RE:RE:RE:RE:Ouch, looking at some here ya think we should all beRabiddoberman,I also stood to be corrected.
I`m going by the simple basics of what we were told many times.
WE started with 25% of profit with every movie rented, then we climbed to 30% with new adjustments from the manufacturers.
That supposses to be the bottom line, now how they come to or do it on the Financials with their creative accounting I don`t know.
That`s why i mentioned about deferrerd revenues,carry overs,credits etc, there`s lots of room to hide and seek, I love numbers but I`m not an accountant by any means,it`s a different game.
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As you can seee with the Studios the formula is very complicated and you can carry over years, claim in different quarters and like this example some of it never to be recouped.
18. COMMITMENTS
(a) Advances on royalty payments
Under licensing agreements (see note 5), the Company has committed to pay an amount of
$1,404,317 in the form of advances on royalty payments. The Company estimates that a portion
of $968,041 will become payable in the short term and $436,275 will be due within two years and
that an amount of $342,453 will not be recovered by future rental revenues.
This is for the last Financials, it means that very soon we have to pay $968.041, it does not say when but soon and can be inserted in Q1-Q2 or Q3, the rest $436.275 due within 2 years and again can be inserted in any quarter chosen and the last one $342.000 will not be recovered by future rental revenues, bye bye to a nice chunk of money "again".
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On the portals-platforms Neulion-Deluxe charged $250.000 for the Panasonic platform, I imagine at least the same for the LG and Samsung ones, that`s all expenses for 3DGo that sometimes are hard to find specially when SIO-3DGo and thrown together.
WE will need new architecture and more platforms yet for the Intnl Launch and to the all streaming devices.
As many movies as we need to break even it will be many many years before we recoup the 3DGo investment which is still ongoing as stated by Routhier at the last CC
So I was just going with the basics on the "movie rentals alone".
Maybe some of the heavy hitters in this Board can jump in.
Cheers.