Lingo media corporate presentation-july 2015

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TSX-V: LM | OTCQB: LMDCF JULY 2015 PROPRIETARY - LINGO MEDIA 1

Transcript of Lingo media corporate presentation-july 2015

Page 1: Lingo media corporate presentation-july 2015

TSX-V: LM | OTCQB: LMDCF

JULY 2015 PROPRIETARY - LINGO MEDIA 1

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This presentation has been prepared by Lingo Media Corporation (“Lingo Media” or the "Company") exclusively for informational purposes,

and does not constitute an offer to sell or the solicitation of an offer to buy any securities.

This presentation includes "forward-looking" statements as defined in section 27A of the U.S. Securities Act of 1933 and section 21E of the

U.S. Securities and Exchange Act of 1934 and "forward-looking information" within the meaning of applicable Canadian securities

legislation (collectively, "forward-looking statements"). Forward-looking statements often, but not always, are identified by the use of words

such as "seek", "anticipate", "believe", "plan", "estimate", "expect", "targeting" and "intend" and statements that an event or result "may",

"will", "should", "could", or "might" occur or be achieved and other similar expressions. The forward-looking statements that are contained in

this presentation are based on various assumptions and estimates by Lingo Media and involve a number of risks and uncertainties. As a

consequence, actual results might differ materially from results forecast or suggested in these forward-looking statements. Forward-looking

statements involve known and unknown risks, uncertainties, assumptions and other factors that may cause the actual results, performance

or achievements of Lingo Media to be materially different from any future results, performance or achievements expressed or implied by

forward-looking statements in this presentation. Factors that could cause the actual results to differ include: risks relating to inability to

obtain required regulatory approvals, market conditions and general business, economic, competitive, political and social conditions. These

statements are based on a number of assumptions, including assumptions regarding general market conditions, timing and receipt of

regulatory approvals, the ability of Lingo Media and other relevant parties to satisfy regulatory requirements, the availability of financing for

proposed transactions and programs on reasonable terms and the ability of third-party service providers to deliver services in a timely

manner. Although Lingo Media has attempted to identify important factors that could cause actual results to differ materially from those

expressed or implied in forward-looking statements. Readers of this presentation are encouraged to review the “risk factors” set out in the

Company’s 20-F filed with the U.S. Securities and Exchange Commission or the Company’s most recently filed Management Discussion &

Analysis which can be found on the Company’s profile at www.sedar.com or www.sec.gov Forward-looking statements contained herein

are made as of the date of this presentation and Lingo Media disclaims any obligation to update any forward-looking statements, whether

as a result of new information, future events or results or otherwise, except as required by applicable securities laws. There can be no

assurance that forward-looking statements will prove to be accurate, as actual results and future events could differ materially from those

anticipated in such statements. Accordingly, readers should not place undue reliance on any forward-looking statements.

In preparing this presentation, the Company has relied upon and assumed, without independent verification, the accuracy and

completeness of all information available from public sources or which was provided to it or otherwise reviewed by it. The information

contained in this document has been taken from sources deemed as reliable. The Company does not represent that such information is

accurate or complete and it should not be relied on as such.

CAUTIONARY STATEMENT REGARDING FORWARD LOOKING INFORMATION

JULY 2015 PROPRIETARY - LINGO MEDIA 2

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1.6 BILLION2

PEOPLE LEARNING ENGLISH

GLOBALLY.

ENGLISH LANGUAGE LEARNING PRODUCTS AND SERVICES ARE A

$56.3 BILLION1

GLOBAL MARKET

1 Source: Ambient Insight | 2

Source: British Council

*All figures denominated in USD

JULY 2015 PROPRIETARY - LINGO MEDIA 3

THE MARKET

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EXPENDITURES IN LATIN

AMERICA ALONE WILL GROW

TO $260.9 MILLION BY

2016.2

EXPENDITURES ON DIGITAL ENGLISH

LANGUAGE LEARNING PRODUCTS WILL ACCOUNT

FOR $2.5 BILLION OF THE GLOBAL MARKET BY 2016.1

1 Source: GSV Advisors | 2 Source: Ambient Insight

THE MARKET

*All figures denominated in USD

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AN EDTECH INDUSTRY

COMPANY THAT INTEGRATES

EDUCATION & TECHNOLOGY,

EMPOWERING EDUCATORS

TO EASILY TRANSITION FROM

PURE PAPER-BASED TEACHING TO

DIGITAL LEARNING

ABOUT US

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OUR TECHNOLOGY IS POWERED BY A

SOFTWARE-AS-A-SERVICE (SAAS)

LEARNING PLATFORM WITH MORE THAN

2,000+ HOURS OF MATERIALS AND

1,000+ HOURS OF LESSONS

CORPORATE OVERVIEW

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PROPRIETARY AND STATE-OF-THE-ART

LEARNING MANAGEMENT SYSTEM

COMPLETES THE SUITE OF PRODUCTS

AND ALLOWS US TO MARKET

AND SELL OUR PRODUCTS TO:

ACADEMIC INSTITUTIONS

GOVERNMENTS

CORPORATIONS

CORPORATE OVERVIEW

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AN EXPERIENCED

BOARD OF DIRECTORS

AND MANAGEMENT TEAM

WITH A TRACK RECORD OF

ACHIEVING MILESTONES

AND A TIGHTLY HELD SHARE

STRUCTURE

CORPORATE OVERVIEW

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PRINT-BASED

PUBLISHING

ONLINE TRAINING &

ASSESSMENT

&

STRATEGIC FOCUS

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PRODUCT LINE

• WINNIE’S WORLD

• ENGLISH ACADEMY

• SCHOLAR

• CAMPUS

• MASTER

• BUSINESS

JULY 2015 PROPRIETARY – LINGO MEDIA 13

ELL TECHNOLOGIES

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NEW TECHNOLOGY & DESIGN

CROSS-PLATFORM,

MULTI-BROWSER COMPATIBILITY

REDESIGNED USER

INTERFACE & GRAPHICS

TEACHER DASHBOARD

STUDENT DASHBOARD

ELL TECHNOLOGIES

COMPRISED OF TWO

LEADING-EDGE

TECHNOLOGY TOOLS:

LESSON BUILDER AND

COURSE BUILDER

EMPOWERS

EDUCATORS TO

EASILY CREATE,

CONVERT, EDIT

AND ARRANGE

LESSONS AND

COURSES

FORMATIVE

ASSESSMENTS AND

DATA GATHERING

FUNCTIONALITY MAKE

THE LEARNING

EXPERIENCE MORE

ACCESSIBLE, EFFICIENT

AND MEASURABLE

LINGO RETAINS ALL

RIGHTS TO USER-

GENERATED CONTENT,

ALLOWING THE

COMPANY TO

CONTINUOUSLY EXPAND

ITS LIBRARY

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STUDENT DASHBOARD LEARNERS MANAGE THEIR

COURSES, MONITOR THEIR

PROGRESS AND SCORES, AND

ACCESS ELL TECHNOLOGIES’

SPECIALIZED LEARNING

TOOLS FROM THE STUDENT

DASHBOARD.

THE TEACHER DASHBOARD

ENABLES TEACHERS TO MANAGE

THEIR CLASSES, VIEW THEIR

SCHEDULE AND INTERACT WITH

STUDENTS THROUGH THE

LEARNING MANAGEMENT SYSTEM

(LMS).

TEACHER DASHBOARD

NEW TECHNOLOGY & DESIGN

ELL TECHNOLOGIES

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• DESIGNED AROUND MODERN PEDAGOGICAL PRINCIPLES

• AIMED AT A WIDE VARIETY OF AUDIENCES AND PURPOSES

• EXTENSIVE LIBRARY

• IMMERSIVE RICH MEDIA CONTENT

• CUTTING EDGE TECHNOLOGY

• FLEXIBLE AND CUSTIMIZABLE

• CROSS-PLATFORM, CROSS-BROWSER CAPABILITY

• IN MULTIPLE COUNTRIES WITH OVER 2,000+ HOURS OF

ONLINE TRAINING

• SCORM (SHARABLE CONTENT OBJECT REFERENCE MODEL)

COMPLIANT IMMERSIVE BLENDED TRAINING:

LISTENING, SPEAKING, READING AND WRITING

ELL TECHNOLOGIES

NEW TECHNOLOGY & DESIGN: BENEFITS

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ANALYZE PRONOUNCIATION AND EXERCISE REAL

LIFE SCENARIOS

THE STUDIO SPEAK2ME

SPEECH RECOGNITION

ELL TECHNOLOGIES

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THE STUDIO PROVIDES LEARNERS

WITH THOUSANDS OF WORDS

AND PHRASES

USERS RECORD AND

COMPARE THEMSELVES WITH

NATIVE SPEAKERS UNTIL THEY

ARE PROFICIENT WITH THEIR

PRONOUNCIATION

FEEDBACK APPEARS AS

COLOUR-CODED

ELL TECHNOLOGIES

SPEECH RECOGNITION – THE STUDIO

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SPEAK2ME FEATURES CUSTOMIZED AVATARS THAT

INTERACT WITH SPEECH RECOGNITION TO TEACH

SPOKEN ENGLISH.

THE PLATFORM PROVIDES STATE OF THE ART,

SCALABLE TRAINING AND ASSESSMENT TOOLS.

ELL TECHNOLOGIES

SPEECH RECOGNITION – SPEAK2ME

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SELF STUDY OR TEACHER LED COURSES

SKILLS DEVELOPMENT (LISTENING, READING, SPEAKING, WRITING)

VARIOUS DELIVERY OPTIONS - ONLINE, LAN, CD

ASSESSMENTS - PLACEMENT AND ACHIEVEMENT TESTS

ADVANCED LEARNING MANAGEMENT SYSTEM

SCORM COMPLIANT CONTENT

AUTOMATIC SYSTEM CHECK

HELP & LEARNER’S GUIDE

ELL TECHNOLOGIES

PRODUCT HIGHLIGHTS

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RENEWED AGREEMENTS TO DEVELOP,

CO-PUBLISH, DISTRIBUTE AND SELL

PEP PRIMARY ENGLISH AND

STARTING LINE TEXTBOOK PROGRAMS WITH:

PEOPLE’S EDUCATION PRESS, CHINA’S STATE

MINISTRY OF EDUCATION’S PUBLISHING ARM

LINGO LEARNING

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SECURED APPROVAL FOR PRODUCT

REVISIONS FROM

CHINA’S STATE MINISTRY OF EDUCATION

FOR ALL 8 LEVELS OF

PEP PRIMARY ENGLISH PROGRAM

AND FOR ALL 12 LEVELS OF

STARTING LINE PROGRAM.

LINGO LEARNING

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18 MILLION PRIMARY SCHOOL STUDENTS

STUDIED ENGLISH WITH LINGO LEARNING

TEXTBOOKS AND SUPPLEMENTALS IN 2014.

520 MILLION UNITS CO-PUBLISHED IN

PARTNERSHIP WITH PEOPLE’S EDUCATION

PRESS.

MORE THAN 60%

MARKET SHARE

IN CHINA.1

1 Primary school market for English text books

LINGO LEARNING

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• CANADA CHINA BUSINESS COUNCIL

• CANADIAN HERITAGE – CANADA BOOK FUND

• CANADIAN INTERNATIONAL DEVELOPMENT AGENCY - CIDA

• LNTS – LINGUISTEC SOLUTIONS INC.

• LIVRES CANADA BOOKS

• VISUALIZE TECHNOLOGIES COPORATION

PARTNERS & ALLIANCES

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52-WEEK TRADING RANGE:

CURRENT PRICE (June 30, 2015):

SHARES ISSUED & OUTSTANDING:

SHARES FULLY DILUTED:

MARKET CAP:

% HELD BY INSIDERS:

TSX-V: LM OTCQB: LMDCF

$0.26

$0.095 - $0.26

27.38 MILLION

41.68 MILLION

$7.12 MILLION

22.17%

1 As of June 30, 2015

SECTOR/INDUSTRY: TECHNOLOGY/EDUCATION SERVICES

TRADING SYMBOLS:

FINANCIAL SNAPSHOT1

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Q1 2015 REVENUE

GROWTH OF 176% Y/Y

MANAGEMENT EXPECTS

FISCAL TRENDING TO

CONTINUE THROUGHOUT

2015

THE EDTECH MARKET IS

PRESENTING VERY

FAVOURABLE SALES

GROWTH OPPORTUNITIES

IN LATIN AMERICA, ALONG

WITH M&A OPPORTUNITIES

FINANCIAL HIGHLIGHTS

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MICHAEL KRAFT – PRESIDENT & CEO

Visionary and entrepreneur with more than 25 years of experience in sales,

marketing and corporate management, with a strong record of success in both public

and private companies. Under Mr. Kraft’s stewardship, Lingo Media expanded its

reach into the English language learning education market through a series of

strategic acquisitions and transitioned from print-based publishing into online training.

GALI BAR-ZIV – CHIEF OPERATING OFFICER

Developed the brand strategies that grew product sales by 700% in his prior position.

Turned around the largest service division of Fairfax Financial, a $300 Million

operating company.

KHURRAM QURESHI – CHIEF FINANCIAL OFFICER

Chartered Accountant with more than 25 years experience in the field of accounting

and corporate finance. Held senior positions with several small to medium sized

public companies, and was a key member on several merger and acquisition teams.

MANAGEMENT TEAM

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THE HONOURABLE JERRY S. GRAFSTEIN, Q.C. Co-Founder of a range of media companies, focused in broadcasting, cable, telecom, and

publishing in Canada, South America, the UK and the US. He has served as an advisor to

several key government ministries, including transportation, external affairs, consumer

and corporate affairs, and justice.

MARTIN BERNHOLTZ, BBA, CA Chief Financial Officer of Kerbel Group Inc. with extensive business experience in finance,

real estate, emerging growth companies and public markets.

MICHAEL KRAFT

SCOTT REMBORG Co-Founder of Sympatico, Canada’s leading online internet portal. Now an independent

consultant in the Information Technology and e-Commerce sector.

TOMMY WEIBING GONG Founder of the energy saving clean tech leader Polar Bear Energy Inc., Chairman of

Shanghai Green Town Real Estate Development Co. Ltd. and Zysteq North America

Corporation, and focused in real estate development in China.

BOARD OF DIRECTORS

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• High growth and sustainable licensing/SAAS model with

ongoing residual and royalty income

• YOY quarterly revenue growth rate of 176%

• High margin / profitable model; Q1 Net Profit +22%

• Building largest digital English learning library in the world

with unique technology in a growing proprietary suite of

learning products

• Growing Sales pipeline in Asia, South America and Central

America

• Able to quickly built new custom solutions without prohibitive

pricing for client

• Digitally simplifying the global desire to communicate in

English for government, corporate and academic clients

INVESTMENT HIGHLIGHTS

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www.lingomedia.com

[email protected]

(416) 927-7000 ext. 23

TSX-V: LM | OTCQB: LMDCF

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