Executive Summary

2015 has become an exceptionally exciting time for On Cue Studio as we have launched our website Oncuestudio.com to include our forming of OCMF Global Charities, a charitable organization tasked with fulfilling the “Community Responsibility” focuses of the founders of On Cue Studio.  The website for our charity is OCMF.Global and is in current development.

We are actively working on “theFTproject”, a book series, 3 movie franchise and 3 movie sequel, “The Adventures of Me-Z”, a child development project for use as entertainment, parental & educator training and personal development for children from the ages of 4-6 & 8-12.  Additionally, we are developing “The Legends” TV pilot or movie & TV series “spin-off” and “The Brad Stine Show” a sit-com.  This is but a beginning list of projects that On Cue Studio has been working to secure through strategic alliances and partnerships, option agreements and concepts under development.  The entire scope of what our studio is doing to impact the entertainment industry can be received through our “On Cue Studio 2015 Proposal”.

On Cue Studio will develop and brand entertainment in the following areas: family-friendly & value-based films and TV entertainment, stories of faith and biblical accounts, full CGI animation and life experiences.  We are in agreement with Jeffrey Katzenberg (CEO of DreamWorks Animation), who once said; “Each of us in Hollywood has the opportunity to assume the responsibility for creating films that elevate rather than denigrate, that shed light rather than dwell in darkness, that aim for the highest common denominator rather than the lowest.”

This view is further supported by the quote from Ralph Winter, producer of “Cool It”, “Wolverine” and “X-Men Movies” who said “The Dove Foundation performs a valuable service for those of us working in Hollywood.  They dig for the facts, and show trends for reaching the value-based audiences that are under-served.  The Dove brand is recognized and referred to by producers seeking financing for value-based products”.  (Film Profitability Study 2012- Dove Foundation located in Section 3 of the Appendix) (To receive our “On Cue Studio 2015 Proposal” click here)  On Cue Studio agrees with Ralph that the value-based audience is a niche that needs more quality content.

The Dove Profitability Study, MPAA (Motion Picture Association of America) Theatrical Market Statistics 2014, and IBISWorld Industry Report 51211a were eye openers to defining our markets. One of the most impressive Dove statistics was the lack of choice for faith based and G rated movies provided by other studios. Additional support was stated by the Los Angeles Times on June 28, 2012 by John Horn in an online and telephone poll that Dove said included 8 million respondents.  These stats are still the most relevant data points as Dove has yet to update this report.

  • 94% of those surveyed “believe that offensive material in TV, movies and the Internet is on the rise”.
  • “93% want to see more wholesome family entertainment made”.
  • Dick Rolfe, CEO of Dove, in announcing the results on June 21, 2012 said: “The average moviegoer is sick of the continuous onslaught of exploding or naked body parts, glorified drug use and foul language”.
  • This information was supported further by “its profitability report by data from the research firm Kagan Media and an analysis by the Siedman College of Business at Grand Valley State University”.

With over 8 million people, this got our attention and focused our vision.  See the entire Dove Report in (Section 3 of the Appendix).

The MPAA report focused On Cue on these key points:

  • Over 90% of the world’s cinemas are digital, up 7% from 2013 data.
  • More than 2/3 of the US/Canada population (68%) went to the movies at least once in 2014.
  • The 12-17 and 18-24 year olds and Hispanics oversampled in tickets sold versus their proportion of the population.
  • The 40-49 and 50-59 year olds share of tickets purchased are at an all-time high with 60+ being at its highest level since 2011.
  • 73% of all frequent moviegoers, 18 and older, own at least four different types of key technology products.
  • Movie theaters continue to draw more people than all the theme parks and U.S. sports combined.
  • Global growth was driven primarily by the Asia Pacific region (+12%) and the Chinese box office ($4.8 billion) increased 34% in 2014. China is now the first international market to exceed $4 billion in box office.

On Cue Studio will be focused on creating products to insure success in both domestic and the international box, new content delivery methods, CGI and 3D animated movies and creating TV broadcast content to service a much underserviced worldwide market in our targeted genres’ (see the entire MPAA report in Section 4 of the Appendix).

The IBISWorld Report 51211a helped us to recognize our SWOT (Strengths, Weaknesses, Opportunities, and Threats) focuses in the following ways: (see section 5 of the Appendix)

  • Failure to form strategic distribution and first look alliances with major studios will affect Production Company’s ability to attract A-list actors and project financing.
  • Without a consistent social media presence and consumer reviews, box office number could decrease in favor of viewing movies on TV versus favorable reviews driving consumers to the theaters.
  • Producers and companies are acquiring foreign licensing partners, expanding into new revenue streams such as theme parks and owning theaters and forming joint ventures or acquisitions to remain competitive.
  • In the past five years, film producers have grappled with many time-strapped consumers participating in other leisure activities such as viewing TV programs.
  • Over the next five years, online sales will play a growing role in the industry’s success as consumers continue to switch to digital media. Movies will be produced to be accessed on key technology products such as mobile devices, tablets and computers weeks after theatrical release.
  • As movie studios continue to develop new technologies in 2015, technological change will represent a potential opportunity for the industry.

In order to maximize the return to both our organization and investors we are positioning ourselves to take advantage of the ever expanding film ready state of Georgia, also known as the “Hollywood of the South”.  According to the August 2014 State of Georgia Governor’s Office Press Release: “Since 2008, more than 90 companies have located in Georgia to support the industry. These new businesses are generating jobs and ensuring the industry’s sustainability in Georgia well into the future”.  (See document in Section 7 of the Appendix)

As a company, we recognize the considerable effort Georgia is making to maximize and assist the entrepreneurial visionaries who are making Georgia their base of operations.  On July 1, 2014 to assist with providing crew for film productions, Gov. Deal’s High Demand Career Initiative (HDCI) focused on the film and digital entertainment industry.  The meeting was an opportunity to help identify specific needs of businesses that are producing film, television and digital entertainment projects. These skilled positions require training and special certifications that Georgia is prepared to cultivate and implement through a collective effort between the Georgia Department of Economic Development, the University System of Georgia, the Technical College System of Georgia and key leaders in the entertainment industries in Georgia.

In addition, we see the talent pool and commitment of others in support industries flocking to Georgia as referenced in the same press release from the Governor’s office which states:  “According to the Motion Picture Association of America (MPAA), the motion picture and television industry is responsible for more than 77,900 jobs and $3.8 billion in total wages in Georgia, including indirect jobs and wages. Nearly 23,500 people are directly employed by the motion picture and television industry in Georgia, including 8,188 production-related employees. The MPAA member companies comprised of Paramount, 20th Century Fox, Warner Bros., Sony, Universal and Disney paid $696 million to 4,066 vendors in Georgia in 2012.  These local businesses include technology, lodging, real estate and food service.”  This trend is only growing and we see a long sustained pattern of growth that has been accruing in Georgia for many decades and decades to come.

On Cue Studio recognizes the success of other production companies already operating and relocating to Georgia.  Mediant Films, Pinewood Atlanta, Tyler Perry Studios and Sherwood Pictures are just a few.  Jacoby Development was written about by Jennifer Brett and J. Scott Trubey of the AJC online August 21, 2014 that MBS3, who operates MBS Media Campus in California, where James Cameron, director of blockbusters “Titanic” and “Avatar” bases his production company, has joined with Jacoby for their Studio Campus that will revamp the OFS Optical Fiber Plant located at Jimmy Carter Blvd and I-85 South.  As did The Kendrick Brothers/Sherwood Pictures, we will utilize the successes of our features to assist in funding larger productions and the growth of our Studio Campus.  Tyler Perry, Mediant and Pinewood are more established studios moving operations and opening operations in Georgia to capitalize on the lucrative nature of the Georgia Film tax incentive as well as an environment conducive to growth.  The time for investment in this market is now.

We see multiple advantages being located near Athens, GA.  One being a centrally located spot in the triangle which represents Mediant Films in Savannah; Pinewood, EUE/Screen Gems, Jacoby/MBS3 & Tyler Perry in Atlanta; and a rising film growth in Charleston, South Carolina just over 4 hours away.  Secondly, this is an opportunity for our studio to be a filming location, provide crew support, and equipment leasing with our assets during this period of growth.

Tyler Perry Studio, by way of example, has utilized faith infused messages, with his Madea character, hard hitting story lines and obvious characters of faith to produce an enormous success and build his own studio in Atlanta.  Due to Mr. Perry’s success, since 2006, his location is inadequate and Tyler Perry Studios is in negotiation to build on 330 acres of Fort MacPherson pending approval.

Sherwood Pictures has a more traditional faith based message, that used inexperienced talent, and extremely low budgets by Hollywood standards, like “Facing the Giants” and “Flywheel”.  With the talent addition of Kirk Cameron in “Fireproof” and only a two million dollar budget, Sherwood’s production budget versus box office return was a phenomenal success.  On opening weekend the movie returned over $7 Million in domestic box office sales and has done close to $35 Million to date.  Due to their successes, Sherwood Pictures co-founders, the Kendrick brothers, are now filming independently as Kendrick Brothers, LLC.

As a Studio, this type of growth and support is why we see Georgia as a perfect fit to our plans.  Long & short term, these goals include the expansion of our management team and associates, property acquisition, brick and mortar office space, sound stages, filming & production assets, and development of theme park concepts all exercised within a strategic financially benchmarked and audited plan.

Expanding our thoughts of the previous paragraph our future offering to the industry is to create a studio campus with all the capabilities of Hollywood in a one stop location.  Our studio will allow producers a singular location to film in sound stages designed to create the best possible product, capitalize on the up to 30% Georgia tax incentives, editing and animation suites staffed with top industry professionals utilizing the latest and proven technologies, computer storage networks that are state of the art and scalable from DDN, all packaged within one location.  Our studio will incorporate a benchmark audio suite designed by one of the industry audio giants, Russ Berger.  He and his team will take the lead on the design of the entire project down to the selection of the site to maximize its acoustic qualities.

In addition to the studio, our creative team will provide to writers, producers and outside studios the ability to take an idea from conceptualization to a finished product.  On Cue Studio will develop and brand entertainment in the following areas; family-friendly and value-based films and TV entertainment, stories of faith and biblical accounts, full CGI animation and life experiences.  The experience of our associates and partners will allow us to produce our own products and produce projects for other companies.  Our projects will use seasoned & proven writers, producers, directors, actors and talent in order to guarantee the best of possible outcomes to our investment partners.  Now is the time to become a part of what On Cue Studio is doing through your prayers and financial partnerships.

To receive our “On Cue Studio 2015 Proposal” click here.

C. Douglas Stroup
Founder & CEO
On Cue Studio