ots Ad hoc-Service: splendid medien AG <DE0007279507> Splendid Medien AG will not be consolidating IEG
Köln (ots Ad hoc-Service) -
Ad hoc-announcement edited and sent by DGAP. The sender is solely responsible for the contents of this announcement.
Splendid Medien AG of Cologne will not be consolidating Initial Entertainment Group, Inc. (IEG) of Santa Monica. The conditions currently prevailing in the film market advocate a US majority in IEG.
Splendid has held 49 per cent of the shares in the US film producing corporation IEG since June 1999. Splendid will not be exercising its option to acquire a further two per cent of the shares. By making this decision, Splendid is taking into account the changes in the market conditions. The shareholders are unanimously convinced that success for IEG as a leading independent film producer will be better ensured if IEG retains its presence on the market in the future as a corporation in which the majority holding is in US hands. Splendid will also profit from this situation on account of its holding in IEG.
In 2000 IEG had sales to the sum of approx. US$60 million and this figure will not be shown pro rata in the consolidated accounts of Splendid. No significant changes will result in the operating statements for the two companies Splendid and IEG as a consequence of the non-consolidation. Instead of the target figure of DM95 million, unconsolidated sales for Splendid in 2000 will amount to approx. DM50 million. The 49 per cent holding in IEG will still be included in the operating statements of Splendid. However, due to increased amortization/depreciation, the operating results of IEG in the 2000 financial year will fall below the expected figures for the year.
For 2001 Splendid expects sales of DM100 million. Sales at IEG in 2001 will amount to US$90 million on the basis of the status of current film production. Again in 2001 Splendid will include its 49 per cent holding in IEG in its operating statement.
Further information can be obtained by visiting www.splendid-medien.de or by contacting the following persons:
Splendid Medien AG, Karin Opgenoorth, Alsdorfer Str. 3, 50933 Cologne, Tel.: +49(0)221-95 42 32 99, Fax: +49(0)221-95 42 32 8, E-mail: firstname.lastname@example.org
Splendid Medien AG, Elke Leim, Alsdorfer Str. 3. 50933 Cologne, Tel.: +49(0)221-95 42 32 34, Fax: +49(0)221-95 42 32 8, E-mail: email@example.com
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Original-Content von: splendid medien AG, übermittelt durch news aktuell