The Martial Arts Action NetworkTM

EXECUTIVE SUMMARY

The Martial Arts Action Network (T.M.A.A.N.) was created to bring a highly entertaining new cable television network - featuring action/adventure movies, health & fitness series, and sports events – to the general public.  It will be an advertiser-supported interactive television programming service with a significant product sales component.  Our companion web site is currently being revamped and when complete it will feature video-streamed content from T.M.A.A.N. as well as a strong e-commerce component.

The Mission

To satisfy the growing demand for action-oriented & fitness programming and to give viewers access to National and International Martial Arts events (all disciplines).  To entertain and educate the viewing audience by presenting the wide diversity and excitement of the entire spectrum of the Martial Arts worldwide and to become the number one destination for the millions of fans and participants of the Martial Arts as well as all other action/adventure/health & fitness content.

The Market

Consumers currently attracted to Martial Arts and Health & Fitness related programming are predominately males between the ages of 18 to 34.  This represents a domestic core audience potential of 14 to 30 million.  In addition to this core audience, the Martial Arts are experiencing a growing interest from women in the same age demographic and also children.  Also more than 50,000,000 consumers regularly enjoy action-oriented programming, which will add to our target audience even further.  There are also 200 million potential international viewers.  High potential prospects for advertisers and sponsors include distillers, brewers, automotive, financial services, recording industry, film industry, travel and certain national retail chains.  The bulk of the initial distribution of T.M.A.A.N. will be from cable operators that offer their customers digital tiers (combination packages that air through a digital signal vs. an analog one).  Eventually T.M.A.A.N. will also be distributed on digital terrestrial tiers offered by broadcasters as well as being available 24 by 7, via video streaming, on T.M.A.A.N.’s companion web site.  In addition, distribution will be sought on DirecTV and The Dish Network, which combined reaches more than 25 million households.

Competition

T.M.A.A.N.’s strongest competition is, in essence, all other programmers seeking distribution on digital tiers.  Currently there are two other operators attempting to provide 24 hours of Martial Arts programming on broadcast, cable or DBS – BlackBelt TV & the Martial Arts Channel.  Our goal will be to absorb their operations and programming through acquisition once we are fully funded.

Programming

T.M.A.A.N.’s programming will be designed for both existing fans and those viewers new to the genre.  The channel will air programs 24 hours per day seven days per week.  Each day's programming will be comprised of a six-hour block of programming that will rotate throughout the day.  This will enable viewers in all time zones to enjoy the programming schedule.

T.M.A.A.N.’s programming blocks will include popular action films and be anchored by original health & fitness series focusing on the most popular disciplines.  These blocks will then be interspersed among original and classic martial arts theatrical films as well as interviews with current and past champions and television stars. This original programming will be informative, entertaining, interactive, and economical to produce.

Distribution

Success of the Network will be significantly influenced by the size of its audience, which in turn will be strongly affected by the extent to which the network is available to television households throughout the United States and abroad.  In order to maximize its household coverage during the first five years, T.M.A.A.N. will concentrate on securing carriage on all existing cable operators’ digital tiers (as of 3/1/05 there were more than 23 million of these households).  In addition, efforts will be directed to obtain carriage on operators’ non-digital tiers.  Simultaneously, the network will seek alternative and secondary distribution via wireless cable, DBS and digital terrestrial tiers.

The Network expects to launch during the second quarter of 2006 with 5 million subscribing households.  Year Two will end with 6.5 million households, Year Three with 8 million, Year Four with 10 million and Year Five with 15 million households.  There will be 60.2 million households, in the Year 2007, with digital cable or digital terrestrial service (source: Broadband Technology 6/1/04).

Advertising Sales

T.M.A.A.N.’s total viewing audience and the demographic composition of its viewers, as reported by the major media research organizations, will largely determine sales volume.  This viewership data and other key information related to the Channel’s cost-effectiveness will be communicated to the highest-potential advertiser prospects through a targeted campaign of personal selling, supported by direct mail, advertising and publicity.  In 2002, the average cable network (under 30 million subscribing households) generated $1.90 per sub in advertising revenue.  T.M.A.A.N. is projecting that in Year One it will generate 40% of that average, 55% in Year Two and 70% in Year Three.  

Product Sales

As the audience for T.M.A.A.N. grows, so will the importance of this revenue stream.  The network will offer both proprietary and widely distributed videos, and in addition the network will sell both proprietary and popular martial arts-related products from a variety of manufacturers.  It is projected that product sales will generate $0.7 per subscriber per year – each year of the plan starting with Year Two.

Operations

Positions that need to be filled post funding are: CFO, VP/GM, VP Advertising Sales, VP Affiliate Sales, and VP Programming & Production.  The Network has identified several individuals for each of these positions that have expressed an interest in joining T.M.A.A.N.  Each of these well-known industry professionals is a seasoned veteran and is committed to helping The Martial Arts Action NetworkTM achieve success in the marketplace.

 

 

1. Officers and Directors (Brief outline of major principals and expertise)

 

 

           Ron Tramontano

 

Ron Tramontano is Chairman of the Board and Founder of The Martial Arts Network, Inc.  Mr. Tramontano, along with Mr. Interdonato, created The Martial Arts Action Network to provide an action alternative to basic cable programming.  In 1986, he opened West Boca Karate Center, where he still serves as Chief Instructor.  Prior to that he was employed by Teltec Communications and New York Telephone for more than eighteen years where he engineered and monitored the first microwave transmission stations to be used at that time in the Northeast, including the installation of CNN’s video transmitter/receiver at One World Trade Center in New York City.  He is a graduate of Metropolitan Collegiate Institute with a bachelors degree in Electronics.  In addition to being a black belt master, Mr. Tramontano is also a published author, licensed pilot, and an accomplished pianist.

        Tony Interdonato

Tony Interdonato is the CEO and a Director of The Martial Arts Network, Inc.  Mr. Interdonato, is also one of the co-founders of The Martial Arts Action Network.  His most recent position was Chairman & CEO of TMANglobal.com, a publicly-traded Internet company.  Before that he was Senior Vice President and General Manager of Multi-Media Productions, where he oversaw the creation and production of an international business program hosted by former Secretary of Defense Caspar Weinberger.  Prior to that Mr. Interdonato was the President of Direct Image, Inc., an ad agency responsible for successfully launching numerous national promotional campaigns for major Fortune 500 clients.  He was also an integral part of Five Star Productions USA, serving as their Vice President of Business Development/Strategic Planning.  He also worked at WJMK-TV as a Senior Producer and Vice President of Media Relations.  Mr. Interdonato attended Florida Institute of Technology and pursued degrees in Oceanography and Electronics. In 1979, he moved on to the University of South Florida and double-majored in Marketing and Mass Communications.  Mr. Interdonato currently holds belts in Tang Soo Do, Kung Fu, and Jiu-Jitsu.

        Joseph Maddox

Joe Maddox is the President & Chief Operating Officer of the Network.  He was formerly the President and Chief Operating Officer of America’s Health Network (AHN).  In 1993, he co-founded AHN with Webster Golinkin.  On March 25, 1996, America’s Health Network was launched as the first and only television source for around-the-clock health and medical information.  Then on April 6, 1998 AHN.COM was launched, which today is the leading consumer health Web site on the Internet, providing consumers with on-demand access to health news, a searchable and browseable health and medical library.  As President and COO, Mr. Maddox oversaw the day-to-day operations of America’s Health Network, and implemented plans to ensure the company’s growth.  He also directed the network’s advertising and sponsorship sales activities.  Before co-founding America’s Health Network, Mr. Maddox was a partner and executive vice president of Whittle Communications, L.P.  During his tenure at Whittle, he helped launch Medical News Network, a satellite-delivered television news and information service for physicians.  Previously, he was a member of the founding team of The Discovery Channel, where he was senior vice president of marketing and a director of the company.  Mr. Maddox also served as a director and executive vice president of marketing at American Medical Communications, Inc., and as circulation marketing director of The Wall Street Journal.  Mr. Maddox earned his B.A. from Michigan State University.