SEATTLE, Feb. 11 /PRNewswire-FirstCall/ -- Dear Shareholder:
I have been engaged in an exhaustive and still ongoing process of ascertaining the financial and operational position of Reeltime Rentals, Inc. (the "Company" or "Reeltime"). In my initial shareholder letter I committed to provide you with more information about what is going on within the Company, and there are several major events occurring which I would like to impart, specifically:
1. The cost structure of the Company needs to be overhauled, with all costs being examined for possible reduction. As a first step, I will reduce the Company's cost of premises by relocating to a more affordable location in the next few days. 2. As I mentioned in my initial letter, revenue generation for Reeltime is my top priority. Activation of the relationship with EthoStream, LLC, which will be taking place shortly, is an initial step in this regard. 3. We anticipate that the new Reeltime 2.2 platform, will be going live within weeks. This more flexible and user-friendly technology will help to simplify our customers' viewing experience, and will make Reeltime a much more appealing wholesale partner. 4. Barry Henthorn is no longer employed by Reeltime, and is no longer on the Company's Board of Directors. We wish him well in future endeavors. 5. The next shareholders' meeting will be scheduled shortly.
I would also like to comment on and clarify a few points about the Company's historical financial statements:
1. The statements for the 2007 financial year are unaudited; accordingly, the word "Audited" appears in error at the start of the title of "Audited Financial Statements 12-31-07 Unaudited". 2. We received guidance from our auditors that releasing unaudited numbers for the 2007 financial year was acceptable. 3. We are working to post unaudited financial statements for the 2008 financial year as soon as possible.
Reeltime's shareholders have been very patient over the last few years, and the Company is striving to reward that patience through efforts to bring Reeltime to enhanced growth and prosperity.
Respectfully, Mark Felgenhauer Chief Executive Officer
