MUSIC NATION GROUP Launched in March 2002, Music Nation Group is a full-service music-oriented  company developing and promoting broad ranges of music and entertainment  activities with primary focus on the Greater China. The Group’s businesses specialize  in music production and distribution, event management, artiste management and  music publishing. It also supports its parent company, PCCW Group, the largest  telephone and online network company in Hong Kong by providing content for its  broadband entertainment networks (such as now.com/netvigator.com) and offering  new regional and Chinese music talents to its vast online service.  I. Music Production and Distribution The music production and distribution businesses account for a major part of the  Group’s activities. In this area, the Group involves in selecting songs, matching  the artiste to the materials, building marketing strategies, determining music styles  and producing the songs and albums. To meet consumers’ demand for diversity,  apart from distributing its our own albums, the group also distributes catalogs and  materials from international suppliers.  For album distribution, the Group distributes its own catalog and licensed products  itself in HK through direct selling to wholesalers who then disseminate the goods  to different outlets throughout HK. The sales team in HK on one hand actively  promotes in conjunction with the Group’s in-house marketing/promotion  department Music Nation’s products so as to raise orders from wholesalers and on  the other hand sources a variety of music material from the Pan China region as  well as other markets for distribution so as to suit the different tastes in for HK and  China.  In China, the Group works with local partners by mostly licensing parts thereto for  their pressing and dispatch. In facilitating and monitoring this process, the 3  representative offices located in Guangzhou, Shanghai and Beijing maintain  constant contact and communication with these PRC partners so as to collect  market information, spot-check distribution status in local outlets, update sales  figures and coordinate royalty collection by the HK headquarter.  II. Event Management Another major focus of the Group is event organization and management. Here  the Group organizes and produces a broad range of events like music concerts,  entertainment and sport events. For concerts in Hong Kong, to date the following  ones were organized:  TaiChi Band of the Town / HK Coliseum TaiChi & Friends Band of the Town 27th Encore / HK Coliseum III. Artiste Management The Group also acts as the sole and exclusive agent or manager of the artiste on  all aspects of entertainment, including movies, concerts, commercials and shows.  The artiste management teams in HK and the 3 PRC representative offices  maintain constant contact with and understanding from film producers, advertising  agencies, consumer products manufacturers etc so as to promote the Group’s  represented artistes for film and TVC shooting as well as product endorsement.  IV. Music Publishing Acting as the sole administrator, the Group contacts and recruits talented songwriters and lyricists worldwide. In this area, the group is providing a ready source of material for the production requirements and building up a library consisting of a vast songs and lyrics. © Music Nation Group Ltd 2012.