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Music Copyright (Thailand) Company Limited : MCT 23/17-18 Soi Soonvijai, Rama 9 Road Bangkapi, Huaykwang, Bangkok 10310 Thailand

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Music Copyright (Thailand) Company Limited : MCT 23/17-18 Soi Soonvijai, Rama 9 Road Bangkapi, Huaykwang, Bangkok 10310 Thailand MCT Annual Report 2012 “Music gives a soul to the universe, wings to the mind, flight to the imagination, and life to everything” - Plato MCT is the only one society in Thailand that has been proven to be OUR PROFILE a member of the International --------------------------------------------------------- Confederation of Societies of Authors and MCT is an organization of the composers Composers: CISAC and authors, the implementation of international principles of management rights of the composer and author (Authors' Collective Management Organization). MCT commiitted iintentiion to cooperate wiith allll partiies to establliish a system for managiing performiing riights for Thaii composers. MCT focuses on both the lliicense and the diistriibutiion of the royalltiies and allso focus on; CISAC: The International Confederation of Societies • Transparency of Authors and Composers • Non-profiit • Accountabiilliity • Complliiance wiith iinternatiionall priinciiplles Furthermore, thiis uniiversall priinciiplle management was accepted by composers and authors around the worlld as In addition, the a mechaniism to return to the composers, faiir, and conveniient to musiic users for a llong tiime. members of MCT can get information on MCT iis currentlly coordiinatiing a network of organiizatiions reciiprocall agreement between other sociiety iin more than composers and 30 countriies, coveriing 78 terriitoriies from around the worlld. songwriters from all Furthermore, the reciiprocall agreement wiith other country iis over of the world's iincreasiing every year. copyrights organization MCT iis ready to enhance the protectiion of Thaii composers to get a return on royalltiies and iinclluded the overseas use at www.cisac.org as wellll. Board of Directors 2013-2014 Mr. WIRAT U-TAWAUGHN MR. THANIT CHERNPIPAT Honorary Director Director Mr. CHARAS FUANGAROMYA Mr. SOMPOJ SINGSUWAN Chairman Director Mr. ITTIPOL SANEEWONG NA AYUTTAYA Mr. VEERANON NAVACHANON Director Director Mr. SRANGSAN, RUENGSRI Mr. DANAI HUNTRAKUL Songsmith Co., Ltd. Director Director บ ริ ษั ท Mr. Nadda Buranasiri Mr.Karnit PrukPrakarn ว Warner Chapple Music (Thailand) Ltd. Butterfly Records Co., Ltd. อ Director Director ร์ ร บ น ร ริ เ ษั น ม ท อ ก MCT ‘S ORGANIZATION CHART Our Staffs Jittrapa Payackso Sasiphimol Nawakul Vipavee Poopongpaibul Pasinee Luesat Jarunya Rojanasopondist Chulaphan Panthongkham Ochawin Tosith * From Left to right Rachen Otthoeng Narong Intapuang Phatharamon Suksena Supathida Kanjana Karnpanich Phutrakul Summary of Income & Expenditure 2012 No. Description 2012 % 2011 % 1 Revenues 1.1 Revenue from the licensing unit 36,604,400 88.4 30,572,964 94.9 1.2 Revenue of Ringtone/True Tone/RBT 257,079 0.6 805,066 2.5 1.3 Revenue of H.M. King’s songs 61,000 0.1 120,804 0.4 1.4 Revenue from overseas 3,083,523 7.4 230,890 0.7 1.5 Revenue of Duplicate/Reproduction - - 55,000 0.2 1.6 Other revenues (Interest, exchange money, etc.) 1,416,806 3.4 414,718 1.3 Gross total revenue 41,422,809 100.0 32,199,442 100.0 2 Expenses 2.1 Expense of Licensing unit 7,320,880 17.7 6,114,593 19.0 2.2 Expense of MCT 7,350,858 17.7 6,057,639 18.8 2.3 Cooperation Tax 813,665 2.0 742,199 2.3 Gross total expense 15,485,403 37.4 12,914,431 40.1 Net total revenue (after deduction) 25,937,406 62.6 19,285,011 59.9 3 Royalty Distribution 3.1 Distribution of General Licensing and Broadcasting 22,774,442 87.8 18,210,109 94.4 3.2 Ringtone/True Tone/RBT Distribution 205,663 0.8 610,609 3.2 3.3 H.M. King’s songs Distribution 61,000 0.2 120,804 0.6 3.4 Royalties from Overseas Distribution 2,466,818 9.5 207,801 1.1 3.5 Duplicate/Reproduction Distribution - - 49,500 0.3 3.6 Other revenue (interest income, etc.) 429,483 1.7 86,188 0.4 Total Distribution 25,937,406 100.0 19,285,011 100.0 Remark MCT Revenue from the licensing unit = Revenue from the Licensing unit (1.1) minus (-) Expenses of Licensing unit (2.1) = 1 29,283,520 Baht Summary of Licensing 2012 No. Customer Royalty Licensing Expenses Remain Expenses Other Total MPC MCT Expenses* Distribution 1.1 Radio 4,236,985 (847,397) 3,389,588 (673,974) (79,457) 2,636,158 1.2 Hotel 2,312,856 (462,571) 1,850,285 (367,904) (43,373) 1,439,007 1.3 Airline 4,524,042 (904,808) 3,619,234 (719,635) (84,840) 2,814,758 1.4 Restaurant 3,598,741 (719,748) 2,878,993 (572,449) (67,488) 2,239,056 1.5 Bar/Pub/Lounge/Disco 2,276,587 (455,317) 1,821,270 (362,135) (42,693) 1,416,442 1.6 Karaoke 1,960,062 (392,012) 1,568,050 (311,785) (36,757) 1,219,507 1.7 Single Event 417,000 (83,400) 333,600 (66,332) (7,820) 259,448 1.8 TV 2,753,385 (550,677) 2,202,708 (437,979) (51,635) 1,713,095 1.9 Concert 8,107,675 (1,621,535) 6,486,140 (1,289,681) (152,044) 5,044,415 1.10 Retail & Shop 3,234,338 (646,868) 2,587,470 (514,483) (60,654) 2,012,333 1.11 Internet 2,456,342 (491,268) 1,965,074 (390,728) (46,064) 1,528,281 1.12 Mobile Business - Korean Music(PP) 52,451 (10,490) 41,961 (8,343) (984) 32,634 - Reproduction (K-New Media) 39,760 (7,952) 31,808 (6,325) (746) 24,738 1.13 Reproduction - Korean Music(Physical) - - - - - - 1.14 Fitness 412,653 (82,531) 330,122 (65,640) (7,739) 256,744 1.15 Bowling 114,844 (22,969) 91,875 (18,268) (2,154) 71,453 1.16 Hospital & Other 106,679 (21,336) 85,343 (16,969) (2,001) 66,373 Total 36,604,400 (7,320,880) 29,283,520 (5,822,630) (686,448) 22,774,442 Remark : Other Expense * such as Cooperation Tax 2. Revenue of Ringtone/True Tone/RBT No. Details Royalty MCT Expense Distribution 2.1 Mechanical Revenue (AMPS) - - - 2.2 MCT’s Public Performance Revenue 257,079 (51,416) 205,663 Total 257,079 (51,416) 205,663 3. Other Revenues No. Details Royalty MCT Expense Distribution 3.1 Revenue of H.M. King’s songs 61,000 - 61,000 3.2 Revenue from overseas 3,083,523 (616,705) 2,466,818 3.3 Other revenues 429,483 - 429,483 Total 3,574,006 (616,705) 2,957,301 Growth of Collection Chart Growth of Royalties Collection Chart 2002-2012 Million Baht 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 Affected Value Total Royalties Remarks 1. MCT has a special due to grant a license of mechanical rights for the international Publisher’s repertoire, as a result, total of collection is higher than other years. 2. The expected license amount is affected from insurgency in Thailand. 3. The insurgency in Thailand year 2009. 4. The insurgency in Thailand year 2010. Growth of Royalties in Each Account Chart 2002-2012* Million Baht 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 Remark Currently, licensing depends on business field or establishment around 30 license accounts. MCT’s Membership (update 4th April 2013) Total Members 351 Song Writers Successors Publishers 309 21 21 Authors Composers Authors and Composers 39 38 232 Overseas Collection MCT is a member under CISAC: The international Confederation of Societies of Authors and Composers. Therefore, MCT has signed Reciprocal Agreement with Authors and Composers societies worldwide as we called sister societies, now with 39 sister societies and cover around 90 countries all over the world. That is the reason why, when MCT’s Thai repertoires are used for music work of public performing rights in other countries territories (the country list of MCT’s sister societies as the table next page) the rights will be protecting and license the royalties back to the right owners in Thailand. Same as International Repertoires are used in Thailand territory. There will be protecting on the same worldwide standard. The country list of MCT’s sister societies No. Country Society Name of Society ASCAP - AMERICAN SOCIETY OF COMPOSERS, AUTHORS AND PUBLISHERS 1 AMERICA BMI - BROADCAST MUSIC, INC. SESAC - SESAC INC. 2 ARGENTINA SADAIC - SOCIEDAD ARGENTINA DE AUTORES Y COMPOSITORES DE MUSICA 3 AUSTRALIA APRA - AUSTRALASIAN PERFORMING RIGHT ASSOCIATION LIMITED 4 AZERBAIJAN AAS - AZERBAIJAN AUTHORS SOCIETY 5 BELGIUM SABAM -SOCIETE BELGE DES AUTEURS, COMPOSITEURS ET EDITEURS 6 BRAZIL UBC - UNIAO BRASILEIRA DE COMPOSITORES 7 BRUNEI BEAT -BRUNEIAN AUTHORS AND COMPOSERS ASSOCIATION (BEAT) BERHAD 8 CANADA SOCAN - SOCIETY OF COMPOSERS, AUTHORS AND MUSIC PUBLISHERS OF CANADA 9 CHINA MCSC - THE MUSIC COPYRIGHT SOCIETY OF CHINA 10 DENMARK KODA - SELSKABET TIL FORVALTNING AF INTERNATIONALE KOMPONISTRETTIGHEDERI DANMARK 11 ENGLAND PRS - THE PERFORMING RIGHT SOCIETY LIMITED *** 12 ESTONIA EAU - EESTI AUTORITE UHING 13 FRANCE SACEM - SOCIETY DES AUTEURS, COMPOSITEURS ET EDITEURS DE MUSIQUE 14 GERMANY GEMA - GESELLSCHAFT FUR MUSIKALISCHE AUFFUHRUNGS - UND MECHANISCHE VERVIELFALTIGUNGSRECHTE 15 GREECE AEPI - SOCIETE HELLENIQUE POUR LA PROTECTION DE LA PROPRIETE INTELLECTUELLE SA 16 HONG KONG CASH - THE COMPOSERS AND AUTHORS SOCIETY OF HONG KONG LIMITED 17 INDIA IPRS - THE INDIAN PERFORMING RIGHT SOCIETY LIMITED 18 INDONESIA WAMI - WAHANA MUSIK INDONESIA 19 IRELAND IMRO - IRISH MUSIC RIGHTS ORGANISATION EAGRAS UM CHEARTA CHEOLTA TEORANTA 20 ISRAEL ACUM -SOCIETY OF AUTHORS, COMPOSERS AND MUSIC PUBLISHERS IN ISRAEL 21 ITALY SIAE - SOCIETA ITALIANA DEGLI AUTORI ED EDITORI 22 JAPAN JASRAC - JAPANESE SOCIETY FOR RIGHTS OF AUTHORS COMPOSERS AND PUBLISHERS 23 KOREA KOMCA - KOREA MUSIC COPYRIGHT ASSOCIATION 24 LATVIA AKKA/LAA - AUTORTIESIBU UN KOMUNICESANAS KONSULTACIJU AGENTURA / LATVIJAS AUTORTIESIBU AGENTURA 25 MACAU MACA - MACAU ASSOCIATION OF COMPOSERS, AUTHORS & PUBLISHERS 26 MALAYSIA MACP - MUSIC AUTHORS' COPYRIGHT PROTECTION (MACP) BERHAD 27 NETHERLANDS BUMA - THE VERENIGING BUMA 28 PHILIPPINES FILSCAP - FILIPINO SOCIETY OF COMPOSERS, AUTHORS & PUBLISHERS, INC.
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