Pouschine Cook Capital Management

St. Clair Entertainment Group

St. Clair Entertainment Group Inc. (“St. Clair”) was formed in 1985 as a distributor of music special products in Canada.  The company is now headquartered in Los Angeles, with its principal operations in Montreal, Canada.

St. Clair creates, markets and distributes to customers primarily in the United States and Canada.  Compilations of music or videos contained on a CD or DVD are typically compiled under a certain theme and sold at promotional or budget prices. The company sells its products to distributors, rack-jobbers and retailers.

Insight

Pouschine Cook teamed up with two experienced managers from the industry, purchasing a controlling interest in St. Clair at a time when the industry was out of favor. The management team was looking for partners who understood the media and consumer products industries, had experience in retail could expand the product offerings.

Although the CD industry overall was facing challenging times with internet distribution and limited releases for new artists, St. Clair was a solid company poised to take advantage of the rapid growth of the DVD business and penetration into new channels.

Flexibility

Pouschine Cook purchased a controlling interest with the new management partners.

Enhancement

Pouschine Cook and its investor partners were able to enhance the situation in a number of ways. We brought in a new CEO and two new board members, established a video division to create DVD products and other video special products and expanded into new upgraded information systems to increase efficiencies while improving service levels.