The KTI pitch for Angel List consumption, as edited down by Brad Kayton, advisor to the company

2. “A society’s competitive advantage
will come not from how well its schools
teach the multiplication and periodic tables,
but from how well they stimulate
imagination and creativity.”

3. The Need is the Opportunity:
Kids are not underserved but Poorly Served: WE WILL DO BETTER
Jersey Shore is not reality, celebrity behavior such as Sheen’s, Lohan’s and Hilton’s should not be
celebrated as well as shows like “Pretty Little Liars” a TV Show on ABC Family for tweens and teens.
• We serve quality age appropriate content and purvey positive lifestyle choices and
messages – all in a safe environment
• We celebrate the creativity of youth by encouraging and rewarding kids to engage:
by creating videos, music, writing stories, plays, compositions and to read
• Available to everyone regardless economic status – our user experience is Free,
creative tools are provided free, content is free through Freemium Model
• All Merchandise, goods and services we sell can be earned by participating on the
site earning or volunteering in Community Service
spending their time in a worthy cause

4. Immediate Strategy
• Focus on building audience – target and positively influence 500,000 monthly eyeballs by
end of second quarter 2013 and more than 20 million by 2016.
How ?
• Build on existing 1,345,000 customers – In our core demographic, including 1 million (and growing)
readers of The Magazine.
• Leverage a fraction of the hundreds of million marketing dollars spent by our customers on their
schedule launches to advertise their wares and grow our user base. (Warner Bros, Disney, Sony)
• Attract new users through marketing, media buys, and attractive new and exclusive content.
• Promoting User growth through user generated Content via contest.
• Strategic partnerships with our established partner companies that build social media audiences,
e.g. video player technology that helps attract new site visitors.

5. A one-of-a-kind social media platform
(Facebook + YouTube + Skype functionality)
designed specifically for kids in support of
their creative expression. Led by media and
Internet safety experts, Spillwall.com is an
age-appropriate, safe place for kids to make
stuff, view content, tell stories, and share
with parents and friends.
Social Profiles
Contests
Scholarships
Prizes
SpillBucks
Talent Searches/
Casting

6. #1 Youth Magazine in Canada since 1990.
Covering the latest in music, movies, video games, apps and more.
We inspire readers to be content experts submitting their drawings, poems,
songs, and articles as they see what their peers are creating.
1 million readers*
240,000 X 8
(3 readers per copy)
52% Girls
28% Boys
80,000 Diverse distribution*
Avg. print run

7. Engages brands with tweens and teens (6 - 17) through unique,
exclusive, and collaborative experiences in our in-class or in-group Digital
Media Literacy Workshops providing the latest in digital gear, curriculum
and instruction for creative minds throughout North America.
Custom teacher-created curriculum
Character education through storytelling
Assessment and evaluation
All hardware and software provided
Expert filmmaker instruction
Participation in our International Film Festival!
Inspire collaboration among peers
Spark confidence in kids
Remain on the cutting edge of media trends
Reflect the tastes and behavior of the Digital Kid!

8. SPILLWALL PRODUCTIONS is a television and film development, financing, production
and distribution studio focusing primarily on Family-friendly content creation.

9. OURS is a Low cost Content Model
• Our User Generate Content – is Free
•Movie and Television Studio Content – is supplied Free
•Our Professional Content Development and Production is subsidized
(up to 40% of cost reimbursed or subsidized by Canadian Government)
• Webisodes
• Magazine editorial and production
• Film and Television Development /Production
• Certain technology spends
Compelling CONTENT IS THE MAGNET

10. sampling

11. Customers Connect to kids through storyline/character while enhancing brand in
the process. Seamlessly align their product within the emotional promise of a story.
Short-form Content
Long-form Content
Custom Branded Content
Organic Integration into Storyline and Characters
Product Placement
“Presented By” Logo & Messaging
Customized Video Assets and Advertorials
Branded Hub Destinations
Category Exclusivity
MILLIONS of Video Views
Video views activated through display,
apps, and editorial partnerships

12. We can reach and target kids 6 - 18 anywhere on the web and
across devices! Our network serves up distribution across
apps and gaming sites for display and video to millions of kids.
Kids Web Sites
Social Gaming Sites
Kids Mobile Apps
Moms Blogs
Moms Web Sites
Social Influencer Networks
Girls / Boy Scouts of America (desired)
Girl Guides (Canada)
After School Programs
Boys & Girls Club (desired)
KIPP (desired)
More TBD

13. sampling

14. CONTEST EXAMPLE:
• Jack and the Giant Slayer Poster -
Create your Own!
• Customer: Warner Brothers Studios
• Curriculum: The Directors Cuts
• Venue: In Schools
• Medium Delivery: The Magazine
• Results Hosted: TheDirectorsCut.ca

15. Content Partners a vertically integrated model of production, distribution,
print and advertising solutions via a la carte or turnkey provisioning
Pricing Example:
Partner uses: 1. Distribution (sell only) 30% of gross
Partner uses: 1. Distribution, 2. Print and Advertising 60% of gross
Partner uses: 1. Production, 2. Distribution, 3. P&A 75% of gross
Offering Content Partners: a succinctly predefined massive audience for a launch or anytime/ ongoing
A Reinforcing Business Model
KTI amplifies, leverages, and extends its acquired properties, capabilities and
brands via harnessing the power of the Internet providing:

16. Film clips viewed prior release
Global brand pays $100,000 to KTI to
Garner views of film 90 days before
Film comes to area theaters.
Minimum initial views = 300,000
Feature
Films
Release Film
by Region
Television Web
Series
Social Media Platform
Viewers are offered a chance to win
IPhones by creating and sharing a
custom movie poster, and being
rewarded for Spillwall.com by voting.
Avg. 30% take rate = 90,000 users
User and Voting Experiences
Contest becomes vehicle for brand
partners to propagate story using
social media for the benefit of
establishing meaningful connections.
Spillwall.com
Spillwall.comKairos
Partnership
Network 750,000 viewers/450,000 new users
All of the 750,000 users members
and any viewers via the cookie
technology are contacted the day
the day the film comes out in their
area
Project Results
Customer reaches 750,000 kids 2 times
@ $100,000 = 3.75 cents &
Develops a very engaged/loyal fan
Spillwall gains 450,000 new users
Spillwall gains user generated content
Spillwall gains $30,000 profit
Cost: .10 view/.10 Host/.10 profit
Audience
Acquisition
An in-house, solutions-based
marketing arm for kids content
globally with distribution across
sites and apps in display and video
reaching millions.
Advertising
Custom
Brand
IntegrationMass
Marketing
Reach
Significant
Brand
Engagement
Niche
advertising
Results
Guaranteed
Viewership
Concept
Garner as many views and contacts for our
customers by leveraging enterprise assets
the power of the internet for the purpose
of reaching and engaging kids in a creative
process, propelling the customers’ message
farther by enabling social connectivity and
media.
SEE EXAMPLE SERVICE:
Challenge
Leveraging global customer media spends,
creating the largest global media company
dedicated to providing a safe environment
for kids to create, collaborate, and
showcase their talents, regardless of their
socio economic status.
Brand Story
We activate the movement and brand
engagement through entertainment and
digital, audience development, experiential
and partnership programs.
Results of Customer Engagement
•Leverage Customer spending
•Activate an integrated sales platform
appealing to global brands release content
globally
•Extend The Director’s Cut platform
Byproduct Grow Users using Customer
spends
To be a person is to have a story to tell.
– Isak Dinesen
Spillwall.com
TDC Curriculum
Spillwall.com
Give-back
Programs
Distribution
Across
Devices
Content
Creation
Tools
Talent
Searches
Prizes/
Rewards
Every user
has cookie
attached
450,000
new users
Integration
90,000 Users
Call 5 friends
to signup/vote
Kid-
generated
Content
A Case Study of the KTI Model:

17. 2011 2012 2013* 2014* 2015*
Revenues: $740k $1.6M $8.6M $27.4M $92.2M
EBITDA: -$1.45M -$2.15M -$1.8M $4.9M $18.0M
Historical and Projected Revenues:
-2000000
0
20000000
40000000
60000000
80000000
10000000
2011 2012 2013 2014 2015
REVENUE
EBITDA
*Reach positive EBITDA 18 mos. from funding - projections based on funding

18. Financial Projections – Over 36 months Post funding
Revenue Period 1 Period 2 Period 3
Spillwall.com $3,500,000 $11,000,000 $42,000,000
The Magazine $1,800,000 $4,200,000 $12,200,000
Spillwall Productions $1,200,000 $6,200,000 $18,000,000
The Directors Cut $2,100,000 $6,000,000 $20,000,000
Total Revenue $8,600,000 $27,400,000 $92,200,000
Net Income -$1,800,000 $ 4,900,000 $ 18,000,000

19. Recent Acquisitions:
Date Launched Target Val Target Des.
8/12 2008 Blinq $100 million Mobile social media Ad & Marketing
6/12 2007 Buddy Media $689 million online marketing
11/11 2009 Kobo $315 million E-bookseller and e-reader
11/11 2010 Zoodles (software basic) $13 million Kids Social Media w/18Kusers $3K/mo.
04/12 2011 Instagram $1 billion Social Media Pictures 0 revenue
05/12 2006 Vitrue $300 million Social Media Platform
Disney Acquisitions:
Company Date Purchased Date Launched Monthly Eyeballs @purchase Price
Club Penguin 8/07 03/05 400,000 $350 million
Playdom 7/10 05/07 750,000 $763 million
Togetherville 2/11 05/10 125,000 $100 million
Public COMPS
Comp. Description Yr. Launched Sym. users Rev Share Price Market Cap
Linked-In Social Media 2003 LND 200mm $973mm $172 $18.8B
Facebook Social Media 2004 FB 1B $5B $27 $65B
Group On Social Media 2008 GRPN 60mm $2.3 $6 $4B
Baidu social web services 2000 BIDU n/a $1.2B $85 $28B

20. Matt Flemming, CFO
713 548 3553
mflemming@spillwall.com
Bill Stuart, CEO
713 906 2572
bstuart@spillwall.com
For Kairos Transmedia, please contact:
For Kairos Transmedia, please contact: