EX1A-13 TST WTRS 15 rsecex13z20.htm TESTING THE WATERS MATERIALS RELATING TO SERIES #R2D2 Testing the Waters Materials Related to Series #36OWENS (06121253).DOCX

Testing the Waters Materials Related to Series #R2D2

From the Rally App:

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The interactive Comparable Asset Value Chart (the “Chart”) plots historical sales of assets comparable to the Underlying Asset, showing price values on the vertical axis against time on the horizontal axis.  The prices reflected on the Chart are not adjusted for inflation.  Users of the Platform can opt to display varying ranges of time on the Chart’s horizontal axis, from one month to one year or longer to the extent such data are available.  If multiple comparable asset sales occurred on a single day, the Chart provides an average for that day.  By hovering over the points on the Chart, users can view price and date of sale represented by each point.  

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DESCRIPTION OF SERIES 1977 STAR WARS R2-D2 ACTION FIGURE

Investment Overview

 

·Upon completion of the Series #R2D2 Offering, Series #R2D2 will purchase a 1977 Star Wars Dark Blue Dome R2-D2 Action Figure graded CAS 85 for Series #R2D2 (The “Series 1977 Star Wars R2-D2 Action Figure” or the “Underlying Asset” with respect to Series #R2D2, as applicable), the specifications of which are set forth below. 

·Star Wars is a series of films created by George Lucas that has spawned a wide-spanning industry since its debut in 1977, including ongoing films and TV shows, merchandise, trading cards, toys, and video games. The New York Times called Star Wars a “cultural behemoth.” 

·Kenner Products was founded in 1947 by Albert, Phillip, and Joseph Kenner. The company would go on to produce toys such as the Easy-Bake Oven and Star Wars action figures. 

·The Underlying Asset is a 1977 Star Wars Dark Blue Dome R2-D2 Action Figure graded CAS 85. 

 

Asset Description

 

Overview & Authentication

 

·The first Star Wars film was released on May 25, 1977 (later retitled “Star Wars: Episode IV — A New Hope”). Directed by George Lucas, the “Space Opera” grossed an estimated $775,398,007 at the worldwide box office. 

·Following the debut hit, the franchise has since released a total of 11 films, with “Star Wars: Episode IX — The Rise of Skywalker” arriving in theatres on December 20, 2019. 

·The Walt Disney corporation announced they agreed to acquire Lucasfilm Ltd. on October 30, 2012. Through this deal, Disney acquired ownership of Star Wars and associated businesses in film, consumer products, animation, and more. 

·After the success of the Star Wars film in 1977, Kenner signed a licensing deal to produce Star Wars toys. According to Cincinnati.com, other toy companies turned down the deal because at the time toy companies generally produced toys related to TV shows due to the longer exposure period compared to movies. 

·A Kenner designer named Jim Swearingen “recalled reading the ‘Star Wars’ script and telling his bosses they had to do these toys.” 

·Since Kenner knew they wanted to produce toys of the spaceships from Star Wars, they scaled down the figures from the common 8 or 12 inches to 3.75 inches. This became “the new industry standard.” 

·In the fall of 1977, Kenner produced puzzles and a board game, but the action figures would take a year to produce and would not meet the holiday deadline. According to Cincinnati.com: “…they tried a bit of innovative marketing. Kenner whipped up a cardboard stand and an “Early Bird Certificate Package” that promised delivery of the first four figures (Luke Skywalker, Princess Leia, Chewbacca and R2-D2) when they were available the next year. The company essentially sold parents an empty box, an I.O.U., to put under the tree on Christmas morning.” 

·Kenner’s Star Wars action figures were added to the National Toy Hall of Fame in 2012. 

·The R2-D2 Kenner Action Figure’s Dark Blue Dome variant is identified as the earliest variant produced of the action figure as a part of the original 12 Back-A release. 

·According to the Ultimate Guide to Vintage Star Wars Action Figures: “As simple as Kenner’s R2-D2 action figure is, with its paper sticker, clicking head, vac-metallized silver dome, and two sturdy legs, this original interpretation of Artoo-Detoo flew off retail shelves — it was the perfect encapsulation of the brave, child-like hero of the Rebellion… there are few robots more iconic than R2-D2.” 

·The Underlying Asset has been issued a grade of CAS 85 by Collector Archive Services (CAS) with Certification No. 10161808. 

 

Notable Features

 

·The Underlying Asset is a 1977 Star Wars Dark Blue Dome R2-D2 Action Figure graded CAS 85. 

 

Notable Defects

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·The Underlying Asset’s condition is consistent with its condition grade from Collector Archive Services (CAS). 

 

Details

 

Series 1977 Star Wars R2-D2 Action Figure

Action Figure

ARTOO-DETOO (R2-D2)

Manufacturer

Kenner

Series

Star Wars

Variation

Dark Blue Dome

Case Type

221

Year

1977

Subseries

Carded Action Figure

Memorabilia Type

Toy

Authentication

Collector Archive Services (CAS)

Master Grade

85

Real Grade

85.9

Grade (Card/Box)

80

Grade (Bubble/Window)

90

Grade (Figure)

85

Certification No.

10161808

 

Depreciation

 

The Company treats Memorabilia Assets as collectible and therefore will not depreciate or amortize the Series 1977 Star Wars R2-D2 Action Figure going forward.

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