Regan Arts Income Statement 2015 Revenue Direct Costs PPB Plant Expense Royalty Selling & Distribution Gross Marin Other Expenses Freight Overhead Net Profit 0 633,325 0 100,000 i) 26,820 oO 191,345 ) 82,332 0 400,497 0 232,828 Qo 50,000 o 11,791 335,440 335,440 335,440 = 397,231 (335,440) (164,403) 3,501,853 473,350 133,546 1,034,531 455,241 2,096,668 1,405,184 285,000 64,464 335,440 684,904 720,280 696,940 123,700 65,080 113,155 90,602 392,537 304,402 58,000 12,926 275,440 346,366 (41,964) 874,835 116,725 73,347 200,859 113,728 504,659 370,176 73,000 16,412 265,440 354,852 15,324 872,872 158,700 92,903 196,526 113,473 561,603 311,270 62,500 16,085 265,440 344,025 336,579 44,775 46,644 46,163 43,755 181,337 155,242 27,500 6,266 275,440 309,206 121,965 17,000 14,500 29,194 15,855 76,549 45,416 5,000 2,433 265,440 272,873 4,229,507 456,920 108,424 914,074 549,836 2,029,254 2,200,253 246,000 59,087 265,440 $70,527 (32,755) (153,964) (227,457) 1,629,726 1,433,465 i) 526,305 oO 185,000 oO 216,694 0 186,350 0 1,114,349 oO 319,116 0 153,000 0 50,764 0 286,440 265,440 490,204 265,440 (171,088) (265,440) 0 12,701,339 0 2,017,475 0 746,264 50,531 2,993,071 O 1,651,174 50,531 7,407,984 (50,531) 5,293,355 0 960,000 3,537 —-243,765 265,440 3,436,280 268,977 4,640,045 (319,508) 653,310 EFTA00596820

--=PAGE_BREAK=--

Regan Arts Cash Flow - 2015 Cash Inflow Revenue Selling & Distribution Cash Outflow Royalties - Advances (14) Additional{14) Royalty Payments Royalty Advances (15) PPB Plant Expense Salaries & Fringe Benefits Other Overhead = Freight Rent Leasehold Improvements Insurance Legal Fees Travel and Entertainment Net Cash Flow Jan-15 _Feb-15 tt) ty) Qo LY) tt) ts) 141,000 91,250 250,000 250,000 0 100,000 0 26,820 193,140 193,140 30,000 30,000 0 50,000 0 11,791 27,300 27,300 70,000 70,000 0 oO 10,000 10,000 5,000 5,000 726,440 865,301 726,440) (865,301) 633,325 3,501,853 455,241 550,993 3,046,612 Mar-15 pr-15 ts) t) 82,332) tt) 295,000 205,000 77,391 250,000 250,000 473,350 123,700 133,546 65,080 193,140 193,140 30,000 30,000 285,000 58,000 64,464 12,926 27,300 27,300 70,000 = 10,000 0 oO 10,000 10,000 5,000 5,000 1,250 427,917 250,000 116,725 73,347 193,140 30,000 73,000 16,412 27,300 0 0 10,000 5,000 1,836,800 1,067,537 1,224,091 1,836,300) 516,544) 1,822,520 696,940 90,602 606,337 0 85,164 250,000 158,700 92,903 193,140 30,000 62,500 16,085 27,300 0 ti) 10,000 5,000 930,792 324,455 874,335 113,728) 761,106 o 106,903 83,333 44,775 46,644 193,140 30,000 27,500 6,266 27,300 10,000 i) 10,000 5,000 590,861 170,245 872,872 113,473 759,399 33,750 106,663 83,333 17,000 14,500 193,140 30,000 5,000 2,433 27,300 0 0 10,000 5,000 528,119 231,280 336,579 43,755 292,824 368,750 41,129 83,333 456,920 108,424 193,140 30,000 246,000 59,087 27,300 0 0 10,000 5,000 1,629,083 1,336,260} Nov-15 121,965 4,229,507 15,855) 549,836) 106,110 3,679,671 230,000 14,904 83,333 526,305 185,000 193,140 30,000 153,000 50,764 27,300 10,000 11,000 10,000 5,000 1,529,746 10,000 516,835 83,333 oO oO 193,140 30,000 10,000 5,000 875,608 1,423,637) 2,804,063 Dec-I5 FY 2015 1,433,465 186,350) 1,247,114 65,000 175,166 83,333 oO oO 193,140 30,000 oO 3,537 27,300 oO oO 10,000 5,000 592,476 654,638 12,701,339 (1,651,174) 11,050,165 1,441,000 1,552,071 2,000,000 2,017,475 746,264 2,317,680 360,000 960,000 243,765 327,600 240,000 11,000 120,000 60,000 12,396,855 1,346,690) EFTA00596821

--=PAGE_BREAK=--

Existing Employees Emploee 1: Employee 2: Employee 3: Editorial Intern Employee 5 Employee 6: Employee 7: Employee 8: Employee 9: Employee 10: Employee 11: Employee 12: Finance Manager (40% Allocation) New Hires Director of Publicity Junior Publicist Executive Assistant Editorial Assistant Senior Editor Interior Designer Total Salaries Fringe & Benefits Total Salaries and Fringe Benefits Yearly Salary 450,000 140,000 32,000 32,000 50,000 100,000 55,000 50,000 160,000 100,000 90,000 250,000 29,000 150,000 75,000 75,000 40,000 150,000 60,000 11% Janis Feb-15 Mar-isApr-isMay-15 Jun-15_ Juris Aug-is Sep-i5 Oct-15 Nov-l5 Dec-is | FY 2015 | 37,500 37,500 37,500 37,500 37,500 37,500 37,500 37,500 37,500 37,500 37,500 37,500 450,000 11,667 11,667 11,667 |11,667/ «11,667 «11,667 «11,667 «11,667 «11,667 «11,667 «11,667 |:11,667 140,000 2,667 2,667 2,667 2,667 2,667 2,667 2,667 2,667 2,667 2,667 2,667 2,667 32,000 2,667 2,667 2,667 2,667 2,667 2,667 2,667 2,667 2,667 2,667 2,667 2,667 32,000 4167 4,167, 4,167 4,167 4,167 4,167 4,167 4,167 4,167 4,167 4,167 4,167 50,000 8333 8,333 «= 8,333,'s«8,333 8,333 «8,333 «8,333 «8,333 «8,333 «8,333,333. -«8,333 100,000 4583 4583 4583 4,583 4583 4,583 4,583 4583 4,583 4583 4,583 4,583 55,000 4167 4,167 4,167) 4,167) 4,267 4,167 4,167 4,167 4,167 4,167 4,167 = 4,167 ~— 50,000 13,333 13,333. «13,333. «13,333 «13,333 «13,333 «13,333 «13,333 «13,333 «13,333 «13,333 «13,333 160,000 8333 «8,333 8,333 83338333333 B333)— «8333 «8,333 «8,333 «8,333,333 «100,000 7500 7,500 7,500 7,500 7,500 7,500 7,500 7,500 7,500 7,500 7,500 7,500 90,000 20,833 © 20,833 © 20,833 «20,833 «20,833 © 20,833 «20,833 «20,833 ©=—20,833 «20,833 «= 20,833 ~=—«20,833 «250,000 2417 2,417 2,417,417 241724172? 241724172437?) 2,417— 2,417 29,000 12,500 12,500 12,500 12,500 12,500 12,500 12,500 12,500 12,500 12,500 12,500 12,500 150,000 6250 6,250 6,250 6,250 6,250 6250 6250 6250 6250 6250 6,250 6250 75,000 6250 6,250 6,250 6,250 6,250 6250 6,250 6250 6250 6250 6,250 6,250 75,000 3,333 «3,333 3,333 3,333 3,333 3,333 «3,333 «3,333 «3,333 «3,333 3,333 3,333 40,000 12,500 12,500 12,500 12,500 12,500 12,500 12,500 12,500 12,500 12,500 12,500 12,500 150,000 5,000 5,000 5,000 5,000 5,000 5,000 5,000 5,000 5,000 5,000 5,000 5,000 60,000 174,000 174,000 174,000 174,000 174,000 174,000 174,000 174,000 174,000 174,000 174,000 174,000 2,088,000 19,140 19,140 19,140 19,140 19,140 19,140 —:19,140_—*'19,140 19,140 19,140 19,140 19,140 229,680 193,140 193,140 193,140 193,140 193,140 193,140 193,140 193,140 193,140 193,140 193,140 193,140 2,317,680 EFTA00596822

--=PAGE_BREAK=--

Expense Salaries Fringe & Benefits Rent Other Overheads Leasehold Improvements Insurance Legal Fees Travel and Entertainment Jan-15 174,000 11% 19,140 327,600 27,300 30,000 70,000 0 10,000 5,000 Total Overhead 335,440 Feb-15 =Mar-15 = Apr-15_— May-15 —Jun-15 Jul-15 174,000 174,000 174,000 174,000 174,000 174,000 19,140 19,140 19,140 19,140 19,140 19,140 27,300 27,300 27,300 27,300 = 27,300 27,300 30,000 30,000 30,000 30,000 30,000 30,000 70,000 70,000 10,000 0 Oo 10,000 ° ° 0 ° 0 0 10,000 10,000 10,000 10,000 10,000 10,000 5,000 5,000 5,000 5,000 5,000 5,000 335,440 335,440 275,440 _265, 265,440 _275, ‘Aug-15 174,000 19,140 27,300 30,000 ° ° 10,000 5,000 265,440 Sep-15 174,000 19,140 27,300 30,000 o o 10,000 5,000 Oct-15 174,000 19,140 27,300 30,000 10,000 11,000 10,000 5,000 265,440 286,440 Nowis deci | F201 | 174,000 19,140 27,300 30,000 ° ° 10,000 5,000 174,000 19,140 27,300 30,000 o o 10,000 5,000 2,088,000 0 229,680 0 327,600 o 360,000 0 240,000 11,000 120,000 60,000 265,440 265,440 _ 3,436,280 EFTA00596823