SOURCE: Target Development Group, Inc.

February 25, 2010 08:00 ET

Hannover House Pursues Catalog Gold

Company Announces Its First DVD Re-Pricing Promotion

LOS ANGELES, CA--(Marketwire - February 25, 2010) - Hannover House, the film and video distribution division of Target Development Group, Inc. (PINKSHEETS: TDGI) (Other: www.TargetDevelopmentGroup.com, www.HannoverHouse.com), has announced its first major DVD catalog promotion since adding video to its product lines eight years ago. The sell-thru campaign, coined "Ten for Ten," will reduce the suggested retail pricing on ten of the company's top selling DVD releases to just under ten dollars each.

All ten DVD items will be available to retail and wholesale customers at the reduced pricing of $9.95 suggested retail each, effective April 6, 2010.

Leading the package will be the extremely popular-selling DVD feature, "Hounddog," starring Dakota Fanning in a critically-praised, breakout role. Other titles include: "Teen Yoga," "Come Away Home," "Dawn of the Living Dead," "Grand Champion," "Kingdom of Gladiators," "Samurai: The Last Warrior," "Mind Your Manners," "Tyra Banks: Supermodels In The Rainforest" and the Spanish-language, 4-movie package, "The Antonio Aguilar Coleccion Classica."

"This is a very exciting promotion for Hannover House," said C.E.O. Eric Parkinson. "The title selection is very commercial, and our wholesale pricing will enable some of the major retailers to significantly sell beneath the $9.95 list pricing. Our film and video library has over 150 titles and a significant valuation. This sell-thru campaign will be the first of many that the company will be pursuing to maximize revenues and bottom line results from the catalog."

Due to corporate restructuring, Hannover House only released one title to DVD and Blu-Ray for the entire year of 2009, specifically "Hounddog," which was originally listed at $19.95 for DVD and $24.95 for Blu-Ray units. Despite the absence of other releases or catalog sales efforts, Hannover House still posted a respectable bottom-line profit for 2009 of $485,000. For the calendar year 2010, the company is pursuing a greatly enhanced release slate, led by six, major theatrical releases, five new release books, and thirty new release DVD / Blu-Ray titles. Additionally, Hannover is implementing a variety of catalog promotions and pricing strategies, including a Blu-Ray product line with $14.95 list pricing.

"There is a major market opportunity for what we are pursuing at Hannover House," said Parkinson.

Additional financial data on Hannover House and parent-company Target Development Group, Inc. can be found at www.Pinksheets.com under the company trading symbol: TDGI.

SAFE HARBOR STATEMENT

This press release may contain certain forward-looking statements within the meaning of Sections 27A & 21E of the amended Securities and Exchange Acts of 1933-34, which are intended to be covered by the safe harbors created thereby. Although the company believes that the assumptions underlying the forward-looking statements contained herein are reasonable, there can be no assurance that these statements included in this press release will prove accurate.

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