FADED GLORY DISTRIBUTION SUMMARY

From a business perspective, the primary goal of the Partnership’s film venture is to maximize the revenues to its investors and Endorphin Entertainment.  And, the ultimate commercial success of any motion picture is dependent on its distribution.  Endorphin Entertainment believes that the most important initial objective in achieving this goal is to maximize proceeds from the United States theatrical and television release of its picture, since it considers such theatrical and television performance to be the two most important determinant of a picture’s performance in the subsequent markets of home video, DVD, pay cable and free broadcast television and foreign rights. 

Endorphin Entertainment (EE) intends to establish distributor interest.   EE plans to approach such prospective distributors with a completed or nearly completed film, thus potentially maximizing its bargaining position with respect to negotiating the terms of the distribution arrangements.  EE aims to present the Film at the major film markets held each year in Los Angeles, Cannes and Toronto, New York City, as well as select international and domestic film festivals such as Sundance.

The Producers believe they have designed a film to be especially attractive to distributors since elements of “Faded Glory” were specifically conceived to appeal to some of the most important segments of the movie-going public, i.e., the 25-55 year old demographic.  EE’s management expects “Faded Glory” to “cross-over”, i.e., appeal to a total target audience beyond each anticipated segment.

Additionally, the Producers have taken into account that moviegoers have rejected many of the formulaic, big-budget films and sequels, instead flocking to original ‘little’ documentary movies that turned out to be giant hits such as “March of the Penguins.”  As audiences grow older they seem to care more about subjects they can relate towards rather than superficial plotlines.  Big names are no longer a guarantee of a film’s success.  And so, many of the major studio/distributors plan on using more outside independent suppliers to come up with reasonably priced story-driven film ideas to offset the big-budget star-driven studio films.  In such a climate, the producers believe that “Faded Glory” will be of particular interest.

* Endorphin  Entertainment has reserved the right to enter into agreements on behalf of Faded Glory LLC with motion picture or television studios, distributors or other third-parties pursuant to which the Partnership in exchange for such studios’, distributors’, or other third-parties’ assistance to financing, producing, distributing and/or otherwise exploiting the documentary may commit to pay such parties out of revenues generated by the documentary at a point in the documentary’s revenue stream prior to the calculation of Distributable Cash.   Such agreements may include but are not limited to flat fee arrangements, negative pickup deals or an outright sale of the documentary, if in the judgment of EE; such a sale would be in the best interest of all. *

In addition, EE has reserved the right (1) to produce the movie and seek the most advantageous distribution agreement for the Partnership’s documentary, (2) to modify the budget of the Partnership’s documentary to adapt to changing contingencies, so long as in the judgment of EE such budget changes improve the Partnership’s ability to produce a better documentary, (3) to chose locations for shooting such movie other than locations disclosed herein and (4) to enter into agreement on behalf of the Partnership which provide that persons providing financing, rendering services or furnishing literary material or other exploitation of the documentary shall receive as salary or other compensation, deferred amounts or a percentage participation in the Partnership.


FADED GLORY SOURCES OF RECOUPMENT

1.      THEATRICAL (DOMESTIC) RELEASE
2.      VIDEO (and DVD) DISTRIBUTION – SELL THROUGH
3.      VIDEO (and DVD) DISTRIBUTION – RENTAL
4.      PREMIUM CABLE NETWORK LICENSING
5.      FREE TELEVISION NETWORK LICENSING
6.      FREE TELEVISION SYNDICATION
7.      FOREIGN TERRITORIES
8.      ANCILLARY MEDIA & LECENSEES – PAY-PER-VIEW, HOTELS, IN-FLIGHT, SHIPS-AT-SEA, etc.
9.      SOUNDTRACK LICENSING
10.      MAJOR CONSUMER BRANDS
11.      INTERNET WEBISODES

FADED GLORY COMPARISONS

                                            
In today’s difficult market many studios and distributors like to compare a film’s potential with other similar films in genre and storyline.

Although “Faded Glory” is a unique story on its own most people can’t help but compare its elements to five successful films of the past that have to do with competition or games:


Movie Title    Theatrical Gross Only
1994 Hoop Dreams    $7,830,611
2003 Spellbound    $5,728,581
2006 Wordplay    $3,121,270
1996 When We Were King    $2,789,985
2004 Riding Giants    $2,276,638

The five highest grossing Documentaries of All-Time (Theatrical gross only)

Movie Title    Theatrical Gross Only
Fahrenheit 9/11    $119,194.771
2005 March of the Penguins    $77,437,223
2006 An Inconvenient Truth    $23,814,997
2002 Bowling for Columbine    $21,576,018
1991 Madonna: Truth or Dare    $15,012,935