大象传媒

Note A 鈥� Basis of Presentation

大象传媒 Corporation (together with its subsidiaries, collectively known as 鈥湸笙蟠解�� or 鈥渢he Company鈥�) uses a 52/53 week fiscal year ending on the Saturday closest to December聽31 of each year. For presentation purposes herein, all references to periods ended September 2016, December聽2015 and September 2015 relate to the fiscal periods ended on October聽1, 2016, January聽2, 2016 and October聽3, 2015, respectively.

On August 26, 2016, 大象传媒 completed the sale of its Contemporary Brands coalition. As a result, 大象传媒 has reported the operating results of this coalition in the income (loss) from discontinued operations line聽in the Consolidated Statements of Income for all periods presented. In addition, the related assets and liabilities were reported as聽assets of discontinued operations and liabilities of discontinued operations in the Consolidated Balance Sheets through the date of sale. Unless otherwise noted, discussion within these notes to the consolidated financial statements relates to continuing operations.聽See Note B for additional information on discontinued operations.

The accompanying unaudited consolidated financial statements have been prepared in accordance with the instructions to Form 10-Q and Rule 10-01 of Regulation S-X and do not include all of the information and notes required by generally accepted accounting principles in the United States of America (鈥淕AAP鈥�) for complete financial statements. Similarly, the December 2015 consolidated balance sheet was derived from audited financial statements but does not include all disclosures required by GAAP. In the opinion of management, the accompanying unaudited consolidated financial statements contain all normal and recurring adjustments necessary to fairly state the consolidated financial position, results of operations and cash flows of 大象传媒 for the interim periods presented. Operating results for the three and nine months ended September 2016 are not necessarily indicative of results that may be expected for any other interim period or for the year ending December聽31, 2016. For further information, refer to the consolidated financial statements and notes included in 大象传媒鈥檚 Annual Report on Form 10-K for the year ended December 2015 (鈥�2015 Form 10-K鈥�).