In 1996, Mr. Combs parlayed Bad Boy's success into an unprecedented 50/50 joint venture with Clive Davis and Arista Records, enabling the label to effectively market its roster of artists to a global marketplace. Bad Boy quickly took off, signing and producing such multi-platinum projects as Mase, 112, Dream, and P. Diddy's own solo record. Bad Boy's annual sales have reached an overall average of $100 million with more than 75 million records sold worldwide by an impressive artist roster which includes platinum artists such as Faith, Carl Thomas and Black Rob; gold artists Total and Craig Mack; and promising up-and-coming artists G. Dep, Loon and Cheri Dennis, in addition to the aforementioned multi-platinum sellers Notorious B.I.G., Mase, Dream 112 and P. Diddy. Additionally, Bad Boy Records has recently signed the newly reunited New Edition and southern rap pioneers 8Ball & MJG, as well as the winners of Making the Band II, which Bad Boy Entertainment produces in conjunction with MTV.

In June 2002, after one of the most successful and consistent hit-producing partnerships in the music business in the past decade, Arista Records and Bad Boy Entertainment amicably ended their joint venture. As part of the deal, Combs gained full control of Bad Boy Records, including the complete artist roster and entire catalogue.

February 2003 brought the announcement of that Bad Boy Records has signed a worldwide distribution deal with Universal Records. Under the auspices of the deal, Universal will provide marketing and promotional support for Bad Boy's roster and distribute both the Bad Boy Catalogue and all new release from the label. Most importantly, Sean "P. Diddy" Combs retains 100% ownership of Bad Boy Records.

BBWEG operates several other music-related entities including Janice Combs Music Publishing, Janice Combs Management, Daddy's House Studios, and Bad Boy Productions, Inc. As a co-publishing agreement with EMI Music Publishing, Janice Combs Publishing manages more than 500 copyrights for a long list of successful music writers who have contributed to award-winning platinum projects. Writers on the roster include Sean "P. Diddy" Combs, Notorious B.I.G., Faith Evans, 112, Jack Knight, Prestige, Young Lord, and others. The Janice Combs Management subsidiary manages music producers in the industry and generates income of more than $10 million a year, while Daddy's House Studios, is one of New York's most innovative, state of the art, full-service recoding studios that has been used for the majority of Bad Boy's recordings and outside projects. As one of the most prolific producers in the music industry, Bad Boy Productions enables Mr. Combs to produce hit projects for many of today's popular artists. Over the years, his talents have been sought by major recording artists including Sting, Aretha Franklin, Mariah Carey, TLC, Jennifer Lopez, Lil' Kim, Ice Cube, Mary J. Blige, R. Kelly, Boyz II Men, and Usher among others. On the forefront, he will be serving as executive producer on the upcoming album by Mary J. Blige.

Carried by some of the country's best department and specialty stores, including Bloomingdale's, Macy's, Belk's and Fred Segal, Sean John generated annual sales of more than $175 million in just its fourth year. The success of Sean John Clothing was not only recognized by the marketplace, but also by Mr. Combs' peers. In 2000, 2001 and 2002, the Council of Fashion Designers of America [CFDA], the country's most prestigious group of fashion critics and designers, in an unprecedented move, nominated MR. Combs for the Perry Ellis Award for Best Menswear Designer of the Year. It is the only time the Council nominated a company in its first year, proving that Mr. Combs rocked the fashion world with the Sean John line. The success of the men's line has opened the doors to several licenses including Boys, Underwear and Outerwear, as well as a Sean John Clothing line for Women to be launched in 2003.

company for innovative marketing programs to capture the attention of young consumers. This past year, the division wont the Impact Marketing Retreat Advertising Campaign of the Year 2002 Award for the Sean John "It's Not Just a Label" campaign and secured more than $10 million in billings from clients such as Calvin Klein, Coors Light, Microsoft, New Era, Schweppes and others. Also in 2002, Blue Flame Marketing and Advertising launched a Bad Boy Worldwide Partnership division created to form partnerships between corporate companies and Bad Boy Worldwide companies for mutually beneficial marketing communications, end Blue Mindset, a polling division position to create a voice for urban America. The survey results from Blue Mindset have been published and/or broadcast nationally and internationally.

with the 1999 opening of a second Justin's in the Buckhead neighborhood of Atlanta. Widely acclaimed for the upscale décor, service and quality food, the restaurants are expected to generate annual sales of more than $8 million. Based on this success, Mr. Combs is currently selling franchise licenses to develop more Justin's nationally.

Director Sister Souljah, together they help to create and fund innovative youth programs, including: Daddy's House Weekend Boys and Girls Club, which provides academic tutoring and life skills for nearly 800 boys and girls every weekend throughout the school year; Daddy's House on Walla Street, which is a three week course that teaches the fundamentals of the stock market and practical financial skills; Daddy's House College Tours for high school seniors, a three week tiyr to various college campuses; Daddy's House International Travel Groups, which offer outstanding students the opportunity to travel around the world to countries such as South Africa and Ghana to learn about trade, culture, commerce and international relations; Daddy's House Sleep Away Camps, which proved retreat to summer camps in upstate New York for nearly 200 children every summer; end Bad Boy internships, which Combs instructs himself instructs.

In 2000, Mr. Combs returned to Howard University to donate $500,000 to help continue the institution's commitment to educating African-American youth.

Furthering the cause, Combs helped to bridge the digital divide in urban schools by partnering with Hookt.com to donate more than 100 computers to 500 New York City public schools in the Harlem public school districts. In the Fall of 2000, Mr. Combs appeared on the celebrity tournament of "Who Wants to Be a Millionaire" and raised $125,000 for Daddy's House to help build a permanent location for the program.

Thanksgiving 2000, Daddy's House annual food drive for underprivileged families took on more special and somber meaning. Learning of the passing of civil rights leader Re. Hosea Williams, Combs was asked by the late leaders daughter to carry on his legacy. Comb's carried the torch of Rev. William's mission by sponsoring the annual Hosea's Feed the Hungry and Homeless Thanksgiving dinner for more than 30,000 people in Atlanta.

Mr. Combs has also worked closely with other notable charities including: VH1's "Save the Music," Pediatric AIDS, The Adoption And Foster Care School of Graham Windham Services For Families and Children. For the past several holiday seasons, Combs played Santa to more than 3,000 children by delivering gifts to various hospitals and foster are homes in New York's Westchester, Harlem, Brooklyn, and Bronx areas. Most recently, Mr. Combs has been active in education youths about HIV and AIDS hosting various programs and initiatives to bring mass awareness to this epidemic. In November, he visited South Africa to meet and visit HIV/AIDS patients and perform for MTV's World AIDS Day Special.