Auctions clarifies arrangement between Rangemore and Flick Me
MIAMI BEACH, FL, March 15, 2013 /PRNewswire/ - Auctions International Inc. ("Auctions") (OTCPINK: AUCI) would like to clarify to shareholders the arrangement between Rangemore Productions Corp. ("Rangemore") and its new joint venture partner Flick Me Productions Limited ("Flick Me") and how it will affect Rangemore. The basic understanding is as follows:
Flick Me will make an agreement with a scriptwriter to develop a specific film project then will become the Executive Producer and hold the bulk of the royalties. For this, Flick Me will finance the project using the HMRC Enterprise Investment Scheme. As previously announced, Flick Me will be able to issue a 30% tax credit for any cash investment and can raise up to £16 million annually for one or multiple projects. There is a very high demand for this type of investment.
Rangemore will provide the studio and production facilities for which it will receive compensation in the form of cash and a royalty for each project utilizing the facilities. Rangemore will also have the opportunity to increase its royalty percentage by issuing Flick Me common or preferred stock. The purpose of acquiring a royalty is that Rangemore can participate in the box office success of the projects - it is the "Blue Sky" of the business plan. The end goal is to keep the studio at maximum occupancy while creating a diversified portfolio of film royalties.
In addition to the above, each year Flick Me can apply for a Film Tax Credit to get a refund for up to 25% of expenditures incurred in any of the projects. This application is filed with the annual corporate tax return and any refund received is then be passed on to the initial investors or reinvested into future projects.
"The combination of Flick Me and Rangemore is very unique" stated Andrew McLaughlin, President & CEO of Rangemore "with Flick Me providing sourcing and funding of the film projects, matched with Rangemore and its studio facilities making for a very strong partnership" continued Mr. McLaughlin.
About Auctions International Inc.
Auctions International Inc. is a publicly traded company whose core business was the development and implementation of a proprietary technology that enables virtual auctions for any type of product or commodity over the internet. In addition to the development and launch of its technology, the management of Auctions is dedicated to identifying and acquiring undervalued opportunities that have significant upside with the focus being to add to shareholder value. As a result, on December 31, 2012, Auctions entered into a Merger Agreement with Rangemore Productions Corp. For more information on Rangemore Productions Corp. please see below or visit www.rangemoreproductions.com.
Auctions is a Development Stage Company, as defined by Financial Accounting Standards Board ("FASB") Accounting Standards Codification ("ASC") 915, Development Stage Entities, and has not yet generated significant revenues from their intended business activities.
About Rangemore Productions Corp.
Rangemore Productions Corp. ("Rangemore") is an independent film company that operates a film studio on the Isle of Man known as Island Studios. Island Studios is a complete film production facility located two miles outside the town of Ramsey and is approximately 7 acres in size and houses a film studio, sound studio, make-up studio, dressing rooms, canteen and dormitory, administration offices, and storage facility. The studios have been operating since 2002. Along with the studio operations, Rangemore will be actively producing independent film productions. Management of Rangemore is in the process of reviewing a number of film projects and joint venture opportunities.
Except for the historical information contained herein, the matters discussed in this press release are forward-looking statements. Actual results may differ materially from those described in forward-looking statements and are subject to risks and uncertainties. See Auctions' filings with OTCMarkets which may identify specific factors that may cause actual results or events to differ materially from those described in the forward-looking statements.
SOURCE Auctions International, Inc.