MEDIA CAPITAL SOLUTIONS      

 ("MCS")

General Market Conditions

The business cycle in the U.S. peaked in late 2006 bsp;and began a downward trend in 2007 that is still evident today.  While advertising has shown increases in recent months, the significant decreases in advertising revenues;beginning in late 2006 and continuing into the late part of 2011 had an impact on the companies who rely on advertising revenues and the financial institution market place.  Loan agreements were breached, debt repayment had to be restructured. Lenders saw an increase in the number of classified loans, business failures and loan write-offs .  Adding to the problem, were the well-publicized failures of several cable television, publishing and broadcast companies during this period.

For a variety of reasons changes in strategic media focus driven by larger corporate issues and concerns, availability of adequate funding for operations, lender concerns over the high levels of classified loans, acquisition of middle market companies by larger companies most of the financial providers that financed the middle market are no longer in business.  CIT, Capital Source, Foothill, Textron Financial and Regional Banks, are no longer serving the middle market. Additionally the major financial institutions now have a minimum revenue cash flow,and deal size that excludes the financial needs of the middle market.

However based on past experiences the media and communication industry performance does improve with the economy.  This opportunity has allowed Media Capital Solutions to have access of debt and equity by sourcing capital from financial resources willing to devote financial capital to this market. MCS can design capital structures that allows management to navigate their  company through the economic highs and lows. We have structures, terms and conditions that meet the risk asset acceptance criteria of our financial sources that can provide the necessary capital to your company.