Overview Current Challenges

Evaluation of Options Our Recommendation Q&A

 LMC is ready to enter a new market

Strong financial performance in 2010-2011

LMC Media Financials (in millions)

$20,000 $18,000 $16,000 $14,000 $12,000 $10,000 $8,000 $6,000 $4,000 $2,000 $2007 $10,353 $5,293 2008 $11,474 $5,650 2009 $11,919 $5,636 2010 $12,646 $5,532 2011 $18,614 $6,838

Revenue
Cash at end of period

 Entering the video game industry

New to LMC Competitive market

Bell Games team

Perfectionist Style of games Lack of track record

Typical game development life cycle

Key: -Major Evaluation -Minor Evaluation

Market Trend

High Technology Interactive Experience

Current Product

Integrated 3D technology Voice communication, Online Contest, Motion Sensitive control Professional Technology Background Industrial Experience Passion

Team

Pro
Quick Solution

Con
Inability to meet deadlines High Growth Potential

Reputational Risk

Mediate Approach

Collaborate with HotBat in future gaming development

Create a new gaming platform and leverage with Theme Park assets

Aggressive Approach

 A new theme park attraction featuring the latest 3D technology in the 4D attraction Project X gives visitors a highly interactive gaming experience

Develop new game

Release game to the public

Customer experience

Receive feedback

Traditional software development (Waterfall)

Inflexible High risk Large lump investment

Agile software development + Scrum Technique

Adaptability Risk Reduction Small frequent investments

 Reinforce LMCs acquisition objectives

Revolutionary product with interactive experience Promote friendly family competition Combine gaming technology with current theme park infrastructure

Win-Win Solution
LMC Bell Games

Additional revenue stream Short investment holding period

Better testing environment

Reduce cost through scrum technique

High Initial Investment

Additional $100 million

Strategic Responses
Market Research Due Diligence

Mark Bells Contract

Expertise Network

 Distinguish LMC from traditional media market

Decrease high programmer turnover

Redefining the gaming industry

 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

Efficiency Ratio=

Family Theme Park - Efficiency Ratio

0.558 0.556 0.554 0.552 0.55 0.548 0.546 0.544 2007 2008 2009 2010 2011 Efficiency Ratio

Less and less cost efficiency in the past five years Scrum technic can help software developers lower costs

LMC

Other theme parks Funding Management Marketing Infrastructure

Family Theme Parks USA Technology Video games development

BellGames

If the business model of combining Family Theme Park and BellGames succeeds, LMC can expand this model to its other theme parks

1990S Theatre

Low quality Low piracy

1990S Games

Low quality Low piracy

2D Theatre

High quality Piracy occurs as internet grows

PC Games

High quality Piracy occurs as internet grows

3D Theatre

Supreme quality Good visual impact Low piracy

Opportunity
3D Game