Leadership Portfolio M.

Anthony Librizzi
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← GUNS & REDEMPTION

← FILM DISTRIBUTION STRATEGY
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This document and the information contained herein is provided solely for the purpose

of acquainting the reader with Guns and Redemption and is proprietary to Perfect Story

Productions, PSP/Raimondi Pictures, L.P. This business plan does not constitute an offer to

sell, or a solicitation of an offer to purchase, securities. This business plan has been

submitted on a confidential basis solely for the benefit of selected, highly qualified

investors and is not for use by any other persons. By accepting delivery of this business

plan, the recipient acknowledges and agrees that: (i) in the event the recipient does not

wish to pursue this matter, the recipient will return this copy to Perfect Story Productions,

PSP/Raimondi Pictures, L.P. at the address listed below as soon as practical; (ii) the

recipient will not copy, fax, reproduce, or distribute this confidential business plan, in

whole or in part, without permission; and (iii) all of the information contained herein will be

treated as confidential material.

← CONTROLLED COPY ← For Information Contact:
← Issue To: ← M. Anthony Librizzi
← Issue Date: ← Perfect Story Productions, PSP
← Copy No. ← 1615 Greenfield Avenue STE.
#12
← ← Los Angeles, CA. 90025
← ← (323) 393-3127

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← © Copyright 2010 Perfect Story Productions, PSP/Raimondi Pictures, L.P.

© Copyright 2010 Perfect Story Productions, PSP/Raimondi Pictures, L.P. Page 2

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← Table Of Concepts
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← 1. MISSION
STATEMENT……………………………………………………………………………………
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← 2. EXECUTIVE
SUMMARY………………………………………………………………………………………
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← 3. THE
COMPANY………………………………………………………………………………………
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← 4. THE
FILM………………………………………………………………………………………………
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← 5.
DISTRIBUTION………………………………………………………………………………
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← 6. THE MARKET……………………..
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© Copyright 2010 Perfect Story Productions, PSP/Raimondi Pictures, L.P. Page 3

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← 7.
CONCLUSION…………………………………………………………………………………
…………………………. Page 9
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← 1 / MISSION STATEMENT
Perfect Story Productions, PSP/Raimondi Pictures, L.P. will capitalize on
the growing entertainment market across the world through the production
and promotion of high quality entertainment. Located in Los Angeles, CA.,
the company will become highly profitable through the sale of Guns &
Redemption, in addition to revenues generated from additional profit
streams. Perfect Story Productions, PSP/Raimondi Pictures, L.P. will own and
control the master cop[ies], copyrights, and licenses of its product, which will
enable Perfect Story Productions to create immediate revenue streams while
growing its film catalog in a multi-million dollar asset.
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← 2 / EXECUTIVE SUMMARY
Paul Raimondi, Producer/Writer/Director:
Paul Raimondi originally formed Raimondi Films for producing and
directing film documentaries. After his work was recognized with Academy
Award and Emmy nominations, Raimondi expanded the company to include
television commercials and entertainment projects. Of his first feature
project, Crosscut, the trade publication Variety wrote, “In his feature debut,
director Paul Raimondi, who also co-wrote the script, shows sensitivity to

© Copyright 2010 Perfect Story Productions, PSP/Raimondi Pictures, L.P. Page 4

character development and proficiency at creating suspenseful situations.”

M. Anthony Librizzi, Executive Producer:

A mentee of Paul & Jane Raimondi since in 2009, M. Anthony Librizzi is the
founder of Perfect Story Productions, PSP. Prior to that, he was Managing
Partner of Synergy Media L.L.C., S3M, a boutique pubic relations firm. Librizzi
began his career with The Tavern restaurant in various training and
management positions before becoming an HRMS Project Manager at Perdue
Farms, Inc. His next position was as Regional Business Coach of YUM!
Brands, Inc., the largest quick-service restaurant group in the world, located
in Louisville, KY. After two years at YUM! Brands, Inc. he founded Perfect
Story Productions, PSP and more recently launched iBrand Entertainment,
Inc. Librizzi graduated with a B.A. in Professional Business Studies from West
Chester University and is near completion of his M.S. in Entertainment
Business at Full Sail University.

← 3 / THE COMPANY
Perfect Story Productions, PSP/Raimondi Pictures, L.P. in association with
Shoreline Entertainment, plans to develop and produce Guns & Redemption,
a thought-provoking film that combines a Western story with the eternal
struggle of good versus evil. An independent film company, Perfect Story
Productions/Raimondi Pictures, L.P. is the General Partner of Perfect Story
Productions, PSP/Raimondi Pictures, L.P. The film’s total budget is $3.5
million. The General Partner will raise $1.5 million, while Shoreline will raise
the remaining $2 million.
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← 4 / THE FILM
Matt, a young man in the town of Redemption, sees a Stranger ride into
town. Violence soon erupts in the heretofore-peaceful town. Seeking help
from the Stranger to stop the killing, Matt has no idea how this relationship
will change his life forever.

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← 5 / DISTRIBUTION
The motion picture industry is highly competitive. There is an active
market for low budget motion pictures. Unlike most independent films, we
have a guarantee of distribution with our partner Shoreline Entertainment.
Given quality of the story and experience of the production team, we feel
that this film will be an attractive product in the market.

Our relationship with Shoreline Entertainment (see company description

below) guarantees that they will handle the foreign sales and make a deal
with a studio for a domestic release. Every film with which they have been
involved has acquired a strong domestic distributor and successful foreign
sales.

The motion picture industry is highly competitive, with much of a film’s

success often depending on the skill of its distribution strategy. There is an
active market for completed motion pictures, with virtually all the studios
and independent distributors seeking to acquire films. The filmmakers feel
that Guns and Redemption will be an attractive product in the marketplace.

As the sales agent for the film, the distributor licenses the film to
theatrical exhibitors
(i.e., theater owners) for domestic release and to specific if not all foreign
territories, for a percentage of the gross box office dollars. The initial release
for most feature films is U.S. theatrical (i.e., in movie theaters). For a picture
in initial release, the exhibitor, depending on the demand for the movie, will
split the revenue derived from ticket purchases (“gross box office”) with the
distributor; revenue derived from the various theater concessions remains
with the exhibitor. The percentage of box-office receipts remitted to the
distributor is known as “film rentals” and customarily diminishes during the
course of a picture’s theatrical run. Although different formulas may be used
to determine the splits from week to week, on average a distributor will be
able to retain about 50 percent of total box office, again depending on the

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performance and demand for a particular movie. In turn, the distributor will
pay to the motion picture producer a negotiated percentage of the film
rentals less its costs for film prints and advertising.

Film rentals become part of the “distributor’s gross,” from which all other
deals are computed. As the distributor often re-licenses the picture to
domestic ancillaries (i.e., cable, television, home video), foreign theatrical
and ancillaries, these monies all become part of the distributor’s gross and
add to the total revenue for the film in the same way as the rentals. The
distribution deal with the producer includes a negotiated percentage for each
revenue source; e.g., the producer’s share of foreign rentals may vary from
the percentage of domestic theatrical rentals. The basic elements of a film
distribution deal include the distributor’s commitment to advance funds for
distribution expenses (including multiple prints of the film and advertising),
and the percentage of the film’s income the distributor will receive for its
services. Theoretically, the distributor recoups the cost of its print and
advertising expenses from the initial revenue of the film. The distributor also
receives a percentage of the film’s income. Although distributors often
receive as much as 35 percent of the total worldwide revenue as a fee, our
agreement with Shoreline is that they will receive 20 percent of the foreign
revenue. In addition, we feel confident of making a deal with a domestic
distributor for a fee not more than 30 percent. However, the specifics of the
distribution deal and the timing of all money disbursements depend on the
agreement that is finally negotiated. The “net” that is left after the
distributor has taken all his fees and the production cost has been repaid
flows to the profit line for the producers and the investors.

RELEASE STRATEGIES
The typical method of releasing films begins with domestic theatrical,
which gives value to the various film “windows” (the period that has to pass
after a domestic theatrical release before a film can be released in other
markets). Historically, the sequencing pattern has been to license to pay-
cable program distributors, foreign theatrical, home video, television

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networks, foreign ancillary and U.S. television syndication. As the rate of
return varies from different windows, shifts in these sequencing strategies
will occur.

Distributors plan their release schedules with certain target audiences in

mind. Given the cost of prints ($1,200 to $1,500 each), the wide release of a
film can cost well over $4 million, accompanied by an equally high
advertising program. With lower-budgeted films, distributors will often have
a “platform” release. In this case, the film is given a build-up by opening
initially in a few regional or limited local theaters to build positive movie
patron awareness throughout the country. The time between a limited
opening and its release in the balance of the country may be several weeks.

SHORELINE ENTERTAINMENT
Shoreline Entertainment has been acquiring, producing and distributing
feature films since 1992. As the worldwide film industry continues to mature
and new formats are developed, Shoreline has moved quickly to satisfy
demand for quality movies. Presenting a library of 165 movies, Shoreline has
produced approximately three movies per year and has additionally acquired
other movies for distribution. Financing for Shoreline's movies comes from
pre-sales, equity financiers and gap financing. Managing strong bank and
bond company relationships, a versatile team of executives and a controlled
overhead, Shoreline continues to acquire and create productions of a high
caliber, designed to fill a niche in buyers ever-changing schedules. Every
movie produced or sold by Shoreline to date has been licensed
internationally and to major U.S. distributors including theatrical distributors
New Line Cinema, October Films, Lions Gate Films, and pay television
distributors HBO, Showtime, Encore and many more. Mainstream thrillers,
independent dramas as well as theatrical movies are produced. If a movie is
financially viable, has creative integrity and first class executives behind it,
Shoreline will produce, distribute and secure all or part of the movie's
financing. Excited by the possibilities in the independent film world, their
business ethic remains the same; "First class business, with first class

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people."
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← 6 / THE MARKET
The independent market continues to prosper. The filmmakers are in the
unusual position of having a mainstream film that fits the movie-going tastes
of worldwide audiences. The strategy of making films in well-established
genres has been shown time and time again to be an effective one. There
has always been a market for films with well-crafted, story-driven scripts that
are strong enough to cross genre boundaries. As an independent, the
Partnership can distinguish itself by making an original, distinctive film that
is entertaining and uniquely interesting.

The independent market continues to prosper. The strategy of making

films in well-established genres has been shown time and time again to be
an effective one. Although there is no boilerplate for making a successful
film, the film’s probability of success is increased with a strong story, and
then the right elements – the right director and cast and other creative
people involved. Being able to green light our own product, with the support
of investors, allows the filmmakers to attract the appropriate talent to make
the film a success and distinguish it in the marketplace.

There has always been a market for films with well-crafted scripts and
stories strong enough to cross age groups. These dramas do not require
high-priced stars to create significant revenue flows, although having a
significant cast certainly is a plus. Their emphasis is always on sensitivity
and subtlety. While the competition for ticket sales has increased over time,
as has the number of films in release, there has always been a consistent
and growing audience seeking a meaningful and worthwhile experience.

TARGET MARKETS
Westerns:
The Western film is the most characteristically American genre, in
addition to being one of the oldest, most enduring and most flexible. This

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indigenous American art form easily is brought forward from the frontier
West to the 21st century. Silverado, Unforgiven and Dances With Wolves are
credited with helping to usher in the return of the Western, with more recent
titles including John Sayles’ Lone Star, Shanghai Noon, Open Range, Hidalgo,
Cold Mountain, The Alamo and The Missing. Film studios, publishers and
other consumer content providers have seen a return to American values
among their customers. Well-known film critic Leonard Maltin says that there
is a huge audience for everything Western, particularly on cable TV. It's a
staple that people keep coming back to. HBO has the tremendously
successful series Deadwood, set in the Dakota Territory of 1876. In addition,
the USA network premiered the series Peacemakers starring Tom Berenger
as a federal marshal in the Old West of 1882. The massive audience round
up by Monte Walsh, the made-for-cable Western movie produced by and
starring Tom Selleck for TNT, has energized other production companies.
Monte Walsh not only had an audience of more than 7 million but also
dispelled the conventional wisdom that only “old people” watch Westerns by
finishing as the second highest-rated original movie in cable among adults
18-49 for the first quarter, with 2.3 million viewers. The bottom line is that
audiences of all ages enjoy Westerns.

Action/Adventure:
Of all the film genres, action/adventure remains the most popular. Film
audiences tend to enjoy identifying with the thrill of danger as well as the
exhilaration of succeeding at a difficult challenge. Often combined with
romance and comedy, well-made action/adventure films are box office
favorites. When films at the various markets (e.g., American Film Market,
Cannes, etc.) are categorized, those in the action and/or adventure genre are
the most abundant. These films can be targeted to both mature and young
cinemagoers, and are designed to have strong potential in other media,
especially DVD. While the box office for these films has usually been thought
of as being driven by young men, there is no longer a great divide between
men and women moviegoers. These films also fare well in foreign markets.
While much of the audience understands English or is used to subtitles,

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action reaches across the language barrier.

Mature Audiences:
Movie attendance is not confined to the young. In 2008, the crossover
age group of 25-
39 made up 32 percent of the movie-going audience. As the population has
grown older, movie attendance among the over-40 population has also
grown, now making up 33 percent of the audience. Baby boomers in
particular are estimated at 75 million strong, with the largest household
income in the history of the United States. In surveys, this group has
responded that they go to two to three movies per week. Although often
ignored by studios trying to appeal to every moviegoer at one time, many in
the more mature age groups grew up on early Westerns and melodramas.

Teenagers and Young Adults:

We feel that we will also meet the challenge of making a film with enough
familiar elements to attract a sizeable audience among the over 40 million
16-to-24-year-olds in the general population. They make up an important
movie-going block. The MPAA’s “U.S. Economic Report for 2008” identifies
them as 36 percent of the total audience. By having a film that also appeals
to the above-30 audience, we have the ability to create the ideal mass
market for a film.
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← 7 /CONCLUSION
Perfect Story Productions, PSP/Raimondi Pictures is a company that plans
to develop and produce the film Guns and Redemption at a budget of $3.5
million. The Company’s objectives are to:

© Copyright 2010 Perfect Story Productions, PSP/Raimondi Pictures, L.P. Page 11

 • Develop and produce a film that has both domestic and foreign
appeal.

• Maintain strong management control over production to obtain the

best quality.

• Maintain totally independent production financing in order to make

the best possible deals with distributors, thereby maximizing
returns to the investors.
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