ASIA MEDIA GROUP CORPORATION - PRESIDENT'S QUARTERLY REPORT 6,000,000 PLACEMENT COMPLETED BY ASIA MEDIA GROUP CORP.

TORONTO--(BUSINESS WIRE)--Dec. 12, 1994--ASIA MEDIA (CANADIAN DEALING NETWORK: ASIA ) Following the successful identification of an investment opportunity in the Chinese media sector in August the company completed the first stage of a financing programme to acquire up to 40 percent of MUSIC GROUPINGS (FAR EAST) PTE LTD. ("MGS") of Singapore and to raise working capital for the company itself by the placement of 6,000,000 shares at $1.00 Canadian. Previously, in June the company raised $312,500 through a private placement for working capital and investment opportunities.

MGS has a 48 percent stake in Todays International ("Todays"), a joint venture with China International Television ("CITV"). The latter is a 100 percent owned subsidiary of China Central Television, the Government owned national broadcasting organization. One of CITV's functions is to co-ordinate the importation of foreign media products into China's extensive cable network system. Todays will be responsible in part for importing media product into China. This function will include in many instances dubbing and sub-titling programmes. Much of this work can be done in CCTV's extensive studios in Beijing which are available to Todays.

The company completed a shareholder's meeting and AMG formed a new board, gave approval for the MGS acquisition and to issue up to 12 million shares. The company's name was changed to Asia Media Group Corporation ("AMG") at the meeting.

AMG now has an expanded Board with two new executive directors, Robert Kennedy (Chairman) and Christopher Mowbray (President). Mr. Kennedy has over 25 years of media experience and is in charge of the development of AMG's venture with MGS. He is working with the latter for a six month period to formulate a business plan and co-ordinate the building of a full management team and marketing link up to sell advertising space in China. Mr. Mowbray has a background in international finance as well as having been closely associated with the formation of a Canadian public company with activities in China. He is responsible for AMG'S financing as well as being part of the team seeking further investment opportunities in the China media sector. He also represents AMG on the Board of MGS.

Messrs Moe Wortzman and Mel Simpson have agreed to remain on your board in a non executive capacity. They are being joined by Abul Rahim who has had business experience in both Singapore and Canada. Final approval has been given by the shareholders for KP Poh, now AMG's largest shareholder and a director of MGS to become a director of AMG. This appointment is subject to a further Canadian also being appointed to your board.

MGS and AMG ("The Group") are now active in defining their immediate objectives. Discussions are underway with a number of advertising specialists with particular expertise in the Far East with a view to making arrangements to sell both advertising and sponsorship on the existing radio products produced by MGS. A similar exercise will be completed in the next few months for the sale of advertising space on the forthcoming Sports programmes envisaged for China's cable networks.

MGS is well advanced in its discussions, through Todays, for the provision of sports programming which will be transmitted by CCTV on a new Sports Channel into China's 1000 plus cable networks. These have an audience of some 25 million mainly located in the economically rich seaboard of China. CCTV is planning to have three such channels - sports, films and a variety channel. Todays hopes to provide some programming for these channels.

AMG has opened discussions with a North American sports programme producer team which should lead to a close working relationship and a development of programme production for the Sports Channel whose launch is planned for January 1995. Thus we expect the Group to start sales of programmes into the Chinese cable networks on schedule in the first quarter of 1995. Initial cash flow will derive from advertising but, as the programmes become established, further revenues should start to accrue internationally from sponsorship and within China from payments to Todays by the cable networks for the programmes provided. Initially the Group will seek to achieve break even as quickly as possible by generating advertising and programming sales in 1995 once advertisers are identified and the viewership of the new nation-wide cable Sports Channel become established

-0-

Christopher Mowbray

President

ASIA MEDIA GROUP CORPORATION
UNAUDITED STATEMENT OF INCOME
FOR THE THREE MONTH PERIOD ENDED SEPTEMBER 30, 1994
(WITH COMPARATIVE FIGURES FOR THE THREE MONTH PERIOD
ENDED SEPTEMBER 30, 1993)


                                       1994              1993

INCOME
  Interest                          $ 19,090         $    -
                                   ----------        ---------

EXPENSES
  Consulting                          60,000              -
  General and office                  33,867            4,442
  Professional fees                   93,222           65,000
  Travel and promotion                29,584              -
  Depreciation and amortization            -            3,720
                                   ----------         -------
                                     216,673           73,162
                                   ----------         -------

NET LOSS BEFORE MINORITY INTEREST  $(197,583)         (73,162)

   Minority Interest - share of
     loss of Citadel Trust Company         -            1,800
                                    ---------          --------

NET LOSS                           $(197,583)         $(71,362)
                                    ---------         ---------
                                    ---------         ---------

LOSS PER COMMON SHARE                $(0.012)         $ (0.046)
                                    ---------         ---------
                                    ---------         ---------

NOTICE TO READER

We have compiled this statement from information provided by the management of Asia Media Group Corporation. We have not audited, reviewed or otherwise attempted to verify the accuracy or completeness of such information. Readers are cautioned that this statement may not be appropriate for their purposes.

         Toronto, Ontario                      Newman & Sversky
November 28, 1994.                    Chartered Accountants.
ASIA MEDIA GROUP CORPORATION
UNAUDITED STATEMENT OF CHANGES IN FINANCIAL POSITION
FOR THE THREE MONTH PERIOD ENDED SEPTEMBER 30, 1994
(WITH COMPARATIVE FIGURES FOR THE THREE MONTH PERIOD
ENDED SEPTEMBER 30, 1993)

                                       1994              1993

OPERATING ACTIVITIES
  Net loss                          $(197,583)         $(71,362)
  Items not affecting cash
   Depreciation and amortization           -              3,720
                                     ---------          --------
                                     (197,583)          (67,642)
  (Increase) decrease in sundry
    receivable                         (5,753)            1,743
  (Increase) in prepaid expenses     ( 88,752)                -
   Increase in accounts payable
     and accrued liabilities                -            63,755
                                      --------          -------

  Cash used in operating activities   (292,088)        ( 2,144)
                                      --------          -------

FINANCING ACTIVITIES
  Changes in minority interest               -           (1,800)
  Proceeds of amount due to related
    entities                                 -            3,902
  Issuance of common share            7,801,369               -
  Dividends paid                        (42,619)              -
                                      ---------           -----
  Cash provided by financing
    activities                        7,758,750           2,102
                                      ----------          -----

INVESTING ACTIVITIES
  Acquisition of 21.82% interest in
   Music Groupings (Far East)
    Pte Ltd.                         (1,464,944)              -
  Acquisition of goodwill            (4,633,014)              -
                                     ------------          ----

  Cash used in investing activities  (6,097,958)              -
                                     ------------          ----

INCREASE (DECREASE) IN CASH POSITION  1,368,704             (42)

CASH - Beginning of period                   54              46
                                     ------------           ---

CASH - End of period               $  1,368,758          $    4
                                     ------------           ---
                                     ------------           ---

NOTICE TO READER

We have compiled this statement from information provided by the management of Asia Media Group Corporation. We have not audited, reviewed or otherwise attempted to verify the accuracy or completeness of such information. Readers are cautioned that this statement may not be appropriate for their purposes.

         Toronto, Ontario                      Newman & Sversky
November 28, 1994.                    Chartered Accountants.

CONTACT: Ron Haller 

             President
             [phone]