock by company managers (specifically, Parkinson and Shefte) and the required disclosures and timing of such actions. Based on the currently low trading price, both Parkinson and Shefte have expressed interest in purchasing significant quantities of shares, pending approval of corporate counsel and applicable disclosures or authorizations that may be relevant under public company regulations and practices. In order to avoid perceived conflicts, the Board voted to approve such purchases under the following conditions:

i). That any such transactions receive the approval of corporate counsel with respect to their legality, disclosure and appropriateness;

ii). That any such transactions be support with the filing of applicable, required and appropriate disclosures;

iii). That any purchases by company managers be delayed until after the posting of the Corporate Compliance Letter and the posting of the Hogan-Taylor audits, in order to remove any perception that the trades occurred with advanced trading information otherwise not publicly known.


TDGI Current and Yield Removed:

They submitted a ton of information and even more than required:
http://www.otcmarkets.com/stock/TDGI/financials




OUSTANDING SHARES: INCREASED ONLY ABOUT 3% IN LAST 18 MONTHS Plus, the T/A is paid to give out share structure.




LIST OF UPCOMING THEATRICAL RELEASES:

-All's Faire In Love

-Cook County

-Asalto Al Cine

-Toys in the Attic

-The Weather Station

-Others yet to be determined


Info pertaining to two films picked up from 2011 Cannes Film Festival(Asalto Al Cine and Toys in the Attic)

"IN THE ATTIC"

Here are some trailers. The #3 message box shows a trailer with American subtitles or directly from youtube with american subtitles.

http://www.dvdmaniacs.net/forums/showthread.php?t=42664

http://www.youtube.com/watch?v=XhwCKa_5ZRk

It at least seems interesting and unique.


Here is another site:
Out of about 100 votes - about 68% rate a 7 or higher out of 10. about 50% rated it a 7 or 8 and about 14% rated a perfect 10/10

http://www.imdb.com/title/tt1342403/ratings


More from the director Jiri Barta:

http://www.ligotti.net/showthread.php?t=1990&highlight=jiri+ style='background-color:yellow;'>barta

He seems to be a very interesting fellow.


More on Jiri Barta:

"Labyrinth of Darkness"(whole movie)

http://www.youtube.com/watch?v=KZTm1GesIXU&feature=related


Jiri Barta's "The Pied Piper" - very interesting read

http://www.kinoeye.org/02/01/kosulicova01_no2.php

More praise for Barta:

Best known for his celebrated stop-motion adaptation of the Grimm fairy tale, The Pied Piper of Hamelin, Czech animator Jiri Barta and his films have remained largely unknown in the United States. Nevertheless, KimStim and Kino (as they have with the short works of fellow Czech animator Jan Svankmajer) have aimed to rectify this with the release of all eight Barta films on the DVD, Labyrinth of Darkness.

At first glance it is easy to see that Svankmajer has been an influence on Barta visually, and to an extent, thematically. However, after watching Barta's films it's just as easy to appreciate how vastly the style of animation and the overall aesthetic approach to filmmaking dramatically shifts. All eight films are remarkable, as the filmmaker employs a number of stunning animating/filmmaking techniques, each perfectly suited to their narrative. Rather than appearing inconsistent, however, it seems that Barta is simply comfortable exploring the medium and consistently uses it to great advantage......

http://intlwalnut.blogspot.com/2007/04/jiri- style='background-color:yellow;'>barta-labyrinth-of-darkness.html

More on Barta and his films:

http://czechproperty.blogspot.com/2010/03/jiri- style='background-color:yellow;'>barta-na-pude.html



He is very interesting and was not in action for awhile, but he seems to be very heralded by reading many things and very popular. This seems like a win and maybe something to work with for a future film as well.



"THE CINEMA HOLD UP"

http://www.indiewire.com/film/the_cinema_hold_up/

Synopsis: Negus, Chale, Sapo, and Chata are teenagers living in Mexico’s Guerrero colony. Friends since childhood, they have too much time on their hands and spend most of it drowning their problems in a constant haze of marijuana, lusting after the opposite sex, and hanging out at skate parks, graffiti hot spots, and hip-hop jam sessions. One day, inspired by the pain of empty pockets and the crush against the gritty boundary between adolescence and adulthood, the foursome have a massive brainstorm that will solve all of their problems—they decide to rob the local cinema. Each finds his or her reason to go ahead with the caper, unaware that the ordeal may threaten the only thing they have—their friendship. "The Cinema Hold Up" is a vibrant, authentic, and wonderfully observed portrait of the tempo and texture of today’s Mexican youth culture. First-time feature director Iria Gómez Concheiro draws pitch-perfect performances from the talented ensemble cast and registers a strong and original voice in Mexican cinema. [Synopsis provided by the Sundance Institute]


http://sundance.slated.com/2011/films/thecinemaholdup_sundance2011

- It shows screenings, ratings and more info about the film



I definitely doubt that it holds anything to City of God, but it could have some promise. Reading several different things, there does seem to be critiques. One that seems sto be an issue, is that the subtitles are very poor and come in and out too quickly. That seems like something that can be fixed if there is a bigger release though


Here are a couple of reviews: one good and one bad

BAD

http://www.slashfilm.com/cinema-hold-mexican-teens-rob-movie-theater-fake-guns-sundance-review/


GOOD

http://www.pajiba.com/film_reviews/the-cinema-holdup-i-guess-wanting-your-money-back-after-seeing-the-latest-kate-hudson-suckfest-isnt-just-an-american-thing.php


I have read about 7 or 8 reviews and most are in the middle or no depth. These are two that stood out to me. The good review seems to give a better and more comprehensive outlay of the film. The author also makes the suggestion of cleaning up the subtitles to the company that purchases this film...nudge...nudge(So HH clean it up). It makes sense that just by cleaning that up, it could make a huge difference as the audience can focus better, it will flow better, and will allow the story to unfold much better. This does seem like something that MUST be done.


The more and more I think about it, the recent pickups from the Cannes Festival could be better than imagined. It seems small at first glance, but I believe these will be something to work off for the long term and in a variety of ways. I havent even checked out the third film they picked up yet.

"The Cinema Hold Up" has very good potential especially if the subtitles are cleaned up. I dont expect it to do anything special in theatres in the US, but in Latino areas it could do very well and it could get good word of mouth and do very well on video.

"The Attic" and in particular, the director, Jiri Barta have so many things that can work in our favor. Jiri Barta is a very creative and artistic mind and could create buzz with the right push. Jiri Barta has many films and short films he has created and if HH can gain a relationship with this, then they can help market his previous package of products on to DVD in the states. There could also be the possibility of future ventures if things go well initially and HH is willing to back his creativity and help bring his style here. This is just wishful thinking, but something I can see as possible. Other than that, what we have in front of us, is "The Attic" and has enough oddity, creativity, and high reviews, to have a huge impact now and going forward with future ventures. This pickup has me excited the most for the future and not just a one stop shop.


Even better news in regards to "Toys in the Attic"
http://finance.yahoo.com/news/Hannover-House-Targets-Awards-prnews-1323416075.html?x=0&.v=1

Hannover House and Eurocine International have begun re-recording and re-voicing the film into English, and plan to pursue several awards opportunities. The English language talent includes three major stars, to be announced in September along with theatrical release details.


Still in Theatres and going to DVD in November 2011:
"Turtle: The Incredible Journey"




http://finance.yahoo.com/news/Turtle-The-Incredible-Journey-prnews-1275242419.html?x=0&.v=1

"We're very excited by the positive response from major retailers to our home video release plans," said Eric Parkinson, C.E.O. of Hannover House and Target Development Group, Inc. "We expect the title to be available through almost all of the major mass merchants and video specialty retailers, due in part to the notable video sales successes achieved with other, high-profile nature programs," he continued.

Based on the film's reviews and theatrical visibility, Hannover House compares the video sales potential of "Turtle" to the ranges achieved for the BBC / Discovery Channel "Planet Earth" series, or other nature-themed theatrical titles such as "March of the Penguins," "Disney Nature's Earth" or "Life." The film was released in a partnership with SeaWorld Pictures, the recently formed division of SeaWorld Parks & Entertainment, Inc.



Overall, how can you not like what this company has to offer? As I stated, things are just getting going and they are beginning to deliver. An audit and an uplist is on the way. They are earnings positive, crazy cheap, and they barely dilute. There is a lot more to add in between all of this stuff, but this shows what is going on with TDGI and why many are invested