Annual business results of Keyeast improve

[KEYEAST] Annual business results of Keyeast improve

Annual business results of Keyeast improve

Sales rise by 11.4%, 84.9% net loss decrease

- Due to rationalization of management and Winter Sonata animation revenues

- Equity method of accounting with respect to the subsidiaries BOF and BOFi, decrease of net loss

- Creation of domestic and foreign business opportunities despite the slump in the entertainment industry

The Asian cultural content company Keyeast Co., Ltd. (www.keyeast.co.kr) passed a resolution today at its regular meeting of the board of directors with respect to its 2008 financial statements and approval of the general meeting of shareholders. The company also publicly disclosed the related matters today.

Compared to last year’s results, Keyeast’s sales 2008: 9,683,592,043 Won),
increased by 11.4% (2007: 8,694,420,223 Won 2008: operating loss decreased by 28.4% (2007: -3,247,773,065 Won -2,326,266,391 Won), and net loss decreased by 84.9% (2007: -34,016,969,572 -5,138,567,232 Won).

The increase in sales and decrease of losses can be attributed to our rationalization of management, which includes policies for reducing costs, and the planning of our content projects, such as the Winter Sonata animation production, for which a 560,000,000 Won production contract was signed with the Winter Sonata Animation Production Committee, and the commemorative photo book containing photos of Bae Yong Joon’s 2008 visit to Japan.

In addition, Keyeast’s net loss, which was calculated according to the equity method of accounting, decreased in part due to the busy schedules of the talents of the subsidiary BOF Co., Ltd., including Bae Yong Joon, So Ji Sub, Lee Na Young, Choi Gang Hee, and Park Ye Jin, and the business results of the Japanese subsidiary BOF International Inc., which was able to record a profit only 6 months after entering the Japanese market.

A spokesperson for Keyeast stated that despite the global economic slump, our financial figures have improved due to the active execution of the 2008 business plans by Keyeast and its subsidiaries and also due to the rationalization of management. The spokesperson then said that in 2009 we will proceed with high value-added entertainment projects, including Dream High,Drops of God, the Beauty of Korea Travel Book, and the merger of our Japanese subsidiary, and the results for next year are expected to be even better as approximately 80% of the revenues of the Winter Sonata animation contract will be allocated to 2009 revenues.

Keyeast is currently preparing to become a company which not only plans and produces entertainment products based on celebrities, such as the Dream High coproduction, the Beauty of Korea Travel Book, the Winter Sonata animation, and Drops of God, but which also engages in other diverse business models as part of its cultural content production activities.

[KEYEAST]

Source : PR Center / Keyeast 03/12/2009
http://www.keyeast.co.kr/en/prcenter/prcenter_view.asp?id_num=35