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Overview

Current Challenges

Evaluation of Options

Our Recommendation

Q&A

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LMC is ready to enter a new market Strong financial performance in 2010-2011

2007 2008 2009 2010 2011

Revenue $10,353 $11,474 $11,919 $12,646 $18,614

Cash at end of period $5,293 $5,650 $5,636 $5,532 $6,838

$-

$2,000

$4,000

$6,000

$8,000

$10,000

$12,000

$14,000

$16,000

$18,000

$20,000

LMC Media Financials (in millions)

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Entering the video game industry New to LMC

Competitive market

Bell Games team Perfectionist

Style of games

Lack of track record

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Typical game development life cycle

Key:

-Major Evaluation-Minor Evaluation

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MarketTrend

High Technology

Interactive Experience

CurrentProduct

Integrated 3D technology

Voice communication, Online Contest, MotionSensitive control

Team

Professional Technology Background

Industrial Experience

Passion

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Pro

QuickSolution

ConInability to

meetdeadlines

High GrowthPotential

ReputationalRisk

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MediateApproach

Collaborate with HotBat in futuregaming development

AggressiveApproach

Create a new gaming platformand leverage with Theme Park

assets

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A new theme park attraction featuring the

latest 3D technology in the 4D attraction

Project Xgives visitors a highly interactive

gaming experience

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Develop newgame

Customerexperience

Receivefeedback

Release gameto the public

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Traditional software development (Waterfall) Inflexible

High risk

Large lump investment

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Agile software development + ScrumTechnique Adaptability

Risk Reduction

Small frequent investments

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Reinforce LMCs acquisition objectives Revolutionary product with interactive experience

Promote friendly family competition

Combine gaming technology with current theme park infrastructure

Win-Win Solution

Additionalrevenuestream

Shortinvestmentholding period

LMCBetter testingenvironment

Reduce costthrough scrumtechnique

BellGames

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High InitialInvestment

Additional$100 million

StrategicResponses

MarketResearch

DueDiligence

Mark Bells

Contract

Expertise

Network

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Distinguish LMC from traditional media market

Decrease high programmer turnover

Redefining the gaming industry

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Freddiew, Real Life Mario Kart! . Youtube. Retrieved November

3 2012

Bevil, D. Universal Studios Orlando set to open Transformers ride

next summer. Orlando Sentinel. November 2, 2012. Retrieved

November 4, 2012

Steam.com/about. Retrieved online November 5, 2012 Unknown Author. The CHAOS Manifesto. The Standish Group.

Online Journal. 2012. Retrieved November 3, 2012

Schwaber, K. Scrum Technique. Personal Interview. November 1

2012

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Efficiency Ratio=

0.544

0.546

0.548

0.55

0.552

0.554

0.556

0.558

2007 2008 2009 2010 2011

Family Theme Park - Efficiency Ratio

Efficiency Ratio

Less and less cost efficiency in the past five years

Scrum technic can help software developers lower costs

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LMC

Other themeparks

Family

Theme ParksUSA

BellGames

Technology

Video games

development

Funding

Management

Marketing

Infrastructure

If the business model of combining Family Theme Park and BellGames

succeeds, LMC can expand this model to its other theme parks

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1990S Theatre

Low quality

Low piracy

2D Theatre

High quality

Piracy occurs asinternet grows

3D Theatre

Supreme quality

Good visual impact

Low piracy

1990S Games

Low quality

Low piracy

PC Games

High quality

Piracy occurs asinternet grows

3D Game

Opportunity