Dear Shareholders,

Greetings. I hope this finds you well.

Things have been very hectic (in a great way) around Paradise Publishers but it’s time to take a step back and communicate with you our progress.

I’ll just break down the main points for you:

Welcome to our new CFO:  Probably the most exciting piece of news is the addition of Chris Benjamin to our team in the position of CFO. Chris’ previous experience as a CFO ranges from startups to publicly traded companies.  With his entrepreneurial background too, he’s a tremendous asset to our team.

Audit Ready For Public Offer:  One of Chris’ primary tasks was to get all our accounting prepped for an audit. This was a major step in our quest to go public and is now ready for an independent, 3rd party audit.

Server Upgrade: One challenge we faced was with our servers. In February, we encountered sever issues which caused us to have to move to brand new ones. The only casualty was some statistical data, however, on the bright side, these new servers are far more powerful.

Free-eBooks.Net Update

New Seminars: We successfully hosted the first in our new series of seminars. You can see the promotional material here: http://www.free-ebooks.net/seminars.php. Since all our systems worked as expected, you’ll soon see the launch of our weekly series.

Announcing ePUBLISHER: We’ve created a simple but extremely effective tool that allows other website owners to display our eBooks on their sites.  This is a win-win as webmasters get to offer their visitors books (ours) for free and we get to literally build an army of websites that are promoting our brand and sending us traffic for free. To check out the ePublisher please have a look at http://www.free-ebooks.net/widget.php

Here is but one of the 40+ sites that are adding our new ePublishers daily (showing you this one you can see the ePublisher right there in the top left corner): http://www.curetype2diabetes.info/

Print On Demand Service: We’ve partnered up with a Kentucky printer to allow visitors to order hard copies of any of our titles (50 pages+). Once the system is fully implemented, clients will be able get titles shipped to them anywhere on the globe. Competitive prices; $0.02/page + $4.99 processing fee make this a viable option for many wishing to read our books away from their computers.

Advertising Revenue: This is a competitive yet lucrative area of growth for us. While we’ve been ready to launch our new “Rich Media” advertising space (example rich media ad at: http://free-ebooks.net/categoryads/ ) our sales representative has been delayed by his previous employer. He’s a very accomplished man and we’re eagerly waiting to utilize his experience. We intend to move forward regardless and add new members to our team. If you know any excellent sales professionals, please refer them to me. Our media kit can be seen here: http://www.free-ebooks.net/media-kit.pdf

RSS Subscription Is Here: RSS feeds are a simple way for web users to get alerted to new additions to any website. For example, are you to subscribe to our RSS, every time we add a new book you would get a notice in your RSS Reader. We were able to create RSS feeds for every category of books hosted onFree-eBooks.net at the beginning of the year and thus far 5527 visitors have registered top receive them, which is excellent.

Record Membership Numbers: This Wednesday past, we had over 1,000 new members (1031) sign-up for Free-eBooks.net in a single, day. This brings our seven day average up to 936 new members/day. This one week average has been increasing constantly and I eagerly wait to see it break the 1000 mark.

On the Site-Refence.com side of things...

Experts Add Content and Value: We’ve created and added two new publications and recruited four leading industry experts to share their knowledge and opinions on an ongoing basis with our members. Preview the “Search Engine Optimization” segment here: http://seo.site-reference.com/  and the “Internet Marketing” segment at: http://internetmarketing.site-reference.com/

Video Success: Last year, we experimented with producing some very rudimentary videos based on content provided to us via Site-Reference.com. We then submitted them to high traffic social networking sites, such as YouTube.  This videos act as viral marketing tools for us. An example can be seen here http://www.youtube.com/watch?v=n3V94fL6zuI.

After revisiting the video listings a year later this February, we noticed that even though these videos were poorly created by comparison, the content was in fact, very popular. If you saw the example above, it last showed 9,484 people had watched that one video alone.  Due to this success, we’re developing a system to create professional “step by step” videos with the content provided on Site-Reference. This educational media is to be hosted on our site, as well as on rich media sites like YouTube.

Well it’s back to work for me but please remember that my door is always open, virtually speaking.  So while I may get caught up in our progress and not write as often as I’d like, you’re welcome to email me anytime.

Wishing you the best,

Nicolas Gremion

PS. Our updated business plan will be available shortly. If you wish to obtain a copy do let me know.