PALM SPRINGS, Calif., Aug. 29, 2005 (PRIMEZONE) -- Q Television Network (Pink Sheets:QBID), the first 24/7 premium network for the gay and lesbian community, announced today that partial completion of the independent audit being held has begun to detail Q Television's financial status.
"We are pleased with our year over year growth, our revenues have grown more than one hundred percent since Q1, 2004, our subscriber base has grown by three hundred percent in twelve months, our sponsorship will grow a staggering fifteen hundred percent in eleven months and our carriage expansion and visibility has far outpaced the industry standard," said Frank Olsen, President, CEO and Founder of Q Television Network. "We, as a company, felt with Q Television's one-year anniversary upon us, we would detail our accomplishments and projections going forward to investors and the markets."
"We are confident the current market capitalization on our security should be trading more in line with the accomplishments highlighted throughout 2004-2005. Q Television's business model is being viewed as concrete by industry analysts, and our company is currently being courted by many large financial institutions on Wall Street seeking an ownership position in the company. Based upon the offers presented by these companies, Q Television's current value is two hundred million dollars, or ten times the market capitalization that the market has put on our trading stock, Triangle Multi-Media, the trading security for Q Television Network (a subsidiary of Triangle Multi-Media). Q Television's assets outweigh the total market value by seven times our stock price, and industry executives know this. We have been offered a low eight-figure deal for our company, and we refused. Our financial team is confident that Q Television will be worth one billion dollars in twenty-four months. Q Television has signed some of the largest cable carriers in the country, secured total broadcasting rights to the Gay Games VII, and owns and operates a multi-million dollar studio in California, to name a few of our accomplishments. The equity markets will not keep us at these levels for very long. We know that the outstanding share count has increased with some restricted stock coming due and selective purchases, but this stock was strictly used for tangible assets and was done in the best interest of the company. We will update the markets upon full completion of the audit," said Olsen.
BUSINESS AND FINANCIAL HIGHLIGHTS
Q Television Media City -- The studio that Q Television recently purchased has contracts in place for nine months worth one million dollars. The studio has pending agreements for 2006 of one million dollars. It also has eight hundred thousand dollars of secured rollover and two hundred thousand dollars in new contracts.
Revenue -- Q Television's current revenue is three hundred thirty thousand dollars per month and it expects twenty-four million dollars in revenue for fiscal year 2006. This number is based on existing contracts with advertisers, conservative subscriber increases based upon the regions available, and finally, commitments from partnerships (i.e. Gay Games, etc.).
Sponsors / Advertising -- Q Television has projected revenue of seven million dollars in confirmed sponsorship and/or advertising in the next twelve months.
Syndication -- Q Television has created one thousand hours of original programming available for syndication, bringing in one hundred fifty thousand dollars in 2006. Q Television will continue to syndicate new programming at a rate of two hundred hours per month.
Shares Outstanding -- Triangle Multi Media (TMM), ticker: QBID (Q Television being a subsidiary of Triangle Multi-Media) shares outstanding total fourteen billion and five and one-half billion shares restricted. The time constraints placed on the restricted stock is for three to five years. The share increase in 2004 was due to acquisitions, previously restricted shares coming due, and was prior to secured financing. The shares bargained in 2004 were strictly utilized for growing Q Television. TMM has no future intention of raising its outstanding share count and/or authorized share count. TMM will also buy back stock when liquidity is available.
Carriage -- Q Television has secured agreements with forty-five percent of the large cable carriers in the United States. Q Television has commitments from specific carriers ensuring availability into sixteen million homes by December 2005.
Subscribers -- Q Television's subscriber base is currently twenty-two thousand, and its expected subscriber growth rate going forward is twenty-five percent per month.
Gay Games VII -- Q Television has secured total broadcasting rights to the first-ever televised Gay Games in the United States. The five million dollars invested (through purchase rights and advertising) expects a three-fold return totaling fifteen million dollars (through advertising, syndication and broadcast rights). More information can be seen at www.gaygames.com
Debt -- Q Television's current outstanding debt is two million dollars. This minimal debt should be satisfied by Q2, 2006. Q Television expects profitability in eleven months.
Film Library -- Q Television has acquired over 4,000 films generating two hundred thousand dollars per year. Similar libraries of this size have recently sold for eight billion dollars. Many films will be proprietary property of Q Television, and the remainder will be leased to other networks.
About Q Television:
This 24/7 premium television network is organized to create, develop and feature television programming for the gay and lesbian community, including live & interactive content every weeknight, plus sports, information and entertainment. While the company expects much of its subscriber base to be comprised of members of the gay and lesbian population, management also believes that quality programming about the gay and lesbian experience, designed to entertain, educate and inform, will attract many other segments of the viewing public. The company's programming is available on a subscription basis to those desiring to subscribe. The network is telecast 24 hours per day, 7 days per week. Providing distribution via satellite ensures availability of the network across the United States, including Alaska, Hawaii and Puerto Rico. Q Television Network is the official network of Gay Games(R) VII. The network is also ad-supported. For further information on programming and subscriptions, please visit www.qtelevision.com.
Safe Harbor Statement
As a cautionary note to investors, certain matters discussed in this press release may be forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995. Such matters involve risks and uncertainties that may cause actual results to differ materially, including the following: changes in economic conditions; general competitive factors; the television network's ability to execute its business model and strategic plans; and the risks described from time to time in the company's Securities and Exchange Commission filings.