OVERVIEW OF CURRENT PROJECTS

To demonstrate our idea of how we will work within the Japanese entertainment industry, we have already developed the following marketing model for Green Gender:


GRAPHIC NOVEL

Sales of graphic novels in the US and Canada generated $395 million in 2008.  In addition, sales were up 17% over 2007. Sales of graphic novels in general bookstores continued to grow faster than in comics shops. Bookstores generated $265 million in sales in 2008, compared to $165 million in sales through the comics shop market (also known as the direct market). Libraries represent $25 million in sales. We hope to continue this trend with a graphic novel lead in to the film, Green Gender, which we believe will generate between $50,000 to $75,000.


VIDEO GAME

Now in pre-production, Green Gender, the home video game, will be our debut production in Japan. Although significant market research does not exist for this market, we do understand our competition and can extrapolate market information from those numbers.

The video game sector will remain one of the above-average growth segments of the global entertainment industries through 2011. Global spending in this sector is set to exceed music spending this year, according to consulting firm PricewaterhouseCoopers.  A video game tie-in with the film and graphic novel is merely=2 0good business sense.


PENMEN ELITE’S METHOD TO CREATE A SUCCESSFUL VIDEO GAME:

Most games are created to augment a film’s profits. Many of these games fail because they have no continuity with the film. At Penmen Elite, the same team that works on the film develops all of its video game titles. We ensure continuity and a better consumer experience, thus increasing consumer satisfaction and sales.

•    We project 250,000 to 500,000 game units sold with a well-received film release. 75,000 to 125,000 units sold would be a standard and acceptable success for the Green Gender video game.


FILM

Plans to start pre-production of the Green Gender motion picture film in the summer of 2011 will require that we compete with films with levels of special effects and marketing that blanket major markets due to the competitive nature of our release date. With this in mind we do not believe ticket sales of $120 million are unreasonable. Secondary markets, such as international DVD sales will contribute to revenue, as will ancillary distribution markets.