
Our first quarter operating performance was impacted by impairments related to the strategic decision to dramatically reduce the number of releases we manage and partners we represent. We believe these actions will allow our organization to clearly focus on developing our primary businesses, improve operating margins, and continue our expansion into new business beyond the sale of the DVDs ... Matthew Smith, our new President of the distributor Genius Products, LLC, and Edward J. Byrnes, our new CFO, are overseeing the realignment of our cost structure, improving margins and ensuring we effectively manage our key branded partnerships.