About Globe Photos

Globe Photos, Inc. engages in the business of acquiring, selling, licensing and merchandising classic and contemporary photographic images and reproductions. The company focuses on acquiring ownership or rights to collections of rare or unpublished negatives and photographs of iconic celebrity images. The company has assembled a collection of pop culture imagery photography. It includes approximately 15 million images taken by approximately 3,500 photographers. It features personalities and seminal moments from the worlds of entertainment, sports, history and politics. The company’s branded archives include Frank Worth collection, Movie Star News, and Globe Photos Agency. Archived and stored at the company’s secured warehouse, these collections include various negatives, prints and other memorabilia. They include rare images of celebrity icons, such as Elvis Presley, James Dean, Marilyn Monroe, Humphry Bogart, Frank Sinatra, the Beatles and more, as well as various contemporary personalities, performing artists and star athletes. As part of the Photo File transaction, the company acquired licenses to produce and sell licensed sports prints, lithographs and other related items for major U.S. sports leagues, including NFL, NBA, MLB, and NHL Properties and their respective player associations, as well as major college sports teams. The company also gained licenses with various individuals and organizations, including Babe Ruth, Joe Namath, Vince Lombardi, Marvel Entertainment, and others. The acquisition also expanded the company’s collection of company-owned iconic sports photography. In addition to licenses and photo assets, the Photo File transaction has provided the company access to its sales and marketing organization, and it has opened new distribution channels for its existing product lines. Strategy The key elements of the company's strategy are to develop its customer base, expand products and services offerings, increase sales to existing customers, growth through acquisitions, expand its sports licenses, and expand upon and leverage partnerships. Sales, Marketing and Distribution The company’s photographic assets and licenses are delivered or manufactured in various physical and digital formats that could be sold through various distribution channels and markets. The company sells photographs in the form of open edition or fine art prints. In some instances, prints could be paired with other memorabilia to create collectibles, such as photo footballs, original concert tickets, and autographed items. The company’s Globe Photos’ licensing division services approximately 2,500 global clients, including every major news organization in the world, production companies, publishing houses and more. Licenses The company’s major sports licenses include NFL Properties, NFL Players Association, MLB Properties, MLB Players Association, NHL Properties, NHL Players Association, NBA Properties, and NBA Players Association, which comprise over 1,000 individual licenses to produce officially licensed sports prints, canvas, memorabilia and other related items. Intangible Assets The company’s collections of pop culture imagery photography include approximately 15 million images taken by approximately 3,500 photographers from around the world. It features personalities and seminal moments from the worlds of entertainment, sports, history and politics. The company’s branded archives include Frank Worth collection, Movie Star News, and Globe Photos Agency. The company’s new Photo File division holds licenses with the NFL, NBA, MLB, NHL, and major colleges including Alabama, Clemson, Ohio State and others, to produce sports prints, lithographs and other related items. Photo File also holds licenses for various additional individuals and organizations, including Babe Ruth, Joe Namath, Vince Lombardi, and others. The company regards its archival images and related proprietary rights as valuable intangible assets. The company, with the assistance of Corporate Valuation Advisors, Inc. (CVA), an independent appraiser, undertook an estimate of the value of its intangible assets. The company engaged CVA to value the identifiable assets acquired in the acquisition of Photo File in accordance with ASC 805, and separately from Globe Photo’s existing intangible assets, in order to assist with the accounting treatment for the combined entities. Competition The company faces significant competition from specialized visual content companies that are established in their local, content or product-specific market segments, such as Reuters Group, the Associated Press, and ZUMA Press, Inc. The company’s competition also includes retail photography galleries and Websites selling photography, such as Art.com, Artspace.com and Rockpaperphoto.com.