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We sent you this update because you are a shareholder of LBC. As such, you may appreciate knowing how your investment is being used. This update briefly describes some highlights of LBC's growth this year. If you would prefer not to receive this quarterly update, send a note to investor-relations@lbcvideo.com and we’ll remove you from the list immediately. LBC Web Sites
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Doug Mondo, CEO cdmondo@lbcvideo.com USA: 888-298-5008 International: 714-546-8011 |
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Web and Audio Conferencing We had a breakthrough in our Web and Audio Conferencing products. The Bar Association of San Francisco added our conferencing service as a member benefit and recommended us to their 10,000 members. We are following up with their member list, and so far 262 of their attorney firms have signed up as Conference Moderators. Of these, Clapp Moroney, a 45-attorney firm in Daly, California and Kimble, MacMichael and Upton, a 21-attorney firm in Fresno use LBC exclusively, firm-wide. Because of our success with this business model, we are pursuing endorsements from other bar associations. At this writing we have signed a contract with the Contra Costa Bar Association and are at contract stage with the bar associations of Chicago, Kings County (Seattle), New Hampshire, Maine, Massachusetts and Rhode Island. Streaming Media We signed contracts with Clear Channel radio properties KROQ, Los Angeles and 93.7BZZ, Pittsburgh, to provide a content distribution network to showcase promising new bands on their websites. The network hosts music tracks for bands in their broadcast area and is currently streaming 250,000 programs per month. This business is particularly desirable because it provides a recurring revenue source with minimum maintenance costs. We signed a contract with Apria Healthcare, the largest provider of home care products and services in the USA. We developed a demonstration website to showcase web-based video training. The website uses streaming video to provide text searchable training programs for their employees. All elements of the training program were created in our Video and Internet Production facilities. Video Production and Presentation Services We issued a Letter of Intent and have now formalized the acquisition of a video production firm, which services California and generates annual revenue of $700,000. The final contract will be executed September 9, 2003 with balance sheet consolidation becoming effective as of September 15, 2003. We are pursuing opportunities for acquisition of our current 33 nationwide video production affiliates. We plan three additional acquisitions in the next 12 months. |
The trial support activities, where we supply the materials, equipment and support personnel used in the courtroom, have grown significantly. We have completed 25 major trials (more than one week long) this year and are now getting bookings of two or three a month. The last case completed was a construction defect suit in Las Vegas. That trial brought in approximately $32,000 a month for four months. Your Referrals are Important As a result of a referral from a shareholder, we won a contract with Colliers Seeley International, the firm selected to sell the 3,700-acre property that was the former USMC Air Base in El Toro, California. Colliers Seeley built a website for on-line auctions of the property. They wanted a web-based communications solution to guide their audience through the auction process. They also needed to conduct ad-hoc meetings with small groups as well as seminars for hundreds of participants. We provided a large-scale, integrated web solution. The system we delivered also provided the ability to record and then web cast presentations to investors who were not able to attend a live meeting. If you know someone who could benefit from LBC's technologies, contact John Frederick at jfrederick@lbcvideo.com. Financial Update In July 2003, LBC completed Round One financing of $250,000. This capital infusion has fueled our growth to the point that first and second quarter revenue in 2003 is up 80% over the same period in 2002. We are currently receiving funds for round two financing with an offering of $500,000 maximum in LBC Convertible Notes paying 5% interest annually. The notes, with a minimum individual investment of $2,000, are convertible into Common Stock of the Company at a conversion rate of $2.00 per share. The subscription offer will expire on 12/10/03, or when the entire offering has been subscribed. Contact the Chicago Investment Group at gmyers@gocig.com for a Private Placement Memo or any information regarding the offering. |
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For questions regarding your shares: CHICAGO INVESTMENT GROUP
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For questions regarding LBC products: John Frederick
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This document contains forward-looking statements made pursuant to the ``Safe Harbor'' provisions of the Private Securities Litigation Reform Act of 1995. Investors are cautioned that such forward-looking statements involve risks and uncertainties, including limited product demand, competition, and other risks and uncertainties detailed from time to time in company's reports. The possible impact of competitive business and pricing uncertainties include, but are not limited to, general uncertainties in the marketplace. | |
