KatManDu Entertainment Corporation
Proposed Ticker: KATX 415 N. Columbus Blvd
Exchange: NASDAQ-Small Cap Market Philadelphia, Pennsylvania 19123
Industry: Retail (215) 629-7400

All share information is proposed
Type of Shares:Common Shares Filing Date:7/26/96
U.S. Shares Filed:2,500,000 Filing Price:$6.00
Non-U.S. Shares Filed:0 Offering Amount: $15,000,000
Primary Shares:2,500,000 Expenses:$500,000
Secondary Shares:0 Shs Out After:4,000,000

ManagerTierPhone
National Securities Corp.Lead Manager (206) 622-7200

Audited
Income
Latest
Unaudited
Income
Prior
Unaudited
Income
Balance
Sheet
12/31/95 3/31/96 3/31/95 3/31/96
Revenue:$2.87$0.00$0.00Assets:$1.59
Net Income:$0.16-$0.52-$0.16Liabilities:$1.23
EPS:$0.07-$0.22-$0.06Equity:$0.36

Note: Dollar amounts are in U.S. millions; Audited figures expressed as full year,
unaudited figures are partial year

Business Description
The company owns and operates a casual dining, outdoor, theme restaurant named "KatManDu". KatManDu-Philadelphia is located on the Delaware River waterfront in central Philadelphia and operates from mid April through mid September. KatManDu-Philadelphia, with its waterfront setting, casual atmosphere, live musical entertainment and dancing, is designed to replicate a mythical "tropical island paradise" vacation setting. The company has commenced development of a second KatManDu restaurant/nightclub, presently scheduled to open in January 1997. The company has entered into a 30-year lease for a 21,500 square foot site which includes a 10,000 square foot historic landmark building on the Delaware River front in Trenton, New Jersey. KatManDu-Trenton is located adjacent to an office park and the new Trenton Thunder baseball stadium. With a portion of the net proceeds of their Offering and the proceeds of a construction loan for which the company has already received a commitment, the company intends to develop this site into and indoor/outdoor KatManDu restaurant/nightclub which will operate year round.

Use of Proceeds
The proceeds from the proposed offering will be used to finance the development and opening of KatManDu-Trenton and one to two additional KatManDu restaurant/nightclubs in 1997 and two more in 1998, to repay the June 1996 Financing and certain other funded debt, to make the Final Distribution and to provide working capital.

Last updated: 10/28/96

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