TORONTO, July 13, 2004 (PRIMEZONE) -- Bach-Hauser, Inc. (Pink Sheets:BHUS) has signed a memorandum of understanding with G:Company, Inc., a privately held Korean company. Bach-Hauser has negotiated with G:Company for a percentage ownership of their company. A minimum stake of 30% has already been agreed upon with ongoing negotiations for a larger stake. Terms and conditions of the acquisition are presently being finalized. G:Company is a fully integrated multimedia company with both production and marketing entities in video game design and production, internet tools, web design and animation. Since its creation in 1996, G:Company's vision has been focused on combining exceptional creative talent with the latest technology to deliver the highest quality product to the market.
G:Company has a production studio with a staff of 45 in Seoul, South Korea. G:Company has produced over 100 animated episodic television series and films such as Jumanji, 101 Dalmatians, Tarzan, Rugrats, and commercials for such clients as McDonalds and Samsung. The company has and continues to develop high quality 3D animation products utilizing cutting-edge technology. Both companies believe in the future growth of the 3D CGI animation as the successes of Finding Nemo and Shrek franchise will attest to. 3D CGI (Computer generated Images) animation also has many other applications such as video game production and visual effects found in films. This acquisition will now allow Bach-Hauser to actively pursue and execute CGI service contracts originating from the United States and Canada. A typical service contract ranges from $1 million to $5 million and in a lot of cases are well over $10 million. 3D CGI animation and video games is a multi-billion-dollar industry and is growing at a record pace. The video game industry in the U.S. alone grew to $7 billion in 2003 an eight percent increase from the previous year. Sales have more than doubled since 1996.
G:Company's production studio and head office is located in Seoul, South Korea with a marketing office in Los Angeles, California. Bach-Hauser and G:Company are also in talks to jointly open a studio in Toronto, Canada. The President and CEO of G:Company is Ms. Sunny Ogbamichael who has also held posts as the Chief advisor to the Korea Animation & Game Promotion Center and as an advising director to the Korea Trade Commission. For more information on G:Company please see their website www.gcompanyinc.com.
Bach-Hauser is pleased that G:Company has taken this step because the company believes in the opportunities this will bring it especially in the growing Asian market where G:Company has a proven track record and extensive experience in all media fields. The company will also be speaking with G:Company to market DVNI's internet video conferencing system in Korea and in China. Bach-Hauser believes that the whole video conferencing business will grow at a record pace in the coming year and with the major surge coming from Asia. It is presently a $1 billion industry.
This press release contains forward-looking information within the meaning of section 27A of the Securities Act of 1933 and section 21E of the Securities Exchange Act of 1934 and is subject to the Safe Harbor created by those sections. This material contains statements about expected future events and/or financial results that are forward-looking in nature and subject to risks and uncertainties. For those statements, the Company claims the protection of the safe harbor for forward-looking statements provisions contained in the Private Securities Litigation Reform Act of 1995 and any amendments thereto. Such forward-looking statements by definition involve risks, uncertainties and other factors which may cause the actual results, performance or achievements of the Company to be materially different from the future results, performance or achievements expressed or implied by such forward-looking statements. Discussions of factors, which may affect future results, are contained in the Company's most recent SEC filings.