Current through Register Vol. 46, No. 39, September 25, 2024
All financial reports are to be prepared in the manner set
forth below except that areas not specifically covered by this section shall be
governed by generally accepted accounting principles consistently
applied.
(a) Balance sheet (or similar
financial statement or analysis) prepared as part of the pre-opening report and
the annual report shall contain the following information:
(1) Capital section.
(i) The total original capitalization should
be stated, with a separate schedule, if necessary, indicating any amounts yet
unpaid and the persons from whom such amounts are due.
(ii) Capital contributions in the form of
service or property should be so designated, with a supplemental schedule
indicating the service or property that has or will be contributed if the
information is not contained on the statement.
(iii) The total overcall, if any, should be
stated, with a separate schedule, if the information is not contained on the
statement, indicating any amounts yet unpaid and the persons from whom such
amounts are due.
(iv) Capital
contributions in excess of the original capitalization and overcall should be
set forth and the source thereof stated. If necessary, a separate schedule
should be used.
(v) Distributions
constituting return of capital should be set forth. If preferential
distributions were made, identify the person to whom made.
(vi) Distributions of profit should be set
forth. If preferential distributions were made, identify the person to whom
made.
(vii) Both current and
accumulated charges to capital, including production cost, running losses,
closing costs and similar items of cost (properly classified).
(viii) Both current and accumulated credits
to capital, including profits from run or other income (properly
classified).
(ix) Capital reserves
and other capital items (specify); supply appropriate descriptive
detail.
(2) Assets
section.
(i) Cash on hand and in banks
(segregate amount for sinking fund reserve).
(ii) Loans and accounts receivable, including
identification of persons or entities from whom amounts are due (attach
schedule, if necessary).
(iii)
Amounts due from any of the principals or producers, and/or his spouse,
relatives and/or entities owned or controlled by them or in which they have any
financial interests should be separately shown, apart from loans and accounts
receivable.
(iv) Prepaid items,
with explanations where appropriate concerning advances which may have no
recoverable value under certain circumstances. (For example, author's advances
to be applied against author's royalties, but not returnable if insufficient
royalties are earned.)
(v) Bonds
and deposit guarantees; each such bond and deposit should be shown separately.
If conditional in any way, appropriate footnotes should be supplied.
(vi) Any amounts currently due to the
theatrical production company for payments made in excess of or in advance of
contractual requirements. Unless set forth in the statement, state in a
separate schedule the person or entity to whom payment was made, the nature of
the transactions and the amount of such excess payment.
(vii) Any other assets; specify and supply
appropriate descriptive detail.
(3) Liabilities section.
(i) Loans and accounts payable are to include
a list of each creditor and the amounts payable thereto.
(ii) Liabilities and reserves for taxes
(e.g., New York City commercial rent tax, N.Y.S. unincorporated business
tax).
(iii) Accruals, as
appropriate.
(iv) Any amounts
payable to principals and producer or persons related to them or entities owned
or controlled by them or in which they have any financial interest. Such
payments should be set forth separately from other loans and accounts payable
and the nature of the transaction giving rise to such amount payable should be
set forth.
(v) Liabilities for
royalties.
(vi) Any other
liabilities; specify and supply appropriate descriptive detail.
The difference between total assets and total liabilities
must agree with the balance in the capital account section of the balance
sheet.
(b) The balance sheet prepared for purposes
of the monthly report shall be prepared as set forth under subdivision (a) of
this section except that separate or supplemental schedules required in
subdivision (a) of this section need not be used; names of individual investors
from whom original capital contributions or overcall is due need not be stated;
the names of individual debtors and creditors need not be given; prepaid items
may be set forth without further explanation; bonds and deposits may be shown
as a total sum without further breakdown. However, all transactions with
producers or other principals or related parties or entities in which they have
a financial interest must be specifically noted by footnote or parenthetical
remark.
(c) Schedule and cumulative
schedule of production costs.
(1) The
pre-opening report and annual report covering each period ending prior to the
opening, or in which the opening occurred, shall include a production cost
schedule. These schedules may be shown on one statement in columnar form and
shall encompass the following categories:
(i)
Sets and scenery
Designing
Construction
Other materials and cost
(ii) Properties, purchases and
rentals
(iii) Costumes and wardrobe
Designing
Costs to make and acquire
(iv) Sound, lighting and electrical equipment
Purchases and rentals
(v) Fees to directors (specify)
(vi) Music copying and arranging, if
any
(vii) Rehearsal costs
Salaries by categories (e.g., cast, crew, stage managers,
stagehands, assistants, etc.)
Scripts and parts
(viii) Publicity
Press agent--salaries
Press agent--expenses
Photos, signs, printing
Advertising
(ix) Personnel transportation
(x) Personnel subsistence and
expense
(xi) Transportation and
handling of property
Hauling and carting; take in; set up and hang
(xii) Net loss (or gain) on tryout
or preview performances (annex a statement covering income and expenses
regarding these performances prepared in the same manner as the profit and loss
statement used in monthly reports. See subdivision [d] of this
section.)
(xiii) Other production
costs (specify)
(xiv) General and
administrative expenses
Office expense or charge
Insurance
Legal
Accounting
Payroll taxes (if not included in cost of salaries
above)
Welfare and pension fund contributions (if not included in
cost of salaries above)
Salaries (if not included above--such as general and company
manager)
Other (specify).
(2) In general, for classifications not
specifically mentioned above provide as much detail as possible. As a minimum,
create a separate category for any individual item or homogeneous class of
expenses not specifically mentioned above which amounts to one percent or more
of the total production costs. The categories listed are a minimum. As long as
there is no loss in detail, the categories do not necessarily have to be
grouped in the manner set forth above.
(3) The production cost schedule and
cumulative production cost schedule must expressly state the amount involved
and the name of the recipient for any item of cost whatsoever, where such item
or part thereof was paid to, or liability was incurred on behalf of, the
producer or other principal, parties related to them or any entity in which
they have a financial interest. This may be accomplished by appropriate
footnote or parenthetical remark. This requirement shall include disclosure of
any reimbursement for expenses previously advanced by such person or
entity.
(d) Profit and
loss statement.
(1) During the run of the
theatrical production. The profit and loss statement required in the monthly
report and the portion of the annual report covering the period after the
initial paid performance, shall be prepared in the following manner:
(i) The statement of income shall include, by
separate classification, all income received by the theatrical production
company whether from box office receipts; proceeds from the sale of tickets in
excess of box office prices, advertising rebates, subsidiary rights and other
income of any nature whatever.
(ii)
As a minimum, the following categories of expense should be presented insofar
as any such expense was actually incurred:
(a)
Salaries
Cast
Stage managers
Musicians, if any
Company crew and department heads
Stagehands
Wardrobe and dressers
Press agent
Company and general manager
Other (specify)
(b) Royalties
Producer
Director (specify whether general, lighting, etc.)
Choreographer
Designers (specify--scenery, costumes, etc.)
Arranger
Composer
Other payments (specify purpose) based on a percentage of
gross admissions or profits
(c) Publicity and advertising
Newspapers
Signs, printing
Press agent's expenses
Subscription, circularizing, displays and photos
Others (specify)
(d) Departmental and rentals
Electrical
Carpentry
Properties
Costume and wardrobe
Rental (specify)
Other (specify)
(e) General and administrative expenses
Office charge or allowance
Insurance
Accounting
Legal
Dues
Payroll taxes
Pension and welfare fund contributions
Gross business tax (N.Y.C. excise tax)
Commercial rent tax (N.Y.C. occupancy tax)
Other (specify)
(f) Transportation expenses
Personnel transportation
Personnel subsistence (hotel and living)
Transportation and handling of property
Other (specify)
(2) In preparation of these reports, income
and expenses for the monthly reports are to be set forth on the basis of each
weekly period or portion thereof and should include a statement as to the
number of performances in each week. The profit and loss statement for the
annual report may present income and expenses on an annual basis. In all profit
and loss statements if any party involved in a transaction is the producer, or
other principal or any party related thereto, or an entity in which they have a
financial interest, the details must be stated by appropriate footnote or
parenthetical remark.
(e) The financial report prepared immediately
after the close of the theatrical production shall contain a schedule of all
closing costs.
(f) Statement of
earnings and expenditures. The statement of earnings and expenditures of the
theatrical production company to be used in the reports following the last
public performance of each theatrical production produced, developed or
invested in by the theatrical production company shall contain the following:
(1) An itemization of all earnings of the
theatrical production company from subsidiary rights or from any other source,
including an identification of each such source, as well as a cumulative
statement thereof.
(2) An
itemization of all expenditures of the theatrical production company. If any
payment was made to the issuer or other offeror, other principal, or any party
related thereto, or an entity in which they have any financial interest, this
must be so noted.
(3) A description
of any other financial transactions engaged in by the theatrical production
company which are not included in the listing of earnings and expenditures,
e.g., loans by the theatrical production company, settlement of accounts with
creditors. Such additional description should include the nature of the
transaction, the party involved, and the amount thereof. If the party involved
is the issuer or other offeror, other principal or any party related thereto,
or an entity in which they have a financial interest, this must be so
stated.
