SOURCE: Seven Arts Pictures plc

Seven Arts Pictures plc

March 23, 2010 12:28 ET

Seven Arts Reports Earnings per Share of $.78 for the Year Ended June 30, 2009

HOLLYWOOD, CA--(Marketwire - March 23, 2010) -  Seven Arts Pictures plc (NASDAQ: SAPX) (the "Company") announced today the filing of the Company's Annual Report on Form 20-F with the Securities and Exchange Commission, including audited financial statements prepared under International Financial Reporting Standards ("IFRS") certified by the Company's newly appointed independent auditors, RBSM LLP ("RBSM"). The financial statements cover the fiscal year ended June 30, 2009, the three-month stub period ended June 30, 2008, and fiscal year ended March 31, 2008. These financial statements represent the results of the Company's conversion to IFRS, as audited by RBSM, the Company's new United States-based independent public accountants, from United Kingdom Generally Accepted Accounting Principles, as audited by its UK-based prior auditors, Mazars LLP.

The net earnings reported in the Company's 20-F filing for the fiscal year ended June 30, 2009 are $4,736,965 on total revenues of $10,232,000. Primary earnings per share were $0.78.

The results reported for the fiscal year ended March 31, 2008 and the three-month period ended June 30, 2008 under IFRS, as audited by the Company's newly appointed US independent public accountants, are not comparable to the 15-month financial results of operations previously reported by the Company under United Kingdom Generally Accepted Accounting Principles, as audited by the Company's previous UK auditors, Mazars. At the request of RBSM, and to fully comply with IFRS, the Company reversed certain revenues it had previously recognized, wrote-off goodwill previously carried under UK GAAP, and increased its reserves for doubtful accounts. Certain of the revenues that were reversed may be recognized in later reporting periods. The Company will continue to report its financial statements under IFRS.

About Seven Arts:

Seven Arts Pictures plc ("SAP," "7 Arts" or the "Company") was founded in 2002 as an independent motion picture production and distribution company engaged in the development, acquisition, financing, production, and licensing of theatrical motion pictures for exhibition in domestic (i.e., the United States and Canada) and foreign theatrical markets, and for subsequent worldwide release in other forms of media, including home video and pay and free television.

Cautionary Information Regarding Forward-Looking Statements:
The information in this press release includes "forward looking statements." All statements other than statements of historical facts included in this press release regarding our prospects, plans and financial position, may constitute forward-looking statements. These statements are based on the beliefs and assumptions of our management and on the information currently available to our management at the time of such statements. Forward looking statements generally can be identified by the words "expected" and "will be," or similar expressions that indicate future events and trends.

Although we believe that the expectations reflected in these forward-looking statements are reasonable, we can give no assurance that these expectations will prove to be correct, and our actual results may differ significantly from the results discussed in these forward-looking statements. Important factors that could cause actual results to differ materially from our expectations include those disclosed in our Form 20-F dated March 22, 2010 and filed with the Securities and Exchange Commission.

All subsequent written and oral forward-looking statements attributable to us or persons acting on our behalf are expressly qualified in their entirety by these cautionary statements. Our forward-looking statements are based on information available to us at the time such statements are made. We will not update these statements unless required by law to do so.

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