BLOG: Balance Sheet Cleansing & Other Pre-Form 10 Matters
Thursday, January 17, 2019
Balance Sheet Cleansing and other Pre-Form 10 Matters
Greetings HHSE Friends & Followers - As we finalize the last few tweaks in our Form 10 narrative and registration documentation, we are dealing with some issues of balance sheet adjustments.
For instance, some shareholders have noted (with dismay?) that HHSE has finally issued new stock shares after a 41-month freeze on such issuances. A block of 10-mm shares were issued on Monday to a known (but non-affiliate) long in order to restore the Graham Financial Services note to current status (rather than be listed as "in default" for the registration statement). This move improves the company's narrative (to not have any credit lines in default), and has been achieved in a manner which will NOT result in 10-mm shares hitting the open market. At the same time, with the filing of the Form 10, the 10-mm shares issued years ago to TCA Global Master fund are being cancelled.
There are other balance sheet adjustments underway, including the detailed / updated status of all payables, producer royalties, producer recoupment balances, film investments, hard assets and officer deferrals and loans - which are part of the supporting documentation of our current 12-31-2018 filings. While these adjustments are all proving to be "positive" for HHSE, on the "negative side" of the balance sheet impact the value of the company's DVD inventories is being written-down to reflect the dismal state and resale value of the physical DVD market for lesser-known titles. The bottom line is that the registration filing must reflect the most accurate and current data for the company's activities... good, bad or indifferent. It just needs to be disclosed.
On the SALES front, there is some exciting news regarding our ancillary (North American and International) sales for THE RIOT ACT, as well as two new distribution alliances for upcoming titles.
MyFlix also continues to dominate the workload, with the process of signing-up additional suppliers and uploading more titles both building in momentum.
http://hannoverhousemovies.blogspot.com/2019/...r-pre.html
HHSE
Thursday, January 17, 2019
Balance Sheet Cleansing and other Pre-Form 10 Matters
Greetings HHSE Friends & Followers - As we finalize the last few tweaks in our Form 10 narrative and registration documentation, we are dealing with some issues of balance sheet adjustments.
For instance, some shareholders have noted (with dismay?) that HHSE has finally issued new stock shares after a 41-month freeze on such issuances. A block of 10-mm shares were issued on Monday to a known (but non-affiliate) long in order to restore the Graham Financial Services note to current status (rather than be listed as "in default" for the registration statement). This move improves the company's narrative (to not have any credit lines in default), and has been achieved in a manner which will NOT result in 10-mm shares hitting the open market. At the same time, with the filing of the Form 10, the 10-mm shares issued years ago to TCA Global Master fund are being cancelled.
There are other balance sheet adjustments underway, including the detailed / updated status of all payables, producer royalties, producer recoupment balances, film investments, hard assets and officer deferrals and loans - which are part of the supporting documentation of our current 12-31-2018 filings. While these adjustments are all proving to be "positive" for HHSE, on the "negative side" of the balance sheet impact the value of the company's DVD inventories is being written-down to reflect the dismal state and resale value of the physical DVD market for lesser-known titles. The bottom line is that the registration filing must reflect the most accurate and current data for the company's activities... good, bad or indifferent. It just needs to be disclosed.
On the SALES front, there is some exciting news regarding our ancillary (North American and International) sales for THE RIOT ACT, as well as two new distribution alliances for upcoming titles.
MyFlix also continues to dominate the workload, with the process of signing-up additional suppliers and uploading more titles both building in momentum.
http://hannoverhousemovies.blogspot.com/2019/...r-pre.html
HHSE
