| Accrued Liabilities |
As of June 30,
2015 and December 31, 2014, the Company has the following accrued liabilities:
| |
|
6/30/2015 |
|
|
12/31/2014 |
|
| Accrued Salaries
and Wages |
|
|
|
|
|
|
|
|
| Accrued
Salaries and Wages |
|
$ |
88,053 |
|
|
$ |
50,288 |
|
| |
|
|
|
|
|
|
|
|
| Disputed Trade
Payables |
|
|
|
|
|
|
|
|
| Disputed
Trade Payables (a) |
|
|
925,000 |
|
|
|
925,000 |
|
| |
|
|
|
|
|
|
|
|
| Services Advance |
|
|
|
|
|
|
|
|
| Services
Advance (b) |
|
|
1,489,583 |
|
|
|
739,583 |
|
| |
|
|
|
|
|
|
|
|
| Accrued Expenses |
|
|
|
|
|
|
|
|
| Other
Accrued Expenses |
|
|
287,178 |
|
|
|
283,582 |
|
| |
|
|
|
|
|
|
|
|
| Total
Accrued Liabilities |
|
$ |
2,789,814 |
|
|
$ |
1,998,453 |
|
| (a) |
As part of the Merger, the Company assumed
certain liabilities from a previous member of A Squared which has claimed certain liabilities totaling $925,000. The Company
disputes the basis for this liability. |
| (b) |
During
the first quarter of 2014, the Company entered into an exclusive three year agreement with Sony DADC, the optical disc
manufacturing and fulfillment arm of Sony, to provide all CD, DVD and BD replication, packaging and distribution to Genius
Brands International’s direct customers. Under the terms of the long-term, exclusive supply chain services agreement,
the Company will order a minimum level of disc replication, packaging and distribution services for its content across
all physical media, including DVD, CD, and Blu-ray from Sony DADC. As consideration for these minimum order levels, the
Company received a total of $1,500,000, $750,000 during the first quarter of 2014 and $750,000 during the first quarter
of 2015. At the end of the term, the Company is obligated to repay a pro-rata portion of the advance if it has not ordered
a minimum number of DVD/CD units during the term. |
|