EFTA00607418.pdf

UNCOMMON CONTENT PARTNERS 3 YR OPEX SUMMARY ■Summary P&L, Balance Sheet and Cash Flow Statement Provided in following pages ✓Excludes all revenue Assumptions ✓Only contemplates 1st Year Production Cycle o$10mm of productions, of which $6.5mm provided by Google ■ Detail of Headcount costs in Opex provided on Page 5 ✓We expect to be able to reimburse significant portion of production related headcount from Google production funding (—$1 mm) ■Assumed $10mm raise expected to fully fund operations through June 2013 (18 months) without any revenues unc❑nm❑n. CONFIDENTIAL 1/7/2012 1 EFTA00607418 Summary P&L Uncommon Content Partners Annual P&L by Expense Type Year Ended Year Ended Year Ended 12/31/2012 12/31/2013 12/31/2014 Net Revenue $0 $0 $0 Operating Expenses Salaries & Wages $3,645,000 $4,014,000 $4,014,000 Other Employee Costs $546,750 $602,100 $602,100 Consultants $0 $0 $0 Professional Services $156,000 $126,000 $126,000 Production Costs (A) $0 $0 $0 Marketing $60,000 $60,000 $60,000 T&E $192,000 $192,000 $192.000 Office and Equipment $273,800 $276,300 $268.800 Utilities $52,750 $60,000 $60,000 Insurance, Fees & Misc Exp $64,000 $64,000 $64,000 Profit Sharing Total Operating Expenses $4,990,300 $5,394,400 $5,386,900 Operating Income $ (4,990,300) $ (5,394,400) $ (5,386,900) Depreciation & Amortization 1,145,833 1 3,358,333 3,358,333 Interest Expense (Income) Net Income $ (6,136,133) $ (8,752,733) $ (8,745,233) Note (A): Majority of Prod costs are capitalized and amortized - See Balance Sheet uncommon. CONFIDENTIAL 1/7/2012 2 EFTA00607419  Summary Balance Sheet BIL:L2 Dec-13 Dec-14 Dec-12 Dec-I3 Dec-14 Year 1 Year 2 Year 3 Year 1 Year 2 Year 3 ASSETS Current Assets LIA13ILIFIES Cash and Cash Equivalents 51.359.700 (54.034.700) (59.421.600) Current Liabilities Trade Accounts Receivable, net 0 0 0 Accounts Payable 0 0 0 Other Clurent Assets sooao 50.000 50.030 Deferred Revenue 0 0 0 Total Current Assets 1,409,700 (3,984,700) (9,371,600) Acc Eci and Other Current Liab 75.000 75.0(X) 75.000 Production Costs 9,975.000 9.975O30 9.975.000 Current Portion of LT Debt 0 0 0 Accum Amon-Production Costs (1,112.501) (4.437,500) (7.762.500) Other 0 0 Property and Equipment. net 103.00 103,030 IM0D° Total Current Liabilities 75,000 75,000 75,000 AccumAmort-Prop & Equipent (33.333) (66.667) (RAM) Total Net Int and Prop & Equip 8,929,167 5,570,833 2,212,500 Noncurrent Liabilities YouTube Production Advance 6500,000 6,500,000 6,500,000 Other Assets Other 103.030 100.000 100081 Debt 0 0 0 Total Other Assets 100,000 100,000 100,000 Other 0 0 0 Total Non-Current Liabilities 6,500,000 6.503,000 6.500.000 Total Assets $10,438,867 $1,686.133 ($7,059,100) Total Liabilities $6,575,000 $6,575,000 $6,575,000 MEMBERS' BOUM Preferred Units 10,000,000 10.000.000 10.000000 Common Units Retained Earnings (6.136.133) (14.888.867) (23.634.100) Total Members' Equity $3,863,867 ($4,888,867) ($13,634,100) 0 0 0 Total Liab & Members' Equity $10,438,867 $1,686,133 ($7,059,100) unc❑nm❑n. CONFIDENTIAL 1/7/2012 3 EFTA00607420 Summary Cash Flow Statement Uncommon Content Partners Cash Flow Statement Dec-12 Dec-13 Dec-I4 Year I Year 2 Year 3 Cash HIM Provided (Used) by Operating Actisities Net Income (Loss) (6.136.133) (8.752.733) (8.745.233) Adjustments for Non-Cash Items: 0 0 0 Depreciation and Amonization 1.145.833 3,358.333 3,358,333 Changes In Operating Assets and Liabilities: 0 0 0 (Increase) Decrease in Accounts Receivable 0 0 0 (Increase) Decrease in Other Current Assets 0 0 0 (Decrease) Increase in Accounts Payable 0 0 0 (Decrease) Increase in Acc Exp and Other Current Liab 0 0 0 (Decrease) Increase in Other Long-term Liabilities 0 0 0 (Increase) Decrease in Other Assets (100.0(X)) 0 0 Net Cash Provided (Used) by Operating Acthlties (5,090,300) (5,394,400) (5,386,900) Cash ROWS Presided (Used) by hnesting Acthitles Investment in Production (9.900.000) 0 0 Purchases of Property and Equipment (100.0(X)) 0 0 Purchases of Businesses 0 0 0 Net Cash Prtnided (Used) by hnesting Acthitles (10,000,000) 0 _ 0 Cash Flows Provided (Used) by Financing Acthlties Line of Credit Advances, net of repayments 0 0 0 YouTube Production Advances-T&A 1.875.00D 0 0 YouTube Production Advances-TCC 3.000.000 0 0 Proceeds from Preferred Equity Financing 10.000.000 0 0 Debt 0 0 0 Net Cash Presided (Used) by Financing Actisities 14,875,000 0 0 Net Change in Cash (215,300) (5,394,400) (5,386,900) Cash at Beginning of Period 1,575,000 1,359,700 (4,034,700) Cash at End of Period 1,359,700 (4,034,700) (9,421,600) uncomon. CONFIDENTIAL 1/7/2012 4 EFTA00607421 Headcount Assumptions Bonus / Rollup Group Employee Title Hire Date Base Comm % Executive Kevin Law CEO Month 1 $750,000 20% G&A Ken Dorward CF&AO Month 2 $250,000 20% Executive President Month 3 $350,000 20% Production Head of Production - T&A Month 1 $200,000 20% Production Head of Production - TCC Month 1 $200,000 20% Production Talent Relations /Booking Month 4 $150,000 20% Production Graphics/Creative Month 4 $125,000 20% Production Post Production Manager Month 3 $100,000 20% Marketing Audience Development Director Month 2 $125,000 20% Marketing Social Media Mgr Month 3 $125,000 20% G&A Business Affairs Month 3 $200,000 20% G&A Accountant Month 6 $150,000 20% Executive Exec Asst/COS - CEO Month 3 $75,000 20% G&A Exec Asst - G&A Month 3 $65,000 20% Executive Exec Asst - Pres Month 4 $65,000 20% Production Exec Asst - Head Prod Month 2 $65,000 20% Production GM/Development- TCC Month 2 $175,000 20% Production GM/Development- T+A Month 2 $175,000 20% Note we consider this an aggressive headcount assumption and against which we will proceed carefully CONFIDENTIAL EFTA00607422