AMU quite rightly appears to be developing a small following, hence I have updated the header with a 'carrot' and the charts.

PTH

UK smallcap opening - Air Music & Media gains on Investors Chronicle tip
AFX


LONDON (AFX) - Buyers came for Air Music & Media, 1.13 ahead at 7.75 pence, after the Investors Chronicle advised readers to 'buy'.

With trading looking strong at the music distributor, and a share price target of 13 pence from broker Seymour Pierce, the shares look oversold, the IC concluded.

Explosive

Pleased to see Steven Spielberg is involved in the 'Transformer'
Movie as Executive Producer. If AMU play their cards right with
the acquisition of Maximum Entertainment the 5m plus profit
forecasts for 2006 and 2007 look low to me. In fact I intend to
hold onto these shares until 2008-2009. After reading about the
'Transformers' Movie the shares look more than a 'Ten Bagger'
to me. Unfortunately, if you were to walk around the City of
London today saying that now you would probably be escorted
off to Rampton Hospital for psychiatric help.

In fact I'm going mad trying to work out why these shares are
so unloved and rated so low. Hoping better days are ahead they
certainly should be.

All the Best

1704 - Agree 100%, the shares are unloved but until recently the media AMU had been selling was in a nut shell crap!! Look at the music also, not really anything I'd buy, take one look in any music store and the easy listening section is the smallest telling me the market must also me small. I'd like to see this change or cut lose as with Hollywood DVD, be very intrested to see just how much revenue comes from the sale of music they lisence and distribute!!

The new Maximum DVD side of the business however should now start picking up as lets face it they have obtained alot of animated classics. The Avengers will always be remembered and could well become a movie yet again. Captain America massive franchise movie ruined by 90's bad acting along with the Fantastic Four recently remade is due a box office hit. King Arthur not long been out as a movie but adult theme takes it away from the animated roots. Theres also Huckleberry Finn, that would make a good kiddies movie. Check out this link, very interesting when you start looking at the future potential regarding

http://www.mtv.com/movies/news/articles/1500962/04282005/story.jhtml

Now with Christmas coming up the seasonal sales boost for these animated cartoons should benefit AMUs share price. Fingers crossed....

Explosive-Thanks for your post.

I agree with you regarding the products of Hollywood DVD
as not very good hence the poor sales figures/profits.
However, I have a copy of the music catalogue and it is
very impressive catering for all types of music tastes
from the 1950's to the present day. Let's not forget
AMU cater for the middle aged market and this age group
like to remember the music they were into when they
were younger.

You've lost me with comments about the Avengers, Captain
Ameruica, the Fantastic Four and Huckleberry Finn have AMU
got liscensing rights to market these as well? Will check on
the mtv.com website earlier.

Agree with you about the Xmas seasons AMU should be able
to cash in on the children's brands during this period which
should result in an upbeat trading statement being released
early next year.

Leaving the office will get back to you later.

All the Best

1704 - They sure have, have a look at Maximum Entertainments catalogue link below.

http://www.maximumentertainment.co.uk/catalogue.html

Regarding the music I suppose I was a little harsh, not realy my taste and the mordernish section of there catelogue is limited and dated. Do you know if they supply these titles directly to customers or through distribution outlets such as Amazon online? Also does AMU for these titles have exclusive copying and distribution rights within the UK?

Explosive-Thanks for your post

Just viewed the Maximum Entertainment Website and
cannot believe the deal that AMU have just completed.

AMU are sitting on a goldmine here with liscensing rights
to Captain America (used to be a Marvel comic reader
myself back in the day), The Avengers, Iron Man, Mighty
Thor etc. They have even got 'Dennis the Menace (Any
used to read the Beano comic?) and Conan.

This acquisition just gets better and better the more I
think about it.

I picked up a AMU catalogue from Mark Frey the CEO in
June or July 05 when I met him. Don't ask me how I managed
to carry it home. It is massive book and contains different
artists albulms in all categories of music. For example, Rock
and Roll, Reggae, Soul, R&B, Blues, Gospel, Hip-Hop etc.
Don't forget AMU cater for the over 40's and sell their products
to over 55 countries. If you look on their website they usually
have pictures of Elvis Presley, Glenn Miller and Bob Marley.
That says everything because they are not targeting the
younger music buyers. I'm not sure about the answers
to the questions you raised.

After viewing the website it makes it even more baffling
why the market has not reacted more favourably to the
acquisition. I can see larger sales and profits being made
in 2007, 2008 and 2009. Hopefully, large share price rises
and dividend payments as well. Sound too good to be true?
I hope not.

Logging off now to see a proper British club playing in the
Champions League. Rooney, Rooney, Rooney.

AMU's share price is a bit like Rooney's performance/behaviour.. well off beam. Awesome talent but doesn't know what to do to control it !

Skyhigh-I'm one of Rooney's biggest fans but cannot defend
his actions last night. Very silly what he did especially to that
particular referee. David Beckham would agree (1998 World Cup
against Argentina).

Been on the blower to Neville Registrars (Tel:0121 585 1131)

The AGM will be taking place at 10am on 23rd Sept 2005 at
the following address:

Kirkpatrick and Lockhart, Nicholson Graham LLP at
110 Cannon Street, London EC4N 6AR.

Anyone else on here thinking of attending?

Agree Rooney is skating on thin ice with his temperment, he was lucky not to have been sent off in England's World Cup qualifying match defeating N.Ireland last week.

1704 - Hope you enjoyed looking at Maximums catelogue..... What I was getting in earlier threads with the MTV link to support was the fact that in recent years many of the old comic book titles have been made into movies. OK quite a few have already been done but for every title that Maximum have that are made into movies (good or bad) the title receives a marketing boost with the film release.

Exposive-Thanks for your post.

I reckon this acquisition will prove to be even more
profitable than Redworth within a short period of
time. Companies such as Entertainment Rights are
doing very well at the moment from kiddies old
favourites like 'Rupert the Bear' so AMU should
also be able to do well.

Good business deal completed at approx 10%
of the cost AMU paid for Redworth. Mind you
considering that AMU does business with over
55 countries I wonder who owns the liscensing rights
for these children's brands outside of the UK
and Channel Islands?

All the Best

1704 - Thanks for your post.

Very good point regarding overseas rights to this media, if we also had the US and Chinese rights this would be a right gold mine!! Having said that I still think the Maximum aquisition is the best AMU have pulled out the hat yet. I keep looking for a catch as I would have thought Maximum was worth alot more than AMU agreed to purchase for!

Having said this AMU could always franchise the rights on different titles. This could be highly profitable for AMU as the franchisee would be obliged to front cost of sales expenses. e.g. marketing & sales beneficial to AMU also in the long run....

Lets wait an see what happens, what PR publicity they get from Bishopsgate.

Explosive

Agree with you I reckon they have grabbed a bargain deal
with this acquisition. Maximum had only been operating since
2004 and so AMU managed to buy it a relatively small price
(considering the future profit growth potential). I reckon AMU
will concentrate on making these smaller type of deals instead of
larger deals such as Redeworth for 37m.

It is a pity they have not got liscense rights for the USA and Asian
markets but they should still be able to make a lot of profits within the UK
and Channel Islands.

Apart from Videos and DVD sales there are so many
other types of deals they can do with the brand names.

I just hope Bishopsgate do a better job than Redleaf.

Logging off now.

All the Best

Apologies for being the provider of bad news but .. just picked this up from the RHPS weekly alert released earlier tonite
Not good !
Lets hope all downside is already in the price drop.
Tom Bulford is often wrong....

AIR MUSIC & MEDIA GROUP (AMU): Air Music has appointed
a new PR adviser, who will have his work cut out,
because recent news has been discouraging. It has
decided to close down its Hollywood DVD business at a
cost of 0.3m to add to the 2.1m write-down in the
annual accounts. Broker Seymour Pierce has trimmed its
profit forecasts for 2006 and 2007 and although the
rating of the shares is very low, this is all rather
discouraging. Since I also fear that AMU is losing out
to new forms of video and music distribution, SELL.

I think this is a good level to get in, any opinion guys

Yep, I think so too... if I had funds available that it..
However, AMU going down has been offset thi morning with a few of my other holdings going up ! ie, CWV, DEMG, SYG, LBN, TXO, BLR, & IRN ( RESULTS NEXT WEEK).
All small time holdings but encouraging all the same

I think i made a good choice, bouth 100k @ 4.13 for some reason :) MM is hiding that trade but me happy making money will hold maybe to 6p+

yup that 106910 is mine btw its not a sell :) IT IS A BUY

Skyhigh and Peeyam - The RHPS sell isn't any shock, in earlier posts I advised that I thought TB would sell either this week or in the Oct issue. Both myself and 1704 are holding shares which we both believe are good value. TBs recent remarks on AMU are very contridictory, but nice to see investors making up their own mind on AMU.

With the RHPS sale the shares are a snatch. And great value for money. As you'r probally already aware these won't pickup much in the immediate future however 2006 will be the time the shares start to move!!

Not sure why TB thinks AMU are losing out to new forms of distribution, apart from download to mp3/4 there distribution channels are very good.

All - My last day working at IBM so may be off line now for a week or two. Am planning to purchase a laptop next week and bb conection. Once up and running I'll be back!!

Let AMUs media speak for itself when judging TB, distribution isnt the be all or end all especially when AMU own the rights!! I think your latest judgement has made my mind up and I'll be cancelling my RHPS subscription. Yet another loss for all RHPS subscribers, how many more will you deliver before the years out? Change shouldn't scare you especially when its for the better!!

Skyhigh

It was only a matter of time before RHPS had this as a
'sell'. Just surprised he took so long considering he has
hardly made any comments on AMU over the last year.
He had AMU as a 'buy' with a buy limit of 9p and price
target of 14p for over a year and rated it as low risk.
Oh yeah pull the other one Tom. Call it sour grapes if
you want but I reckon the standards of tips has fallen
over the last 6 months and I won't be renewing my
subscription. The best and most balanced report I
have read about AMU this year is the one pointed by
Wilbs (last week) by Hoodless Brennan and Partners
which rates this as a 'Speculative Buy'.

Peeyam

Welcome on board. I think you have bought a
decent amount for a bargain price. That is
if you are prepared to 'hold' onto the shares for
some time. I've always looked at these shares
as a 2-3 years hold and despite the useless
performance this year that view has not changed.
The only people to make money out of these shares
this year are the 'shorters' but it will not last forever.
The shares are currently 'out-of-favour' but will
eventually bounce back. I'm confident after the
AGM next week we will be hearing the board confirm
plans for a share consolidation and another Broker
firm covering this stock. Both things need to happen
if this share is going to start moving upwards.

All the Best