Regan Arts Plan 2015 Income Statement Revenue 12,701,339 5,012,461 Direct Costs 7,407,984 2,657,612 Gross Margin 5,293,355 2,354,849 GM% 41.7% Other Expenses 4,640,045 Net Profit 653,310 Cash Flow Cash Inflows 11,050,165 4,713,422 Cash Out Flows 12,396,855 10,844,784 Net Cash Flow (1,346,690) (6,131,362) Maximum Funding (4,805,391) (7,686,852) Notes Current Scenario ~ Laydown numbers per Regan Arts/S&S Sales Teams - 47% net receipts ~ 13% Selling & Distribution ~ Return Rates by Category: Fiction (50%), Illustration (30%), Other (40%) Best Case Scenario ~ Sell all print run - 47% net receipts ~ 13% Selling & Distribution ~ No Returns Worse Case Scenario - Laydown numbers per Regan Arts/S&S Sales Teams reduced by 20% ~ 47% net receipts ~ 13% Selling & Distribution ~ Return Rates by Category: Fiction (50%), Illustration (30%), Other (40%) EFTA00596832