Good Morning HHSE Friends & Followers - and Happy Pre-Fourth-Of-July Mega Weekend!
Over the past few weeks, HHSE / Crimson managers have received a variety of emails from shareholders asking for greater specificity regarding issues of the merger, operations and strategy. These questions have been consolidated into TEN (10) key subject lines and are briefly addressed below, following a review with counsel as to breadth of disclosure and appropriateness.
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1). WHEN WILL THE STOCK-FOR-STOCK SWAP OCCUR - At this point, we have achieved the requirements to enable us to functionally 'do the swap" at any time (and simultaneously file the final docs with the Nevada S.O.S., and OTC Markets). There are no further regulatory obstacles impeding this final step. However, Crimson Forest is still "not fully current" with their S.E.C. reporting / filing... and we are advised that we cannot change the ticker symbol until "current reporting status" is restored. We do not want to do a stock-for-stock swap of HHSE shares into "CRIM" only to have to repeat some steps days later under the newly approved and issued ticker symbol. Plus, we feel it would be a psychological detriment to exchange robustly trading HHSE shares for Crimson stock while a "STOP" sign still exists on the current Crimson Forest Entertainment Group OTC listings page.
2). WHAT IS THE TIMING AT THIS POINT? HHSE / Crimson engaged a superb PCAOB auditing firm that will be submitting the review letters for 2-28-16 and 2-28-17. This firm imposed some formatting requirements onto the workbooks and back-up for Crimson, which have been handled by a competent outside CPA firm (unaffiliated with either HHSE / Crimson or the auditing firm). Under PCAOB rules and Sarbanes-Oxley procedures, the internal control requirements rise above a consumer-level of QuickBooks and Excel formatting. So we were very excited to have this formatting step completed by a competent team of CPAs. Although our auditing firm has specifically requested that we not predict a particular "day" that they will release the report to us for inclusion in the Crimson filings, we are authorized to say that everything is on track for this to be completed "at some point during July." FYI, July starts tomorrow, and ends in about four weeks from now.
3). ARE THERE ANY MAJOR VENTURES READY TO "JOIN THE FOLD" FOLLOWING THE STOCK-SWAP? Yes, several supplier issues, a major distribution venture, several mid-to-large level funding deals (including P&A Marketing, and VODWIZ), and one very significant corporate acquisition.
4). WILL THE END-FORMULA OF SPLIT (Presently disclosed as being about 57.5% for HHSE and 42.5% for CRIMSON), STAY THE SAME? No, during the course of the filings and various review procedures (including valuation analysis), the value of HHSE vs. Crimson has changed in HHSE's favor... so the final split will be more beneficial to HHSE shareholders.
5). WHAT SORT OF UPDATES CAN YOU PROVIDE ON PREVIOUSLY ANNOUNCED PRODUCTIONS (alphabetically):
Basement, Belle Starr, Delirium, Final Minute, Kung Fu Cowboys, Mother Goose, Shimmer, Shuck & Jive, True Freshman?
Each of these films is in various stages of development, pre-production or production. In respect of our filmmaking teams, investors and co-production partners, we feel that updates for each deserve a separate and more thorough forum than a general blog post summary.
6). WHAT SORT OF UPDATES OR SCHEDULE CAN YOU PROVIDE ON UPCOMING THEATRIAL & VIDEO RELEASES (including):
American United In Support of our Troops, Blood Feast, Dinosaurs of the Jurassic, Extraordinary Mission, Identity Crisis, Ride United, Shockwave, Spices of Liberty, Time Matrix, Where's The Dragon?
Blood Feast, Time Matrix and Where's the Dragon are all upcoming summer theatricals. The other titles are slotted already into our Q3 / Q4 release schedule for home video / VOD. Each merits their individual New Release announcement.
7). ARE THERE ANY NEW "MAJOR" RELEASES FOR 2017 NOT YET ANNOUNCED? Yes, four high-profile, very commercial titles have been acquired for 2017 theatrical release, each meriting separate announcements and fanfare. Each of these titles will also be handled by HHSE / Crimson for home video, VOD, SVOD and Television release (for 2018). Additionally, there are three "specialty" titles that were acquired in Cannes that have not yet been announced - but are expected to be released theatrically in Q4 or Q1 2018.
8). WITH TCA FULLY DISMISSED, ARE THERE ANY OTHER "MATERIAL" LAWSUITS IMPACTING THE COMPANY? While there are still some clean-up issues regarding the resolution settlements with Andersons, Bedrock, JSJ and a few supplier-creditors, Management does not see any of the remaining issues as falling outside of managerial control or the ordinary course of operating a business of this nature.
9). IS THE FINANCING FOR ALL OF THE ENHANCED THEATRICAL RELEASE ACTIVITIES NOW UNDERWAY COMING FROM "CRIMSON" SOURCES OUT OF CHINA? Not at this time. All of the P&A for the next eight (8) significant releases under HHSE / Crimson is being provided by either the producer clients directly, or through a marketing-fund venture (secured against title-specific revenues). The financing associates and affiliates of Crimson Forest in China are primarily interested in title-specific pre-sales of distribution rights into China, which provides a financing mechanism for the films to be produced and distributed by HHSE / Crimson in all other worldwide territories.
10). BOTH OF THE CORPORATE WEBSITES FOR HHSE AND CRIMSON ARE VERY INCOMPLETE AND OUTDATED AT THIS POINT...WHEN WILL HHSE AND CRIMSON HAVE FULLY UP-TO-DATE WEBSITES, DESCRIBING THE COMPANIES, THE STAFF, THE RELEASES? We expect that during July, both the Hannover House.com and CFF.TV sites will be fully updated, and "cross-connected" so that visitors to EITHER site will have access to both catalogs and content.
NEWS: "BLOOD_FEAST" Red-Carpet Premiere July 25, Rating Appeal/Delay
Hannover House to Appeal MPAA Film Rating of NC-17 for “Blood Feast” as National Release Through Regal Cinemas Placed On Hold
LOS ANGELES, CA / ACCESSWIRE / July 24, 2017 / Fans of the long-awaited, official remake of the horror cult-classic "Blood Feast" will be waiting a bit longer. A preliminary film rating of NC-17 by the Motion Picture Association of America’s Classification and Ratings Administration has forced the film’s USA distributors Hannover House, Big Hat and Crimson Forest back into the editing room to comply with exhibitor needs for a "R" rated version. Hannover House (OTC: HHSE) originally planned to release an unrated version of the film, but took the steps to seek a "R" rating from the MPAA at the request of key theatrical chains and home video retailers.
"We did not feel that the material in question was any more intense than scenes from the successful ‘Saw’ or ‘Final Destination’ films", said Hannover House C.E.O. Eric Parkinson. "So, it can be frustrating and sometimes feel like a double standard is applied to smaller, independent releases. But the film ratings team has provided us with specific notes and observations that we intend to address during our upcoming appeal for the more commercially accessible ‘R’ rating," he concluded.
"Blood Feast" was set for a national break on Friday, July 28, through an exclusive theatrical arrangement with mega-exhibitor Regal Entertainment Group, Inc. However, the NC-17 rating is a non-starter for most theatres, as the "R" rating can deliver larger audiences and avoid local restrictions and perceptions that can apply to NC-17 rated films. A new release date and strategy is in the works, said Parkinson.
"We had already scheduled our red-carpet premiere in Hollywood for Tuesday, July 25 at Raleigh Studios. We have many of the principal cast and crew confirmed to attend, as well as the support of the Academy of Science Fiction, Fantasy & Horror Films. Accordingly, the premiere will proceed as planned, and we hope to make a more specific and formal announcement about the film’s release at that time," Parkinson concluded.
The premiere will be held on Tuesday, July 25 at the Charles Chaplin screening room at Raleigh Studios, 5300 Melrose Ave., in Hollywood. A red-carpet photo and interview opportunity will commence at 6:30-pm, followed by the screening at 7:30-pm and a catered reception afterwards until 10:30-pm. Confirmed cast members at the Tuesday event include leads Robert Rusler and Caroline Williams, along with the film’s director, Marcel Walz. Members of the media, including paparazzi, may request to attend the premiere by sending an email to Maryevelyn Jones at Hannover House (ME@HannoverHouse.com), in order to be added to the Raleigh Studios security access list.
"We may end up releasing two versions of the film," Parkinson continued. “Some fans may prefer an unrated, uncut release, while the mainstream theatre chains prefer a ‘R’ rated edit. These and other options are being explored."
The original 1963 film, “Blood Feast” from director Herschel Gordon Lewis, attracted and shocked audiences worldwide before enjoying a lucrative second life as a home video hit that ultimately sold more than 1.5-million units. Now, more than fifty years since the original creation, the official, long-awaited remake will hit theatres across the United States and Canada this summer. Hannover House and Crimson Forest Entertainment Group entered into a distribution agreement with Producer Emsch Schneider, of Austrian-based Illusions, Ltd., for a nationwide theatrical release of the film – which had previously been set to occur through Regal Entertainment Group in USA locations, with Canadian theatres handled by Cineplex Entertainment.
"The enthusiasm for this official remake has been staggering," said Eric Parkinson, C.E.O. of Hannover House. "We’re getting swamped with calls and emails from horror media and fans across the country asking us to make sure that we open at a local theatre, or that they have a large fan group ready to organize an event screening. It didn’t take long for us to recognize that the large following from the original film’s home video release has generated an enthusiastic fan base to see the official remake. Expanding our theatrical plans into a national release during mid-summer shows our confidence in the film’s commercial appeal," he concluded.
The official remake was directed by acclaimed French director Marcel Walz, and features an impressive cast – including an appearance by the 90-year-old Herschel Gordon Lewis, filmed shortly before his death late last year. Other cast members include Robert Rusler ("A Nightmare on Elm Street 2"), Caroline Williams ("Days of Thunder") and Sophie Monk ("The Hills Run Red" and the new "Bachelorette").
Hannover will promote the film’s release through horror-related media and websites, as well as national cable TV ads and in-theatre promotions. Home video and V.O.D. dates are not yet set, but will honor the 90-day hold-back windows as set forth by the National Association of Theatre Owners.
"The fan base is large and quite vocal," Parkinson continued. "We hope to channel this energy into surprising box office results, and establish some positive momentum before hitting the home video and V.O.D. markets in the fall."
Synopsis: Fuad Ramses (Rusler) and his family have moved from the United States to France, where they run an American diner. Since business is not going too well, Fuad also works night shifts in a museum of ancient Egyptian culture. During these long, lonely nights he is repeatedly drawn to a statue representing the seductive ancient goddess Ishtar (Katz). He becomes more and more allured by the goddess as she speaks to him in visions. Eventually he succumbs to her deadly charms.
After this pivotal night, Fuad begins a new life, in which murder and cannibalism become his daily bread. He starts to prepare a ritual feast to honor his new mistress, a lavish affair dripping with blood, organs, and intestines of human victims. As butchered bodies are heaped upon the Altar of Ishtar, Fuad slowly slips further into madness until he is no more than the goddess’ puppet; and she thirsts for the blood of Fuad’s wife and daughter too.
Media support for the film’s North American theatrical release was widespread after the initial announcement plans for a limited release were disclosed. High-traffic, targeted publications and websites that have featured the film’s release include ComingSoon.net, DreadCentral.com, HorrorSociety.com, joblo.com and bloody-disgusting.com among many others.
March 17, 2017 The wait is over: Horror-Film Fans will see the official remake of BLOOD FEAST from Hannover House Gore-meister director HERSCHELL GORDON LEWIS shocked his way into horror film legend with his 1963 gore classic, "BLOOD FEAST." Now, more than 50-years later, producer EMSCH SCHNEIDER and director MARCEL WALZ have re-envisioned the film as bigger budget, European remake, shot in Paris last year. http://hannoverhousemovies.blogspot.com/2017/03/the-wait-is-over-horror-film-fans-will.html
Blood Feast 1963
May 3, 2017 FIRST LOOK: Official Theatrical Poster of "BLOOD FEAST" has Horror Fans and Publications Hungry for More!! "But unlike the original film, this incarnation Blood Feast is no mere camp splatter opus, rather it’s a richly detailed and operatic bit of Eurohorror with some great performances driving it." http://hannoverhousemovies.blogspot.com/2017/05/first-look-official-theatrical-poster.html