SOURCE: SUN Sports & Entertainment Inc.

June 04, 2007 09:37 ET

SUN Offers License of "Art of War"

International Demand for "Art of War" Creates New Branding Opportunity

DALLAS, TX--(Marketwire - June 4, 2007) - SUN Sports & Entertainment Inc. (PINKSHEETS: SSPE) announced today that the Company is offering its "Art of War" brand under an exclusive licensing agreement for domestic and foreign markets.

Preliminary terms of the License Agreement included a minimum license fee of $25,000 with a per event investment starting at $500,000. The License Partner will retain earnings from the live gate, sponsor revenue and merchandise sales.

SUN is negotiating with several domestic and foreign groups that are seeking a license of the "Art of War." Under the terms of an exclusive license agreement, SUN will select pre-qualified partners that will co-produce local and international events under the "Art of War" banner. These individuals come from Sports or Events backgrounds and have determined a demand for the Mixed Martial Arts (MMA) Sport in their market and want to provide this type of entertainment.

SUN CEO CJ Comu stated, "This is a great opportunity for the right strategic partner to participate in the growth of MMA and host the SUN 'Art of War' Undisputed Arena Fighting Championship. The recent surge in the sport and the international growth and phenomena will allow us the opportunity to grow without having to take all the financial risks associated with an expansion strategy." Comu added, "We will look for one key strategic partner in each foreign country and have many inquires from Australia, Asia, China, Canada, Europe and Middle East."

SUN will offer a full turnkey program to include: transportation, set up of its custom cage, match making and booking of fighters, television, radio and print advertising as well as event management and operations. Licensee will provide event license, insurance and permits. Under the license program, the licensee will underwrite the costs associated with bringing the "Art of War" production to their market and be responsible for the marketing of the live event.

The growth and phenomena of MMA has created new opportunities for Sports Professionals. The SUN License is described as: Licensee and its Authorized Users acknowledge that the copyright and title to the Licensed Materials and any trademarks or service marks relating thereto remain with Licensor and/or its suppliers. Neither Licensee nor its Authorized Users shall have right, title or interest in the Licensed Materials except as expressly set forth in the Agreement. Licensor hereby grants to Licensee non-exclusive use of the Licensed Materials and the right to provide the Licensed Materials to Authorized Users in accordance with the terms of the Agreement.

About SUN:

SUN is a Professional Sports & Entertainment Marketing Company. SUN Production Group is a Certified Texas Combat Sports Promoter and produces World Class Boxing and Mixed Martial Arts. The properties of SUN (www.sunorganization.com), "Art of War" (www.artofwarlive.com) and International Fighters Association (www.ifapro.com) are pending trademarks.

Safe Harbor Statement

This release includes forward-looking statements within the meaning of Section 27A of the Securities Act of 1933 and Section 27E of the Securities Act of 1934. Statements contained in this release that are not historical facts may be deemed to be forward-looking statements. Investors are cautioned that forward-looking statements are inherently uncertain. Actual performance and results may differ materially from that projected or suggested herein due to certain risks and uncertainties including, without limitation, ability to obtain financing and regulatory and shareholder approvals for anticipated actions. Such statements are based on management's current expectations and are subject to certain factors, risks and uncertainties that may cause actual results, events and performance to differ materially from those referred to or implied by such statements. In addition, actual or future results may differ materially from those anticipated depending on a variety of factors, including continued maintenance of favorable license arrangements, success of market research identifying new product opportunities, successful introduction of new products, continued product innovation, sales and earnings growth, ability to attract and retain key personnel, and general economic conditions affecting consumer spending, Readers are cautioned not to place undue reliance on these forward-looking statements, which speak only as of the date hereof. Sun Sports & Entertainment Inc. do not intend to update any of the forward-looking statements after the date of this release to conform these statements to actual results or to changes in its expectations, except as may be required by law.

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