Replies to post #82442 on Hannover House Inc (HHSE)

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"We continue to see significant improvements with each consecutive quarter, delivering increases in both revenues and income," said Fred Shefte , President of Target and Hannover House.

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For the calendar year ending 12-31-2011, the Company forecasts that approximately ninety
percent (90%) of the gross revenues will be derived from the sales, distribution and licensing of
Film & Video properties. The average “gross margin” generated for the benefit of the Company
from the release of Films & Videos is twenty-two percent (22%).

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This is why TDGI is a great investment....


Competitive Position – The Company competes for theatrical screens and retail (home
video) shelf space against seven (7) Major Studio suppliers and approximately eight (8)
independent studio suppliers. While all of the Major Studio competitors operate their
own (in-house) home video distribution divisions, only three of the independent studio
suppliers operate both theatrically and in the home video markets. Operating a home
video releasing label “in-house” provides the Company with an advantage in the
solicitation of titles for acquisition, as well as provides greater control over the
Company?s cash-flow and corporate goals.

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F. Dependence on Major Customers – The only current customer for the Company that
constitutes a greater-than fifteen percent (15%) contribution to gross revenues is WalMart Stores, Inc. (inclusive of sales to their SAM?S Clubs division). The Company does
not see the Wal-Mart market share as an unhealthy dependence on a key customer, as
Wal-Mart constitutes a much smaller share of the Company?s overall revenues than for
many Major Studios, and the Company does not anticipate that the growth in sales to
Wal-Mart Stores, Inc., will grow disproportionately with the Company?s other customers.

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(4) Company has engaged HoganTaylor, LLP, to conduct a full audit of the combined
entities for the 12-months ending 12-31-2010, and a full audit of the Target Development Group,
Inc. activities for the 12-months ending 12-31-2009. Materials, reports and back-up documents
provided to HoganTaylor have been assembled by Company Management, including the
company?s in-house Controller, Eduardo Suarez-Moreno, and Company principals Fred Shefte
and Eric Parkinson. HoganTaylor, LLP is licensed in Arkansas and Oklahoma, with a large staff
of CPAs and auditing / reporting professionals experienced in public company auditing and
financial reporting obligations.

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“Terminator 3000” (aka “T3K”) – An animated, sci-fi feature from the “Terminator”
franchise, set to be directed by Glenn Chaika; subject to the third party rights approvals and
participations. As of Sept. 30, 2011, development of the story and production package for this
film project is continuing.

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In May 2011, the Company entered into a releasing venture with SeaWorld Parks &
Entertainment, Inc. (through their newly formed division, SeaWorld Pictures), to assist with the
financing and releasing of the film, “Turtle: The Incredible Journey.” While the precise terms of
the agreement with SeaWorld are subject to a confidentiality and non-disclosure restriction, the
Company can disclose that the value of the cash and media provided by SeaWorld in support of
the film?s release is approximately four-million dollars (USD $4,000,000).