HHSE Presents: AMERICA UNITED: In Support of our Troops

Greetings to All - Well, with this being an ELECTION YEAR, the one issue that most members of the two main political parties can agree on is that we all SUPPORT OUR TROOPS!  Accordingly, HHSE is pleased to present the ABC-TV Special Concert:  "America United: In Support of our Troops" - Featuring JANET JACKSON, ZZ TOP, SNOOP DOGG and many more top artists and comedians.

So, how do you create a DVD package for such a star-studded collection?  If you show an image of ONE artist, but not ALL, then is that an unintended disrespect?  

But how could you show ALL on a DVD box art image that's barely 7-inches tall X 5-inches wide?  Perhaps the best solution is a CONCEPT CAMPAIGN that concentrates on the TROOPS as opposed to the individual performers?  Here are some art ideas that HHSE put together in-house that we will present to ABC and the program producers for feedback:

High-Traffic APPLE TRAILERS Site Features THE RIOT ACT Trailer

HHSE is pleased to announce that APPLE  TRAILERS has selected our RIOT ACT Trailer for premium placement and promotions effective Tuesday, August 7.  This is good timing in support of the film's Sept. 14 theatrical launch.  Check it out!

https://trailers.apple.com/trailers/independent/the-riot-act/

General HHSE / MYFLIX Updates - Monday, August 6, 2018

Greetings HHSE & MyFlix FANS & FOLLOWERS - 

UPDATE ON LONG-TERM CORPORATE STRATEGY - HHSE management has been contacted by several "long" shareholders with the inquiry regarding LONG-TERM STRATEGY for both the core business (traditional film distribution) and the NEW business (digital streaming / MyFlix). As the market for lower-end films continues to diminish (i.e., lower-budgeted films without notable star casts), the merits of the HHSE plan to pursue "event" level features becomes more obvious. The sort of films that are driving theatrical box office have the same elements that are driving home video, streaming, television and international sales. Movies like "MOTHER GOOSE: JOURNEY TO UTOPIA" and "THE LEGEND OF BELLE STARR" are event-level theatrical features with major star casts.  HHSE has known this for years, and struggled to secure the multi-millions of dollars required to bring each of these films to the screen. The challenges have been daunting, including:

a).  Difficulties in obtaining "bankable" foreign presales (i.e., a prior contract with Odyssey Pictures for a $2-mm Minimum Guarantee against foreign royalties for "Mother Goose" met with banking resistance to the point of futility).

b).  Skepticism Regarding likely Production Values - Until HHSE could show the production quality obtainable in Arkansas for amounts that by film industry standards were considered "small," the company met with presale and private investor skepticism that a quality film could be produced for the amounts that HHSE was arranging. Now, with films like "THE RIOT ACT" as available evidence - and the boom of production in Arkansas due to State incentives and low-cost crews and accommodations - the HHSE budgets for "Mother Goose" and "Belle Starr" are no longer being viewed as "too low to be viable" but as "too reasonable to not pursue." 

c).  General Corporate Status - Without being a fully reporting company, and plagued with nuisance lawsuits from the "old" business model for HHSE, both private investors and banks have taken pause at times when HHSE is presented as the distributor for these locomotive, windfall-generating event pictures. The solution to these concerns includes the current registration filing and uplist, a continued elimination of nuisance litigation and balance sheet debts, and a series of significant distribution partnerships from theatrical to international.

It is HHSE's belief that ONE title like "MOTHER GOOSE: JOURNEY TO UTOPIA" is capable of generating over $40-mm in gross revenues... or more than TEN TIMES what HHSE generates in a 10-Year Period with the smaller titles of the prior business model. For these reasons - the long-term goal of major features as the locomotives will drive the core distribution business... while the exciting new venture of MyFlix streaming will be the tail that wagged the dog as a complementary venture. 

COMPLIANCE & AUDIT UPDATES - Progress continues to be made in the audit compliance issues and general status of the Form 10 Registration. Q2, 2018 filing will be made on or before the August 14 OTC Markets Guidelines (a filing which was held from prior release in order to conform as much as possible to current status news and audit adjustments).

MYFLIX - On-boarding of titles for this impressive streaming site continues, while marketing & P.R. efforts for the upcoming launch  consume the majority of management focus. The company's trademark filing was approved, which was an important step towards empowering HHSE attorneys to halt any "squatters" that are attempting to utilize the MyFlix brand name (we are aware of two current attempts that will be pursued for halting). An outside firm has been engaged for the creation and placement of the MyFlix APP (onto all major platforms and hardware devices)... and a website compliance meeting is scheduled for late August in order to test the functionality of the MyFlix operational infrastructure. At this point, a public launch to consumers in mid-to-late September is looking more realistic. It's understandable (now) why the Disney streaming site allowed themselves 18-months of development (they launch in March, 2019). 

LEGAL ISSUES - Responsive filings have been made in the Crimson Forest matter; at the recommendation of counsel, HHSE has been advised to not elaborate on the company's legal strategy on this publicly-accessible blog. 
Regarding Origin Films, the Motion to Dismiss was rejected, so this matter will proceed to trial at some time over the next two weeks. Based upon the contracts and math, HHSE believes that a reasonable review of the accounting reports will result in another victory for HHSE: an adjudication based solely on reality. HHSE has prevailed in the past three matters in which producers chose to ignore the terms of the agreements, and instead sued for "fictional" amounts they incorrectly claimed were owed. As stated previously in this blog, the long-term solution for HHSE to avoid this sort of baseless and frivolous action in the future is to avoid dealing with inexperienced producers and low-end programming. 

NEW THEATRICAL UPDATES - Materials preparation and marketing support are underway for TWO theatrical releases coming in September.  On Sept. 14, THE RIOT ACT will open in approx. 10 theatres in Arkansas and 10 theaters in Top 10 DMA markets... each theatre will have focused marketing support, including lobby standees.  If the film's opening weekend results in holdovers, then a plan to expand to additional markets will be immediately implements.  On Sept. 28, DOGPATCH USA will open in Arkansas theatres, along with NY and LA exclusives. This documentary feature tells the story of the now-defunct theme park which was based on characters from the Lil' Abner comic strip by Al Capp.

OPPORTUNITIES IN THE ARKANSAS PRODUCTION BOOM? - As N.W. Arkansas businesses enjoy the $70+ million in production funds currently being spent by HBO on Season 3 of "True Detective," the availability of experienced crews has grown significantly - while the supply of cinema production equipment has been squeezed out. There is talk of additional HBO funded productions. But regardless, with two smaller-budgeted features in the works for HHSE - and two "event level" features being pursued - HHSE is beginning to investigate the opportunity to allocate some portion of the current off-balance sheet production funding to build-up production equipment inventory and to possibly enjoy third-party rentals when such gear is not in use. This concept is still in the research stage, but appears to make sense based on the lucrative State of Arkansas incentives, the current commitments for funding of two new features and the prospective production of the two "event" features.

Friday Updates on HHSE & Various Projects

Good Afternoon HHSE Friends & Followers - here's a quick summary of a few key items of interest.

1).  BONOBOS / SONY - Street date is August 7, and the HHSE shipments were received in time and in good condition; great way to start this important wholesale relationship for physical DVD release.  Additionally, placements for Video-On-Demand (also Aug. 7) are across the board at all major sites...

2).  AUDIT UPDATE - HHSE received a request from the auditors on Tuesday for additional backup detail on the net positions for the company's back list library (as these figures impact both the "royalties payable" balance sheet entry, and the "producer recoupment" balance sheet entry).  Staff is on this task already. 

UPDATE:  HHSE provided back-up for 117 titles to the auditors  on Monday - which fully satisfied this back-up document request. HHSE videos or products generating less than $10,000 in gross sales during the prior three years were excluded from this additional endeavor. ONE HUGE STEP CLOSER!. Also, for what it's worth, HHSE has engaged a very seasoned auditing firm and securities counsel for the Form 10 registration project. We are completely confident in their competency and direction to HHSE as to what items and issues are required for a Form 10 registration and expeditious acceptance. 

3).  THE RIOT ACT - Terrific response & support from key theatres after providing the V.I.P. screening link to this period-thriller.  Film opens Sept. 14.  Screen count is still being determined, but looks like at least TEN (10) locations within the State of Arkansas due to the historic basis of this film premise (based on a true incident - a murder - at the King Opera House in Van Buren, Arkansas). Other key markets include NYC, LA, CHI, PHIL, DFW and SF Bay Area.

4).  DOGPATCH USA - This whimsical documentary about the now defunct theme park in Arkansas will benefit from some licensed character support and promotions from the classic Al Capp comic strip, LIL ABNER.  This film will open in theatres on Sept. 28.

5).  OTHER UPCOMING VIDEO RELEASES - Activities are well underway for the forthcoming home video and V.O.D. releases of:  AMERICA UNITED, DAISY WINTERS, GETTING GRACE, HEXED, RIDE UNITED and TRINITY.  More details, packaging art and promotional support will be posted to this blog over the next few weeks.

6).  MYFLIX UPDATES - New title acquisition and on-boarding continues for the forthcoming launch of this exciting new digital streaming platform.  Consumer promotional campaigns are in the design / implementation stages for a coordinated launch. HHSE C.E.O. / MyFlix senior executive Eric Parkinson has been invited to participate in an industry panel at the upcoming MIPCOM Television Conference to discuss "The Big Shift" of entertainment from theatres, video and television over into the emerging digital streaming platforms (especially with the next generation of media consumers). MyFlix represents the RIGHT business model at the RIGHT time for HHSE!

7).  TWO NEW PRIVATELY FUNDED FEATURES - HHSE has been approached by private investors to finance both the PRODUCTION and the DISTRIBUTION of two commercial film projects. These ventures came about in large part as a result of the superb quality of THE RIOT ACT production in Arkansas, which is generating good "buzz" among the local investment community. Watch for more details on this blog within the next month. 

SONY Design Team presents HHSE with Video Concept art for "SLEEPER CELL" (f.k.a. "The Algerian")

Good Morning HHSE Friends & Followers - Now that we have gotten past the initial DVD release launch through SONY, we are moving ahead on additional titles, including our 2015 theatrical release of "THE ALGERIAN."  In order for the movie to NOT sound like a foreign-language film to consumers, the more timely title of "SLEEPER CELL" has been chosen as the primary Video release title.  Listed below are FIVE (5) new campaigns provided to HHSE from the SONY design team, each of which seems visually stronger for a DVD box size than our prior theatrical release art.

We don't yet know which of these will be selected by SONY - or if a new concept or variation will be the final choice. But we are definitely impressed with the variety and impact from each concept.

CHEERS!  HHSE!


CAMPAIGN 1

CAMPAIGN 2

CAMPAIGN 3

CAMPAIGN 4

CAMPAIGN 5

The Characters from "LIL' ABNER" Comic Strip - come to life in DOGPATCH USA Film

Greetings HHSE Friends & Followers - The Al Capp comic strip "LIL' ABNER" was a worldwide hit in the 1960's and 1970's - with millions of daily readers, and eventually, it's own THEME PARK known as DOGPATCH USA.

Hannover House has entered into an agreement with the producers of "Dogpatch USA" for a limited theatrical release and servicing arrangement for videos into Walmart for the holiday collector's season. This impressive documentary tells the history of the Arkansas-based Theme Park, and it's unusual genesis and eventual downfall. Watch for more details - including new POSTER ART and TRAILER here soon - along with additional details on theatres that will be showing this documentary feature.

https://www.facebook.com/DogpatchUSA.documentary/

* * * * *

In other HHSE / MyFlix news:

1).  BONOBOS DVDs will hit stores in August through SONY - shipments now in progress!

2).  HHSE Q2 Filing has been formatted and submitted to our auditors to provide the most current "reporting period" data for the Form 10 filing.

3).  AMERICA UNITED (the star-studded concert event from ABC Television, featuring Janet Jackson, ZZ Top, Snoop Dogg, Clint Black and many other superstars), will be released in early November to DVD, to coorespond to VETERAN'S DAY promotions.

4).  THE RIOT ACT has a new theatrical launch date:  Friday, Sept. 14 in NY, LA and other key markets. Watch for new trailer and poster art to be released in the next few days.

5).  ON-BOARDING / UPLOADS for MyFlix titles continues at a solid pace, while the visuals for the home page and title-genre' pages continue toward final tweaking.

MORE-TO-COME!!

Snapshots of typical day at Hannover House / MyFlix

Greetings HHSE Friends & Followers - while "Friday the 13th" is a rare calendar event, for all of us on the HHSE / MyFlix team, it's just another day in paradise!

Here's some snapshots from around the office and at the printers - showing some of our team and the sort of activities that we often handle each day.

HAVE A TERRIFIC WEEKEND!

Friday Morning started with another PRESS CHECK, this time for "BONOBOS" DVD Wraps, designed specifically for the "RENTAL" home video market (serviced by SONY).  HHSE Designer JON McCALLUM hams it up on the Just-Us Printers control panel after HHSE C.E.O. ERIC PARKINSON comments to the press team on color densities for visual impact.

Back at the office - in living proof that "ADVERTISING WORKS" - HHSE office manager MARYEVELYN JONES marvels at this month's "QUIETUS" ad in STRAND MAGAZINE, while HHSE President FRED SHEFTE rolls up his sleeves and helps with the fulfillment of HUNDREDS of copies of re-orders for BARNES & NOBLE STORES of this popular selling HHSE item!  Office Delivery Notification Expert (aka "Coco the dog") wags his approval of the company's ongoing success at sales!

But there's so much more to do on the core activities everyday.  Today involved:  new artwork updates from the SONY design team for ALGERIAN ("Sleeper Cell"), GETTING GRACE and THE LENNON PROJECT... video packaging design work for SPICES OF LIBERTY, the star-studded AMERICA UNITED and the insane Redbull Moto-Cross extravaganza RIDE UNITED.  The selection of images for both the front and back art of DVD and BluRay releases is very crucial to converting a browsing shopper into a purchasing consumer!

AND LAST BUT NOT LEAST... the ongoing "on-boarding" of approximately thirty titles PER DAY to the data-bank for the MYFLIX streaming site... ranging from Major Studio theatrical hits, to specialty independent films in a wide range of genres:  Action, Adventure, Animation, Christian, Classics Comedy, Drama, Family, Foreign, Full Contact Sports, Horror, Manga, Science-Fiction and Television Episodics to name a few! -

JUST ANOTHER DAY IN PARADISE, aka HANNOVER HOUSE / MYFLIX !