Welcome to the Hannover House Investor Relations Blog

Tuesday, September 30, 2014

HHSE scores major new account with FAMILY VIDEO!

"VALLEY OF THE WITCH" and "POSSESSION WITHIN" are the first new titles from Hannover House to be placed into the rapidly growing FAMILY VIDEO chain!  Although many pundits declared that "video rental specialty stores" were dead after Blockbuster corporate closed, the reality is that FAMILY VIDEO keeps on growing-and-expanding to new markets.  This Glenview, IL (Chicago)-based chain now has 802 stores in the USA, with dozens more planned for the coming months.

How can Family Video achieve this success in an evolving industry?  According to a survey of Family Video customers, their customers PREFER the opportunity to browse a video store environment in search a rental DVD to discover.  Viewing only a handful of titles that are available through KIOSKS or (current) STREAMING SITES does not give these movie consumers the breadth of selection that they want from home entertainment.  Sounds sort of like the VODwiz market analysis... except that Family Video is fulfilling the consumer demand with bricks-and-mortar physical stores, over 8,000 employees, and close to a billion in revenues!

Hannover House continues to add major accounts like FAMILY VIDEO, HARPS, KROGERS and LOVES to our list of key retailers.  While Wal-mart, Redbox, Netflix and Best Buy continue to dominate the HHSE quarterly sales, having a broader base of retail customers creates greater revenues and greater stability as the company grows!

Redwood Management completes conversion of TCA debt settlement

While HHSE wishes the timing were about two weeks into the future, the reality is that Redwood Management took advantage of the artificially low PPS for Hannover House and elected to convert their final traunch of shares under the previously announced TCA settlement.  We are told that Redwood plans to hold these shares in anticipation of major corporate events about to unfold for HHSE that should enable the PPS to rapidly ascend.

HHSE management knows that the idea of MORE shares being in the float today is the last thing that our longs want to hear.  HHSE agreed to not pursue any new debt conversions, as this previously entered August settlement with TCA was already responsible for over 20-mm new shares.  It's bad timing to have issued another 12-mm+ shares at this time... but this was not in HHSE's control.  Redwood had the option to convert at anytime prior to Nov. 15, and they chose RIGHT NOW (actually, on Sept. 26) due to the absurdly low, temporary pricing for the stock.  They saw an opportunity for multiple returns as the PPS recovers, and we understand that motivation. 

We realize that this is not what any of our longs wanted to hear or to happen right now. But we will always tell you exactly what is happening, exactly like it is. The TCA deal was a burdensome and nonfunctional deal for HHSE and we needed to get it removed as a financing obstacle.  Redwood purchased the largest share of their debt under a conversion that enabled them to receive shares from Sept. 1 to mid-November.  In retrospect, it might have been better to simply issue ALL shares on the initial closing day.  But HHSE thought we were protecting the flow of new shares into the market with a staggered release. With the PPS now at a 2-year low, more shares seems poorly timed for all parties except Redwood. They are aware of our pending filings and new activities and see an opportunity for significant gains. We understand this motivation, but are still sick-to-our stomachs about the timing.

AS PROMISED - HHSE will be filing a new Form 8 CONFIRMING that there are no new debt conversions to occur prior to the filing of the Form 10 registration (and probably not even then).

Monday, September 29, 2014

Excellent buy opportunity for HHSE!

Amazing!  Artificial pressures completely unrelated to reality and the company's business have created an AMAZING buy opportunity for HHSE Stock right now!  Won't take much buying to CRUSH THESE DOWN-PRESSURE GUYS and make 10-X quickly as the stock rebounds!

Hey Folks Guess What?!  IT'S COMPLETELY LEGAL for HHSE Management to publicly state that the stock is UNDERVALUED BY MORE THAN A FACTOR OF 10-X!!  We think the stock is worth over $.10 per share based on Industry Price-Earnings Ratios, and the new activities launching in the next few weeks (i.e., the Form 10 filing, the VODwiz roll-out and the Nov. 7th release of ON ANY SUNDAY to theatres nationwide).  DON'T LET THE NAYSAYERS CONVINCE YOU that the stock is worth the artificially low price that they have cleverly / illegally manipulated down at present.  Their days are very short - not only from HHSE performing on our projects - but also because "we know something very significant about them" that they apparently are unaware of.

FYI - HHSE Management has made it clear that there will be NO MORE debt conversions until after the posting of the Form 10 and audits (and EVEN THEN, there are no plans being considered for any more conversions).

The stock pressures impacting HHSE right now are from speculators hoping to induce panic selling from longs, so that they can complete a "poop and scoop" of valuable HHSE shares at under $.01.  These traders KNOW that the stock would be $.10 per share if not boxed artificially.  Someone is going to make a LOT of money when the stock pops back to $.03 or higher... let's hope it's the GOOD GUYS that see this rise, and not the poopers!!

* * * * *

UPDATE:  DECEMBER 16, 2014 - Approximately ten weeks ago, when the above Blog was posted, HHSE managers believed that the filing of the Form 10 was only a few weeks away, and that its completion would signal a rise in the PPS and general financial health of the company.  Now, in retrospect, it's quite clear that the Form 10 project was substantially more difficult and time consuming that expected.  In response to the company's urgent need to create a financing structure for the fulfillment of record video presales (including "On Any Sunday", "American Justice", "Dinosaurs of the Jurassic" and "Asalto Al Cine"), the immediate closing of a debt transaction to benefit the National Bank of California and Fantastic Films required that a financing be closed now, in December, and prior to the filing of the Form 10 Registration Statement.  While the above blog was true and reasonable at the time it was first published - circumstances over the following ten weeks required that HHSE managers make decisions based on new realities, that were in the best interests of the Company's health (even, if such choices were contrary to earlier goals and statements).  We could have stuck to the earlier goal of no new debt conversions - certainly this was the preference of management - but doing so would have jeopardize the manufacturing and fulfillment of Q1 sales.  Business must be capable of adjusting to changing circumstances.  Otherwise, it's like trying to fight a battle on the field, and then ignoring an unforeseen airstrike because the original attack plan did not anticipate airstrikes.  Perhaps some would praise that said managers "stuck to the plan" - but if the end result is defeat, which is the wiser strategy?

To avoid future shareholder conflicts which might arise in the face of changing circumstances, HHSE will hereafter be more circumspect in disclosing "predictions" of future and ever-changing events.

We have struggled with the mutually exclusive goals of being open and transparent with the conflicting reality that HHSE must be capable of quickly adjusting to changing circumstances.  Did we know that the Form 10 would take MONTHS rather than weeks to complete?  No.  Did we know that our new release pre-orders would greatly exceed our manufacturing credit access, and require new financing? No.  Did we know that a resolution of the NB Cal debt would be required by all new lenders?  No.  None of those things were known - although we were certainly hopeful for big preorders.  The bashers would like for HHSE to go out of business, but we won't oblige them.  As circumstances change, the HHSE managers must make prudent and reasonable decisions that are in the best interests of the Company.  But then the bashers get to call us "liars" because we deviated from a plan or goal published months earlier.  Of course they would do that.  They don't want HHSE to survive and thrive.  They would rather we NOT make  smart decisions based on changing realities to that they can post "liar-liar-pants-on-fire!" The correct and logical response to our debt transaction today would have been, "good move to protect the Q1 shipments, but we wish it didn't have to happen right now."  HHSE managers agree.

SO, blog postings will no longer discuss anticipated future events - unless required under pubco disclosure rules.  This won't stop the bashers from grasping frantically to find something to criticize, it's their stated goal to do so.  But it will avoid upsetting our legitimate shareholders, and it is to those persons that we owe our loyalty.

Thursday, September 25, 2014

It's a Work of Art - Truly!!

The key art illustration commissioned by Redbull for the release of "On Any Sunday: The Next Chapter" is a stunning and collectible image. Truly a work of art.

HHSE execs were on hand for the press check today.  Don't worry: the "mirror image" effect seen on the backside of the posters make the colors more vibrant when displayed in theatre lobby light boxes. It's a distribution marketing secret to make the posters look better.  As can be seen in the second photo, the front text on the posters appears properly.

Pictured: Tom Sims and Eric Parkinson / bottom Caitlin McKenzie with pressman.

Wednesday, September 24, 2014

Money in the Bank - a reasonable analysis of getting a HUGE ROI off HHSE

Good afternoon HHSE shareholders & followers - Over the past two months, Hannover House has released approx. 39-million shares "into the float" which represent 6% of the total of authorized shares for the company.  The release of new shares for debts and promotions was initially disclosed in December, and discussed at length at the annual shareholder's meeting in February and in subsequent blogs.  Accordingly, neither of the statements that this action came "out of nowhere" or represents a "dramatic amount" of new shares is true.  But with 33% of trades yesterday coming as short sales (over THREE-MILLION Shares yesterday, see below), it's obvious that there are some traders who want you to THINK that there's both a massive dilution and a massive dumping of shares from longs.  Why?  Because they have exposed themselves to millions of short sales - and are doing so again today - in hopes of persuading someone to panic and sell their HHSE shares at a loss.

This is actually a tremendous OPPORTUNITY for longs.  All you need to do is sit back and watch as Hannover achieves all of the corporate benchmarks detailed in our Shareholder newsletter.  If no one will sell to the short-sellers, then they will be forced to COVER the sales and the price will stop being artificially suppressed.

One item not discussed in the press release today was the ongoing activities of the FBI in working with Hannover House to track and build a case against those manipulating the stock or spreading false and malicious statements.  Over the past few days, the primary ring-leader of the short sellers has made public posts and other communications that quite clearly state his activities and intentions.  While these motives have been known for some time, proving them has just been made much easier, and HHSE is excited about immediately taking this enforcement action to the next level.

HHSE management remains confident in our valuation that the stock is worth over $.10 per share.  In the next few weeks - with all of the issues completed - the market should realize this as well.

Thank you for your support, and thank you for holding strong.  You will not be disappointed.

* * * * *

Dear HHSE Investor Relations:

Here is your Buyins.net RegSHO Compliance Alert for September 23rd, 2014. Our RegSHO Compliance Service helps to protect HHSE from short sellers and market makers that are violating the more stringent RegSHO market integrity provisions recently enacted. We are monitoring the trading activity in HHSE and here is today’s report:
Total Trading Volume:  9295533
Daily Short Volume: 3052647
Avg. Price of Shorts Today:  0.007
Short %: 32.84
Volume at Offer:  5620588
Buy%:  60.470
Volume at Bid:  3674945
Sell%: 39.530
Shares Crossed: 0.000
Cross%: 0.000
Net Buying vs. Selling: 1945643
Price Change:  -0.00210
Friction Factor: 0

Tuesday, September 16, 2014

Another creditor - judgment issue resolved by Hannover House

Greetings HHSE Followers - We are writing today in response to another mistaken IHUB post.  The clown-squad is great at finding SOME court documents, but oddly, they cannot ever seem to find ALL of the documents to correctly characterize a situation (unless it can be misrepresented to look "bad" against Hannover House).

ADS Group provided some DVD replication for Origin Films / Phoenix Group ("Humans Vs Zombies") about two years ago.  We were not informed that these costs were not paid until very recently when a collection agent for ADS reached out to Hannover House.  While we were reluctant to accept responsibility for bills on an outside party's title, we began making monthly payments and deducting these from amounts due as royalties to the producers.

A few days ago, HHSE was surprised to receive a letter in the mail indicating that the company had neglected to make some sort of response filing in a Default Judgment matter!  Apparently, the collection attorney for ADS had "served" the Wyoming Registered Agent, who never forwarded any notice to Hannover House.  So we were never directly served (although "legally" the collection attorney DID make service of process).  Needless to say, Wyoming Registered Agent is freaked out, and apologetic (and insured).

Meanwhile Fred Shefte and George B. Morton (local counsel) contacted the attorney in the matter yesterday and got the case resolved.

End of story.  Probably won't be the end of the erroneous "basher" attacks on the matter. But remember, the HHSE management is REQUIRED to be truthful, and the clown-squad won't even use their real names!  Consider the source, and remember how STOOPID they looked last weekend in trying to stir up baloney about a fully satisfied judgment.  Weird, that they always can find PART of the court filings, but never "the good stuff" that shows that Hannover House has honored our corporate obligations, including those that sometimes are not directly our responsibility!

UPDATE (9-19-14) - HHSE SHAREHOLDERS PLEASE NOTE!  Do not be mislead by false posts on IHUB - including one today (Sept. 19) that reprints a filing in this matter that was made BEFORE the case was resolved!  That's a pretty absurd (and desperate ) attempt to misrepresent reality.  This topic was asked and answered (above) days ago (and it was for pocket-change of $8,850), so it was NEVER anything relevant or material in nature.  To post documents on IHUB that were issued prior to a resolution is as ridiculous as going back in time and stating that NETFLIX  HAS  NO Studio Partners (which at one point in time, was true, but which has no bearing on reality today).  One of the clown-squad posted about a ficticious telephone call to Fred Shefte (purportedly in Oct. 2013, which Shefte denies having), in which supposedly - AT THAT TIME 11 MONTHS AGO - Shefte said that no studio partners had yet signed the VODwiz agreement.  To be clear, VODwiz has TWELVE studio partners now, fully committed, signed and on-boarding.  Was there a point in time that VODwiz had no studio partners for VODwiz?  Of course there was... a long time ago!  How silly to not realize that.  It's like claiming to know the score of the Superbowl before it happens.  The answer:  zero-to-zero before the game happens.  It's the end results that matter, not the nascent beginnings in business, life and sports!  Silly puppies!

Monday, September 15, 2014

Settlement of TCA Credit Facililty results in 8-mm Share Increase for HHSE

Dear HHSE Shareholders - Hannover House has filed a Form 8 information statement today about two pieces of news.  The first is a good thing: the releasing venture with Redbull Media House is fully executed and the film release activities are in progress.  "ON ANY SUNDAY: THE NEXT CHAPTER" is expected to be the highest grossing theatrical and home video release ever for Hannover House... and we're very excited to be partnered with a multi-billion dollar company like Redbull. They also own and control a valuable library of other motorsports features and television programming... so there may be future opportunities.

The second item on the Form 8-k is not going to feel positive on the surface.  But upon further analysis, we're confident that reasonable minds will concur.  The credit line venture entered into with TCA Global Master Fund last May never worked to the satisfaction of Hannover House.  Furthermore, the structure of the UCC Security Interest held by TCA under the venture created obstacles for Hannover House to close other financing opportunities - including the banking of valuable international pre-sale agreements for major features.  In order for Hannover House to proceed with the bigger projects, some sort of settlement and resolution with TCA was required - and as a means to provide the initial cash payment that TCA demanded ($150,000) - a debt-conversion arrangement was structured through Redwood Management.  This resulted in the release of approx. 18-mm shares to Redwood, and the return of 10-mm shares previously held by TCA as collateral.

While the timing of this transaction arguably could not be worse - due to current low pricing in the PPS - the need to release the TCA security interest was paramount in order for Hannover House to continue forward progress on the major titles that we feel will drive the company's revenues and stature in 2015. 

The remaining balance due to TCA (approx. $300,000) will be paid in cash by Hannover House from producer fees contained within existing financing contracts for two major feature productions.


Washington, D.C. 20549





Pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934

Date of Report (Date of earliest event reported):  September 15, 2014


Hannover House, Inc.

(Exact name of registrant as specified in its charter)


(State or Other Jurisdiction
(I.R.S. Employer
of Incorporation or Organization)
File Number)
Identification No.)

1428 Chester Street, Springdale, AR 72764
(Address of Principal Executive Offices) (Zip Code)

(Registrant’s telephone number, including area code)

f/k/a "Target Development Group, Inc."

f/k/a "Mindset Interactive Corp."

330 Clematis Street, Suite 217, West Palm Beach, Florida 33401 (561) 514-0936
(Former name or former address and former fiscal year, if changed since last report)


Check the appropriate box below if the Form 8-K filing is intended to simultaneously satisfy the filing obligation of the registrant under any of the following provisions:

Written communications pursuant to Rule 425 under the Securities Act (17 CFR 230.425)


Soliciting material pursuant to Rule 14a-12 under the Exchange Act (17 CFR 240.14a-12)


Pre-commencement communications pursuant to Rule 14d-2(b) under the Exchange Act (17 CFR 240.14d-2(b))


Pre-commencement communications pursuant to Rule 13e-4(c) under the Exchange Act (17 CFR 240.13e-4(c))





Item 1.01
Entry into a Material Definitive Agreement.  Hannover House, Inc. (“Company”) has entered into a theatrical releasing and home video venture with Redbull Media House (“Redbull”) for the motorsports feature film documentary “On Any Sunday: The Next Chapter.”  Under the terms of the agreement, Redbull shall finance the theatrical releasing costs to enable Hannover House to open the film on approximately 260 screens beginning November 7, 2014.  Company shall also release the film to DVD and Blu-Ray home video on February 10, 2015 under terms and conditions that are customary and consistent with other acquisitions of this caliber.  The Company expects to benefit significantly with enhanced awareness and consumer demand to see the movie, which is expected to be driven by the media exposure, advertising and publicity activities being funded by Redbull’s promotional and marketing teams.  The film was rated by the MPAA on Friday, Sept. 12, and earned a “PG” rating.  Theatre circuits that have offered to support the release include AMC, Carmike, Cinemark, Malco and Regal Entertainment Group.  A promotional website for the film has been published at:  www.OnAnySundayFilm.com
Item 1.02
Termination of a Material Definitive Agreement.  Hannover House, Inc. ("Company") has terminated a corporate financing agreement that had been previously entered into in May, 2013 with TCA Global Master Fund.  Per the terms of the mutually agreed dissolution, TCA will return to Hannover House ten-million (10,000,000) collateral shares of common stock, and will be paid three-hundred-thousand dollars (USD $300,000) by Hannover House over the next six months.  An additional, initial payment of approximately one-hundred-fifty-thousand dollars (USD $150,000) shall be paid by Redwood Management, under a debt-purchase structure calling for the release of 18,270,543 shares of common stock.
Hannover House management feels that the dissolution and resolution of the credit facility from TCA is in the company’s best interest.  The revolving structure and credit caps were impeding the company from pursuing other (more traditional) forms of operating financing.
The net result to the Company's current share structure resulting from both the termination of the TCA credit facility is as follows:
Current Total Shares In Issue (June 30, 2014): 598,338,905
Collateral Shares to be surrendered by T.C.A.:     <10,000,000>
Shares to Redwood for Settlement Payment:           18,270,543
Revised Total O.S After Both Transactions:     606,609,448
Item 1.03
Bankruptcy or Receivership.  Not Applicable.


Item 2.01
Completion of Acquisition or Disposition of Assets.  Not Applicable.
Item 2.02
Results of Operations and Financial Condition.  Not Applicable.
Item 2.03
Creation of a Direct Financial Obligation or an Obligation under an Off-Balance Sheet Arrangement of a Registrant.  Not Applicable.
Item 2.04
Triggering Events That Accelerate or Increase a Direct Financial Obligation or an Obligation under an Off-Balance Sheet Arrangement.  Not Applicable.
Item 2.05
Costs Associated with Exit or Disposal Activities.  Not Applicable.
Item 2.06
Material Impairments.  Not Applicable.


Item 3.01
Notice of Delisting or Failure to Satisfy a Continued Listing Rule or Standard; Transfer of Listing.  Not Applicable.
Item 3.02
Unregistered Sales of Equity Securities.  Not Applicable.
Item 3.03
Material Modification to Rights of Security Holders.  Not Applicable.


Item 4.01
Changes in Registrant’s Certifying Accountant.  Not Applicable.
Item 4.02
Non-Reliance on Previously Issued Financial Statements or a Related Audit Report or Completed Interim Review.  Not Applicable.


Item 5.01
Changes in Control of Registrant.  Not Applicable.
Item 5.02
Departure of Directors or Certain Officers; Election of Directors; Appointment of Certain Officers; Compensatory Arrangements of Certain Officers.  Not Applicable.
Item 5.03
Amendments to Articles of Incorporation or Bylaws; Change in Fiscal Year. Not Applicable.
Item 5.04
Temporary Suspension of Trading Under Registrant's Employee Benefit Plans.  Not Applicable.
Item 5.05
Amendments to the Registrant’s Code of Ethics, or Waiver of a Provision of the Code of Ethics.  Not Applicable.
Item 5.06
Change in Shell Company Status.  Not Applicable.


Item 6.01
ABS Informational and Computational Material.  Not Applicable.
Item 6.02
Changes in Servicer or Trustee.  Not Applicable.
Item 6.03
Change in Credit Enhancement or Other External Support.  Not Applicable.
Item 6.04
Failure to Make a Required Distribution.  Not Applicable.
Item 6.05
Securities Act Updating Disclosure.  Not Applicable.


Item 7.01
Regulation FD Disclosure.  Not Applicable.


Item 8.01
Other Events.  Notification of Annual Meeting of Shareholders.  Notice is hereby made


Item 9.01
Financial Statements and Exhibits.
(a) Financial statements of businesses acquired.  Not Applicable.
(b) Pro forma financial information.  Not Applicable.
(c) Shell company transactions.  Not Applicable.
(d) Exhibits.  Not Applicable.




Pursuant to the requirements of the Securities Exchange Act of 1934, the Registrant has duly caused this report to be signed on its behalf by the undersigned, hereunto duly authorized.


 Date: September 15, 2014
Hannover House, Inc.
/s/ Eric F. Parkinson
Name: Eric F. Parkinson
Title: C.E.O.



Exhibit No.
 Not Applicable.