WR will conduct its operations with built-in protection for its investors. First, the Company will invest only in commercially viable feature length motion pictures. Each film will be subject to an agreement for distribution with a “major” studio, “mini-major” studio or other reputable distributor which provides for the picture to be released for theatrical exhibition in North America on 2,000 to 4,000 screens.
WR Entertainment ASA will not bear the cost of production for the first Morgan Kane motion picture which is to be financed by outside investors, yet will participate in the profit share of the picture with limited capital investment due to the contributions WR has made in the developement of the project, including the acquisition of intellectual property rights, translation, conversion and production costs of the Morgan Kane eBook library, financing costs, legal fees, travel and other expenses. Some of these costs will be recovered from production service fees and its share of future profits from its motion pictures, book sales and other sources of revenue including television, music, video games, merchandising and product licensing.