Innovium Media Properties Corp.
TSX VENTURE : IN
FRANKFURT : IH7

Innovium Media Properties Corp.

November 29, 2010 10:37 ET

Innovium Announces Third Quarter Results

TORONTO, ONTARIO--(Marketwire - Nov. 29, 2010) - Innovium Media Properties Corp.'s ("Innovium" or the "Company") (TSX VENTURE:IN)(FRANKFURT:IH7) third quarter 2010 results are discussed below.

Innovium had a 2010 third quarter net loss of $814,000 compared to a third quarter net loss of $1,179,000 in 2009 (a loss of $1,243,000 for the first nine months of 2010 compared to a loss of $1,887,000 for the same period in 2009). For the three months ended September 30, 2010, the Company recorded a negative operating cash flow, after changes in non-cash working capital items, of $95,000 compared to a negative operating cash flow of $145,000 for the third quarter of 2009 (negative operating cash flow of $568,000 for the first nine months of 2010 compared to a negative cash flow of $800,000 for the first nine months of 2009).

In the third quarter of 2010, the Company recorded an unrealized foreign exchange loss of $500,000 (unrealized foreign exchange loss of $1,139,000 for the third quarter of 2009) on its investment in Seed. For the first nine months of 2010, the Company recorded an unrealized foreign exchange loss of $298,000 (unrealized foreign exchange loss of $1,741,000 for the same period in 2009) on its investment in Seed.

Compared to the third quarter of 2009, the Company experienced a 28% decrease in general and administrative costs in the third quarter of 2010 (an 18% decrease for the first nine months of 2010 compared to the same period in 2009).

In the third quarter of 2010, Innovium advanced an additional US$70,665 to Seed Media Group LLC as part of a bridge facility. Subsequent to the quarter end, an additional US$35,000 was advanced as part of this bridge.

In the third quarter of 2010, Innovium received advances totaling $160,000 in the form of 3-year term loans bearing interest at 12% per annum. The Company has the option of repaying these loans in full, without penalty, after six months from the date of the advances.

About Innovium Media Properties Corp.

Innovium's venture investment portfolio is devoted to Seed Media Group LLC, a private media and technology company focused on the professional and consumer science markets. Seed's award winning brands include Seed® (seedmagazine.com) and ScienceBlogs® (scienceblogs.com). Innovium trades under the symbol IN on the TSX Venture Exchange ("TSX - V") and IH7 on the Frankfurt Stock Exchange ("FWB").

Table of Highlights of the Financial Statements
 
    Three months ended September 30     Nine months ended September 30  
(Expressed in thousands of Canadian dollars, except per share amounts)     2010       2009       2010       2009  
                                 
Unrealized losses on investments   $ (500 )   $ (1,139 )   $ (207 )   $ (1,741 )
Interest and dividend income     --       303       2       907  
                                 
                                 
General and administrative expenses     219       303       789       966  
Interest expense     89       39       233       77  
Depreciation and amortization     6       7       17       21  
Foreign exchange gain     --       (6 )     (1 )     (11 )
                                 
Net loss   $ (814 )   $ (1,179 )   $ (1,243 )   $ (1,887 )
                                 
Net loss per share   $ (0.01 )   $ (0.01 )   $ (0.01 )   $ (0.02 )
                                 
Cash used in operating activities (after net change in working capital balances)   $ (97 )   $ (145 )   $ (570 )   $ (800 )
                                 
                                 
                                 
                      As At  
(Expressed in thousands of Canadian dollars)                     Sept. 30, 2010       Dec.31, 2009  
                                 
Cash and cash equivalents                   $ --     $ 10  
Accounts receivable and other assets                     20       40  
Short-term investments                     59       58  
                                 
Total current assets                     79       108  
                                 
Venture investments                     14,514       14,328  
Capital assets, net                     104       121  
                                 
Total assets                   $ 14,697     $ 14,557  
                                 
Bank indebtedness                   $ 31     $ --  
Accounts payable and accrued liabilities                     308       108  
Term loans                     2,981       1,829  
Future tax liability                     103       103  
                                 
Total liabilities                   $ 3,423     $ 2,040  
                                 
Shareholders' equity                   $ 11,274     $ 12,517  
                                 

Full financial results are available on SEDAR at sedar.com.

For additional information contact: innovium@innovium.ca.

Neither The TSX Venture Exchange nor its Regulation Services Provider accepts responsibility for the adequacy or accuracy of this release.

Contact Information

  • Innovium Media Properties Corp.
    Neil Raymond
    Chairman and CEO
    (514) 281-0481
    ceo@innovium.ca
    or
    Innovium Media Properties Corp.
    James Macintosh
    President and COO
    (416) 862-7444
    coo@innovium.ca
    or
    Innovium Media Properties Corp.
    Julio DiGirolamo
    CFO and Corporate Secretary
    (416) 862-7444
    cfo@innovium.ca