Happy Holidays!

Hey Guys!
I hope all of you have a wonderful holiday!
Merry Christmas to all of you!

Chris

New Adventures for the Coming Year!

Hey Guys!

As 2006 comes to a close I wanted to thank all of you for your ongoing support of Raging Stallion Studios. At the end of 2005, we were the seventh ranked Gay Porn studio, and now at the end of 2006, we have joined the top three (Falcon, Channel One / All Worlds)! This has been an amazing climb! As I look back on the past 12 months I can hardly believe how fast time flies. Just in 2006 alone we released Arabesque, Manifesto, Bedroom Eyes, and now Lords of the Jungle. In addition, we had a great hit in Humping Iron from Michael Brandon's Monster Bang division, and JD Slater's Centurion Muscle Vols two and three (Alpha and Omega) were probably the strongest performing movies he has ever released. Ben Leon, our trusty cameraman, directed his first movie (Manhattan) and Taurus Dean, our head of European operations, directed Tough As Nails. Our fisting line remained the envy of the industry--it is the most successful hardcore line in the world! We created the top porn star of last year with François Sagat and we landed Jake Deckard as our current Man of the Year. On top of all this we launched the careers of about 15 new porn actors, including Steve Cruz . You are going to see a lot of him next year!

2007 is going to be a big year for us at RSS. We have already filmed all of our movies for the period January thru June, so I can tell you some of what we have coming for you! The biggest project will be Mirage, my follow-up to Arabesque. It is a stunning movie--perhaps better than the original! The first scene alone (which I am actually editing this week) has 8 men and 24 cum shots! Mark my words, Mirage will be the movie of the year for 2007! As a hint for what you will get in this big Arabian extravaganza, check out the enclosed photos of Tommy Blade and Max Schutler.

JD and Michael Brandon have big plans for 2007 as well--we have signed a number of new models (can't tell you who yet, but we will be making some major announcements in the coming weeks and months). We also have picked up CAZZO studios for US distribution. We look forward to bringing their excellent movies to the US market.

There is so much going on that I can hardly keep up with it all! It is very exciting, and also very challenging. Our goal is four movies per month next year (48 total), which means a new release every 7 days. I hope we can keep up, but thanks to our loyal customers and our supporters in the industry, we can hardly keep up with demand.

Again, thank you all for everything!

Chris Ward President Raging Stallion Studios, Inc.

Press Release December 14, 2006: First DVD Run of Lords of the Jungle SOLD OUT!

San Francisco based Raging Stallion Studios announced today that the first run of their year end blockbuster, Lords of the Jungle , has sold out. After discovering a minor error in the closing credits, the studio only ordered a run of 3,000 units. A new, larger run should be delivered by early next week. Last year Raging Stallion repeatedly ran out of copies of Arabesque as sales unexpectedly shot through the roof. Lords, released in early December, has also broken through all sales estimates, creating a shortage of product. Units that had been slated for Europe were held back to meet the strong demand. Company President Chris Ward was thrilled with the sales, but was apologetic about running out of merchandise. L"We had no idea that this movie would take off so fast--our major marketing efforts have not even hit the streets. Obviously I am elated! At the same time, however, I don't look forward to having to deal with angry customers who are still waiting for product delivery. Many movies were purchased as Christmas presents, so we have a strong need to quickly fulfill orders. The new shipment of DVDs will be here on Tuesday, so this should only make for a 3-4 day delay."

Lords of the Jungle is Raging Stallion's major film for 2006. Shot entirely in Hawaii, it is one of the most lavish productions of the year.

A Very Sad Note

Hey Guys:

I have some very sad news to report. The death of performer/director Andy Dill occurred yesterday at 3:00 pm. Andy, a remarkable man, performed in many Raging Stallion films--most notably in GayDreams II. Andy directed his own movie in a co-production with RSS entitled Bed Rock.

Andy died after contracting a severe case of meningitis. He was perfectly well last week, but started having a fever on Friday. He went to the hospital, but nothing could be done to save him.

Our hearts hurt with his loss.

Chris Ward

Press Release December 1, 2006

For Immediate Release Dateline San Francisco December 1, 2006

Raging Stallion Signs Cazzo Films for North American Distribution

San Francisco based Raging Stallion Studios has entered into a long-term distribution agreement with top European producer CAZZO Films. Under the terms of the agreement, Raging Stallion will handle all North American DVD distribution for Cazzo. The agreement is the result of long-term negotiations that began over a year ago. After much deliberation, both studios came to the conclusion that Raging Stallion and Cazzo were a natural fit given their mutual focus on high quality productions featuring men who represent the best in gay sex. For many years there has been some overlap in models, with men such as Andreas Stich and Tamas Eszterhazy being filmed by both studios. Eszterhazy has been signed as a joint exclusive between the two companies.

Both Raging Stallion and CAZZO have emerged in recent years as leaders in the industry. Cazzo won the top prize at this year's Venus Fair as the "Best European Producer" and Raging Stallion is currently the top selling US producer in both Europe and the United States. The transatlantic alliance will allow for additional growth in both the European and American markets for both studios.

Cazzo studio head Joerg Andreas commented about the deal. "We are very happy that our films will return to the American market after an extended period of absence. We know a lot of Cazzo Fans have been waiting a long time to have access to our films and we are glad to have found in Raging Stallion a partner who is one of the major players in the gay adult business. We feel honored by the great amount of trust in our brands and products that RSS has shown. We are certain that Raging Stallion and Cazzo are an excellent match!"

Chris Ward, head of Raging Stallion, was equally enthusiastic. "I have admired Cazzo for a long time--I always used to think of them as the Raging Stallion of Europe. Some of my all time favorite films were produced by Cazzo (Sex Pigs, Dangerous Island, etc.) and I am very, very excited about bringing these stunning movies to the US market!"

Distribution of non-proprietary product is a first for Raging Stallion and represents a significant expansion of the company's role in the industry. Ward noted that Raging Stallion is not actively looking for other distribution opportunities. He explained that "Raging Stallion has a 100% money back guarantee on all of its products--if a customer does not like a movie, they are issued a full refund. We feel that Cazzo meets this high standard. We have no interest in distributing lesser products."

The agreement calls for the release of 8 CAZZO pictures per year, alternating between new productions and films that were previously released only on VHS. The first release will be PURE which stars heartthrob Christoph Scharff. The release date has been set for February 4, 2007.