Dear HHSE Friends & Followers - we have been told by the OTC Markets that our "Current" status should be restored ASAP (but may not show on the site as such until tomorrow morning), as we have conformed to the new disclosure formatting.
We have intentionally delayed the release of significant and exciting news until our "Current" status is restored... as we felt that the "Yield" sign might temper enthusiasm from potential new shareholders driven to look into HHSE as a result of our news.
In the meantime, condolences to anyone who is selling now... and kudos to those who are getting bargain priced shares.
UPDATE: FRIDAY, APRIL 16, 11:55-pm CST - We have just been informed by the OTC Markets that our REVISED filing needs to be EDITED and RE-FILED yet again, to remove "disclosure information not required under the new formatting rules." So this is happening now.
TUESDAY MORNING UPDATE (April 20, 2021) - Obviously, the OTC Markets are taking longer than their prediction last Thursday, due in part to Hannover's "too much information" requiring the re-edit and reposting of the 12-31-2020 filings this past weekend. Our OTC Counsel (Morgan Petitti) confirmed that it appears that the most recent filing met the new format standards, and as such, she released the annual attorney compliance letter. The restoral of the "CURRENT" reporting status is essential before our newswire press release, as we would not want to draw new attention to HHSE and have interested parties look at the OTC page and see a "Yield" sign instead of Current. We are told that it's in motion... yet, like the kids in the back seat of the car, the suspense of "are we there yet?" can be frustrating. We will maintain a polite but steady pressure onto OTC.
Dear HHSE Friends - as of March 1, 2021, the OTC Market changed (once again) both the format and breadth of disclosure information required in order to maintain "current" reporting status. Unfortunately, we did not see the format changes when our 12-31-2020 report was filed on March 8... and as a result, we have now been declared deficient or otherwise outside of compliance to the new standards.
Accordingly, we will revise the 12-31-2020 Annual Filing for the OTC markets immediately and resubmit. Separately for those who has asked, the annual attorney letter to the OTC Markets is not due until April 30, 2021. Also, the need for OTC filings is rendered moot with the company's full S.E.C. registration.
Part of the new disclosure rules will include additional items which were previously disclosed, but not via the methodology the new requirements mandate. So, there will be some non-newsworthy items posted under the OTC News listings merely to comply with the newly revised reporting standards.
REGARDING THE PLANNED PRESS RELEASE FOR TODAY - We have elected to hold the press release until tomorrow. One of the executives that we have been negotiating with to join MYFLIX is still under a non-compete provision with a prior employer (an SVOD industry leader). While neither HHSE nor the individual believe that a hiring by MyFlix violates this post-employment restriction, we do not feel that the publicity or distraction of a legal battle is in the best interests of MyFlix at this time. Tomorrow's news will address other exciting and relevant topics.... WEDNESDAY NIGHT UPDATE (midnight Central Time) -The Press Release planned for today was held for PRE-MARKET tomorrow (Thursday); however, it is now midnight Central Time, and an OTC Markets disclosure that precedes the wire services press release is still not posted onto the OTC Markets website. We will push forward for the publication of both items early Thursday morning and for expeditious processing by the OTC. It’s frustrating that these new OTC Markets disclosure and formatting requirements are currently impeding the timely flow of information to our shareholders. Hold tight, it’s all in motion. THANKS!!
Onward....
Film Production in Oklahoma is back in full swing now - with the entire Cast & Crew of "WILDFIRE" now having received the COVID-19 Vaccination (although, unlike the above photo - and under S.A.G. safety protocols - the "WILDFIRE" team is still wearing masks and practicing social distancing, except for performers on camera).
Greetings HHSE Friends and Followers - Happy Good Friday / Easter and Passover Weekend to those for whom such good wishes apply. Spring is in the air... a COVID Vaccine is in wide distribution, and HHSE and MyFlix are on a path for substantial success. Yes, 2021 is turning into the antithesis of the frozen-in-time quarantines of last year... and we could not be more ready to get back on track.
Yesterday, we alluded to a significant news break in today's blog... THIS blog, in fact. After sending a draft this morning to the HHSE counsel for approval, we were asked "why" would we be presenting this information AT THIS TIME and under a BLOG POST as opposed to the mass visibility of a newswire release? Good questions for which there are no good justifications. We do have significant and substantial news that our counsel feels should be treated with the respect that such developments deserve... and that a Good Friday Blog would be a wasted opportunity to have a positive impact to the company's visibility, credibility and shareholder enthusiasm.
So, we will move these items into mainstream newswire releases beginning Tuesday. Meanwhile, we can provide shareholders with some updates on less substantial issues.
1). MYFLIX Gaming & Educational Portals - We are moving "up" the coordinated launch of these two key MyFlix Features to correspond more closely to (or simultaneously to) the launch of the MyFlix passive-streaming service. The rationale' for this move will be clarified in an updated MyFlix mission statement, as detailed in the Company's Form 10 and S1 Offering documents.
2). MYFLIX Exclusives & Premiere Programming - New financing structures will enable MyFlix to also offer key titles on an "exclusive" basis, including first-release premiere programming. This was not previously contemplated due to the costs for exclusives or premiere titles. The structure and rationale' for such a move is also detailed in the Company's Form 10 and S1 Offering documents.
3). MYFLIX Principals and Advisors - We have recruited proven executives from successful streaming services to join the MyFlix team in either executive or advisory positions - which we believe will add operational insights and venture credibility to the MyFlix launch.
4). MYFLIX - SVOD Subscribers Goal - Based on the quantity of titles for MyFlix, as well as the unique special features the site and APP will offer - the company feels that it's realistic and obtainable to have over 1-million "monthly" subscribers within a year (paying approx. $9 / month), with an annualized gross revenue basis of $108-mm. This forecast goal is based in part by the success of ACORN and AMC channels (see article below), which now has over 4-million monthly subscribers at $5.99 each (about $300-mm annual gross).
MORE TO COME>>>
Have a great weekend and an awesome April!
NEW PRODUCTION VENTURE:
HHSE is providing seed capital for the development of "NATIVE FABLES" (working title) - a live-action, feature anthology based on popular legends of the Cherokee Nation and Indigenous Peoples of North America.
DID YOU KNOW THAT....?
ANNE HECHE and VINCE VAUGHN co-starred together in both "Psycho" (Universal, 1998) and "Return To Paradise" (Polygram, 1998). Each of these two screen legends has appeared in principal roles in movies that have collectively generated over ONE-BILLION-DOLLARS each at the worldwide box office... making them into not only well-known stars, but bankable commercial talents.
Acorn TV: Everything You Need to Know About the SVOD Service Battling BritBox for Control of the U.S. Anglophile Market
Bolstered by a strong library of British movies and shows, AMC Networks streaming service has 1 million users. But its BBC-backed competitor is coming fast
Acorn TV has found a niche as the first streaming service focused on the best of British TV for a North American audience. And it hasn’t been afraid to feature programming that skews to an older audience.
In September 2019, the subscription video on demand (SVOD) service, now owned by AMC Networks, surpassed 1 million subscribers. (AMC Networks said it expected its SVOD services—Acorn TV, Shudder, Sundance Now and ALLBLK services—will have 4 million combined subscribers by the end of 2020.)
Not bad for a niche SVOD service. The big question: Can Acorn TV keep growing in a U.S. market that now also has BBC-backed BritBox competing for Anglophile audiences?
“Acorn had the foresight to see an opportunity with direct-to-consumer streaming and got in early, so we have been working in this content category for more than two decades,” Acorn TV General Manager Matthew Graham told Next TV. “We have an understanding of consumer interactions and expectations and, with that, an understanding of the technology required to deliver a great service.”
For anyone who craved authentic U.K. television programs—titles like Upstairs, Downstairs, Brideshead Revisited and Agatha Christie’s Poirot—Acorn TV became synonymous with high-end dramas and mysteries, in particular, those often overlooked by the broadcast and the cable networks.
This also includes Acorn TV’s Queens of Mystery, a recent Emmy nominee.
“In this new environment, consumers have a lot more choice, and there is the ability to put together a la carte entertainment options that match-up to the specific interests of our customers,” Graham added. “We know exactly what are subscribers like to consume and we focus on that.”
Roots in VHS
Acorn Media Group was born Atlas Video in 1984 in the basement of founder Peter Edwards, who worked as a communications consultant and NBC News employee.
Edwards started Acorn as a way to market historical and travel documentaries. In 1994, Acorn's focus shifted to British television on home video and the company was renamed Acorn Media Group. Targeting the UK, North America and Australia, Acorn first sold its titles on VHS cassette, before moving like everyone else to DVD and Blu-ray. In fact, Acorn thrived in the DVD age, packaging box sets of popular British TV shows for the retail shelves of distribution outlets including Walmart.
As for the SVOD service that would be called Acorn TV, it launched as a subsection of Acorn’s direct to consumer e-commerce website in 2011, eventually moving to prominence as disc sales succumbed to video streaming.
In 2012, Robert Johnson formed RLJ Entertainment, which was a combination of Acorn Media Group and media company Image Entertainment, to create a library of digital and video content globally with more than 5,300 feature film and television titles.
In 2013, Acorn TV was relaunched as a standalone streaming service with expanded content offerings and monthly and annual subscription options. Most of the inventory from Acorn TV comes from the UK, but there are now also options produced in Canada, Australia, Ireland, Mexico, Spain and New Zealand.
When AMC Networks acquired a majority stake in RLJ Entertainment in 2016 for a reported $60 million, it did so primarily for the home entertainment distributor’s two SVOD services— Acorn TV and Urban Movie Channel (now ALLBLK)—and control of the Agatha Christie Limited intellectual property.
Acorn TV charges U.S. subscribers $5.99 a month for full access to its streaming smorgasbord, with a seven-day free trial to check out if they’re not happy. Acorn TV supports apps for Roku, Amazon Fire TV, Apple TV (tvOS version) and Google Chromecast and Android TV OTT devices, as well iPhone/iPad, and Android mobile and tablets. Acorn TV is also playable on laptops, desktops, and tablets via browser (Acorn recommends Google Chrome).
Notably, Acorn TV is also natively integrated into Comcast's X1 video platform.
An Emerging Originals Strategy
“True to our mission, one of the biggest changes for us is the investment in the content itself,” Graham said. “So, over the past several years we have started not only to co-produce, but to commission series explicably for Acorn TV. Our strategy remains on a specific mixture of premium dramas, with great writing, great acting and interesting places that appeals to a sophisticated audience.”
“As long as we stick to that, as a channel and as a brand, Acorn TV will offer a notable alternative,” he added. “We know exactly who we are.”
Recent additions to the Acorn TV programming options are Aussie mystery series My Life is Murder, with Lucy Lawless; British police drama London Kills (Series 1 and 2); 1960s-set Ms. Fisher’s Modern Murder Mysteries; and British true crime drama Manhunt.
Coming up, Acorn TV will feature five new acquired series: Irish period mystery drama Dead Still; British mystery Agatha Raisin; Irish dramedy The South Westeries; New Zealand thriller The Sounds; and Irish comedy Finding Joy (Series 2). Returning series available on Acorn TV are Australian drama Mystery Road (Series 2), Irish thriller Blood (Series 2), UK drama Line of Duty (Series 6), British school dramedy Ackley Bridge; New Zealand detective drama The Brokenwood Mysteries; French crime drama Balthazar; Canadian drama Murdoch Mysteries; and Swedish drama Rebecka Martinsson.
Emerging Competition From BritBox
Acorn TV no longer has a U.S. subscription streaming market with British taste to itself. In early March 2020, BritBox—the SVOD service jointly launched by BBC and ITV in North America in 2018—has itself surpassed 1 million users.
On the flip side, AMC Networks took Acorn TV, its subscription streaming service featuring British TV, to the U.K. in April.
For his part, Graham said Acorn TV looks at the fast-moving competition from BritBox the same way it would any other digital or linear competitor. Graham believes Acorn TV has an edge, with its program acquisitions generally being more recognizable than those of BritBox.
Greetings HHSE Friends & Followers - As mentioned in a recent blog, HHSE is adding new staff and management - as well as advisors/directors - to enhance our administrative efficiencies. At present, HHSE C.E.O. Eric Parkinson has been handling the added duties as President. However, final negotiations are in motion for these key, new positions:
1). HHSE President
2). MyFlix Senior VP
3). HHSE Director & Financial Advisor
We feel that the announcement of new management and advisors will have a better impact if combined into a single release and disclosure, as each of the parties we expect to bring on has specialized skills and historic achievements that complement those skillsets of the others.
There's a saying about "which is the most important leg of a three-legged stool?" The answer is that all three legs are essential for the stool to properly stand. Accordingly, we feel that a combined announcement of our new team members will present a clearer picture of the viability of our launch strategy.
The HHSE Share Price continues to be pounded by the dual force of "false paints" (wherein some manipulative bozo buys less than $1 worth of shares to create the illusion of millions of dollars in loss of market cap) - combined with the unexplained and baseless "buying-obstacles" imposed by E-Trade (wherein, purchasing HHSE shares via E-Trade must be achieved by calling into a broker... thus losing critical timing benefits for buyers).
Although HHSE has reached out three times in writing to the E-Trade Compliance Department for clarity as to why they are singularly punishing their customers, we have not yet received any form of response. Some HHSE longs speculate that E-Trade itself could be "short" on the HHSE stock, and is using their buying brakes to pressure DOWN the PPS. If this proves to be true, then HHSE shareholders will be the beneficiaries of a major securities violation windfall action. As this is a concern, HHSE has informed the S.E.C. of the unmotivated buying obstacles imposed by E-Trade, and we have been informed by that it's "being looked into." Meanwhile, other on-line, retail brokers have not created such buying obstacles. So, maybe it's time to some traders to move their accounts - rather than have some "big brother" with an agenda dictate what you can or cannot buy?
There's much more to share and update... but we will hold this additional information until tomorrow. Besides the fact that today is "April Fools Day" and any announcements could be scrutinized as such... we felt that the timing of news tomorrow will make for a more appropriate Good Friday.
DEAR HHSE FRIENDS & FOLLOWERS - Sometimes personal relationships can provide a conduit and catalyst for the greater good.
I hope that we can all be "more like Bob Dole" in respect of his character, persistence, integrity and longevity.
At age 97 - after being shot in the back and right arm during World War II - and then giving another 50+ years of service to the USA - Bob Dole remains a fighter. He is a refreshing throwback to a time when politicians were consistent and sincere. Although we don't agree on all political policies, I am proud of his example and to have known him all of my life.
Bob's impressive and inspiring story of survival as a soldier and as a dedicated political statesman has all of the elements to make a terrific movie.
-- ERIC PARKINSON, C.E.O., Hannover House, Inc.
http://www.bobdole.org/excerpt.htm
From: Dole, Bob <Bob.Dole@xxxxxx.com>
To: Parkinson, Eric <Eric@HannoverHouse.com>
Sent: Thu, Mar 25, 2021 9:45 am
Subject: Thank you
Eric,
Thank you for your kind message about my current health issue. I remain optimistic as I undergo treatment and believe I will be a winner. I am grateful to the wonderful doctors and medical staff working with me.
Also, thank you for your support over the years. You have a great heritage and family.
Your thoughts and prayers are greatly appreciated. Have a good day.
A Message from D. Frederick Shefte - President
of Hannover House, Inc.
March 15, 2021
Dear HHSE Friends, Colleagues, Suppliers and Shareholders –
In the last two days I have received multiple messages from
Hannover House shareholders thanking me for my work at HHSE and wishing me
well. I thank you for those and I thank the many shareholders I have met at our
shareholder meetings and at premieres of films that Hannover House has brought
to the market. Thank you for your many courtesies and your support.
Of course, my most heartfelt and complete thanks goes to my
friend and business associate Eric Parkinson. I also thank the fine employees
of Hannover House for their expertise, diligence and dedication; and also for
their friendship. While there are so many to thank, I especially want to
acknowledge the years of work and assistance from Jon McCallum and Maryevelyn
Jones.
Through Hannover House, I have met many wonderful people –
both on the business and artistic side of the film and publishing activities
for the company.
I have had fairly severe personal and health set-backs in the
past couple of years, and I have therefore not been able to be as involved as I
would like to in the day-to-day operations of Hannover House. And so, it is
time for me to withdraw and do something I never thought of or prepared
for: retire. There will be many difficult parts of this
retirement for me, but perhaps the most difficult for me will be not going into
the Hannover House offices on College Avenue in Fayetteville every day. I have
truly enjoyed reviewing and entering into distribution agreements with
producers and others for their creations and to help present their dreams to
audiences. I suppose that sometime in the next week, I will go into the office,
take some of my personal items, perhaps turn off the coffee pot (Eric and I
drink a lot of coffee), and feel a profound sadness as I lock the door (if
I am the last one out that day).
On the business side, I am saddened that I will not be on
board to see MyFlix become the great success that I am confident it will be.
Eric and I and others have discussed the changing nature of our business for
many years, and MyFlix will be a leader in these changes. I continue to be
confident in the unique characteristics and sound business plan of MyFlix.
As President of Hannover House, it has been my pleasure to
work with Eric and others on the public company disclosures, signing (even
electronically), the filings and quarterly reports that review the past
accomplishments and provide a road map for the promising future.
It has saddened me in recent years to see that there are some
who continue to attempt to manipulate the Hannover House share pricing through
fanciful and untruthful statements. Their goal has been to profit by hurting
the company and our shareholders. As I retire, I can only say “shame on you.”
We all know who they are – cowards who hide behind chat-board pseudonyms,
spewing falsehoods in an effort to scare shareholders into selling HHSE stock
at the lowest possible price. While these manipulative tactics have
occasionally hurt the share price, the resilience of our loyal shareholders has
enabled the company to maintain and build our market cap and prepare for an
extremely exciting 2021.
There are exciting changes coming for Hannover House. While I
won’t be there at the helm alongside Eric, I will be watching and applauding. I
know all of you will, too. I am truly grateful
for my 14 years as President of Hannover House, and I thank all of you.
Greetings HHSE Friends & Followers - As was so eloquently written by Shakespeare, "Beware the Ides of March." There is change in the air, in our society, in the world's economy... and closer to home, in the Executive Suite at Hannover House, Inc. As Albert Einstein so accurately observed, "The Measure of Intelligence is the Ability to Change."
After months of deliberation, Hannover House, Inc. has accepted the resignation of Officer / Director D. Frederick Shefte as President of the Company, effective Monday, March 15, 2021 (a date to correspond with the Form 8 notification filing with the Securities and Exchange Commission).
Fred Shefte has been a loyal warrior for Hannover House since April of 2007 (14-years ago), but began working with the company as far back as 2003 as the V.P. and Trust Officer for the Bank of Fayetteville - in charge of the collections and disbursement of millions of dollars in Hannover House sales revenues each year. The transition from bank executive to Hannover House President was an easy one for Fred, as his years in business, banking and in legal practices as an attorney had provided a wide breadth of skillsets. Within months, Shefte was handling all managerial aspects for day-to-day operations for Hannover House, at a time when the company's DVD volume at Walmart put the company into the top ten of all pre-recorded video suppliers.
Back in 2007, the "DVD Budget Bin" at Walmart was an ATM for Hannover House, as the Major Studios had not yet accepted that $5 was the right price for their catalog titles... leaving companies like Hannover House with a carte-blanche mechanism for turning secondary movie titles into impulse purchases near the Walmart cash registers. Slowly, over time, the Major Studios began cycling in older hits to the budget bins, like "TOP GUN" and "HOOSIERS" - and by 2010, the Budget Bins were mostly major studio titles.
This was the first of many significant market-paradigm changes to impact Hannover House and the tenure of Fred Shefte as President. The next big market shift was when Blu-Ray releases began to take retail shelf space away - thus forcing companies like Hannover House to implement "limited theatrical releases" in order to be considered for premium DVD placement at major retail accounts. But in time, the mere action of releasing a film to theatres became less relevant to the buyers than whether or not the title generated any significant box office results while in theatrical release. The final two paradigm shifts were the steady transition from consumers away from physical discs in favor of streaming services... and the acceleration of that trend with last year's and the ongoing Covid Pandemic forcing many people to stay at home.
When Shefte started at Hannover House, there were more than forty independent distribution companies operating under a similar DVD-driven business model. Now there are only a handful, and most of these survivors have transitioned into streaming-centric business models. That said, Shefte was a key element in devising and implementing a successful evolution of Hannover House over the years. He was there for the genesis of the "VODWIZ" streaming concept - which grew into the MyFlix multi-studio venture - and which most sage investors now forecast to be the future revenue king for Hannover House.
As was disclosed in this blog back in the late summer of 2018, Shefte became gravely ill and was hospitalized with a poor prognosis for survival. Eighteen weeks later, with the benefit of some aggressive treatments and medication, Shefte was released and given the go-ahead to return to work. At that time (late 2018) Parkinson met with Shefte to discuss WHY he would choose to return to Hannover House when he has been granted a miraculous second-chance at life? Shefte's response was that he believed in Hannover House, in MyFlix and in the company's future... and that he wanted to be a part of this journey for as long as possible.
Recent developments have brought Shefte's journey with Hannover House to an end. While his health status remains stable, his personal situation has declined following both a divorce last year and a bankruptcy filing last month. At this time, Hannover House is a distraction to Shefte... and Shefte is a distraction to Hannover House. While his dedication and commitment to seeing a successful Form 10 Registration and MyFlix launch remains, there are too many other obstacles impacting Shefte's ability to perform his duties as President of the company. Accordingly, Shefte's resignation was accepted today - and will be effective on Monday, March 15 - the proverbial "ides of March" as Shakespeare's soothsayer so predicted.
On an interim basis, C.E.O. Eric Parkinson will assume the corporate duties as President. However, the company is finalizing the deal terms for the recruitment of a highly-skilled executive as President of HHSE, and this is major management hire is expected to be completed in less than thirty days. In the event that the engagement of a new President takes longer than 30-days, HHSE will file an amendment with the Wyoming Secretary of State to list Parkinson as interim President. Otherwise, the updated officer filing with Wyoming will list the newly engaged President.
The HHSE Corporate Records will forever acknowledge the valuable services of Don Frederick Shefte as the company President from April 15, 2007 to March 15, 2021. We wish Fred continued good health and success in his future endeavors. After Monday, Fred's current email ("Fred@HannoverHouse.com") will be rerouted to Parkinson... and he will be using his personal email account: FredShefte1@gmail.com for those of you that want to send him best wishes on his new chapter in life.
Change can be good... and we welcome all of the exciting changes that HHSE / MYFLIX are implementing. Hold tight, the season of change is upon us!
Parkinson and Shefte on the SONY Pictures Studios Lot in Culver City, CA.
Parkinson & Shefte at the CANNES FILM FESTIVAL (2018)
Formation Announcement of the MYFLIX Multi-Studio Streaming venture.
Session Director Star Noor with Shefte and Parkinson at the recording studio.
