VANITY EVENT HOLDINGS, INC. Unaudited Pro Forma Condensed Combined Financial Statements

Exhibit 99.3

VANITY EVENT HOLDINGS, INC.

Unaudited Pro Forma Condensed Combined Financial Statements

On December 31, 2010, Vanity Event Holdings, Inc. (“Vanity” or the “Company”) entered into a share exchange agreement (“Exchange Agreement”) by and among the Company, Shogun Energy, Inc., a South Dakota corporation (“Shogun”), Xxxxx Xxxxx, the principal shareholder of Shogun (the “Principal Shareholder”) and the other shareholders of Shogun (the “Shogun Shareholders” and collectively with the Principal Shareholder, the “Shareholders”).  Pursuant to the terms of the Exchange Agreement, the Shareholders exchanged an aggregate of 100% of the issued and outstanding shares of capital stock of Shogun in exchange for 500,000 shares of the Company’s series A preferred stock (the “Exchange”). Each share of series A preferred stock shall be entitled to 1,604 votes per share and shall be convertible into 1,604 shares of the Company’s common stock.  Upon filing an amendment to the Company’s certificate of incorporation to increase the number of shares of authorized common stock so that there is an adequate amount of shares of authorized common stock for issuance upon conversion of the series A preferred stock (the “Amendment”), the shares of series A preferred stock will be automatically converted into an aggregate of 802,000,000 shares of the Company’s common stock.  The Exchange Agreement contains customary terms and conditions for a transaction of this type, including representations, warranties and covenants, as well as provisions describing the Exchange consideration, the process of exchanging the consideration and the effect of the Exchange.   The closing of the transaction took place on December 31, 2010 (the “Closing Date”).

The transaction has been accounted for in substance as a reverse acquisition of Vanity by Shogun since the stockholders of Shogun owned a majority of the Company’s voting power immediately following the transaction and Shogun’s management has assumed operational, management and governance control. Shogun is treated as the surviving and continuing entity.   The Company did not recognize goodwill or any intangible assets in connection with this transaction.

The unaudited pro forma condensed combined balance sheet presents the financial position of the Company as if the acquisition of Shogun occurred on September 30, 2010. The unaudited pro forma condensed consolidating statements of operations for the nine months ended September 30, 2010 and year ended December 31, 2009 have been prepared as if the acquisition occurred on January 1, 2009.

The unaudited pro forma condensed combined financial statements, which have been prepared in accordance with rules prescribed by Article 11 of Regulation S-X, are provided for informational purposes only and are not necessarily indicative of the past or future results of the operations or financial position of the Company.

This information should be read in conjunction with the previously filed Current Report on Form 8-K filed with the Securities and Exchange Commission on January 6, 2011, the previously filed historical financial statements and accompanying notes of the Company contained in its Annual Report on Form 10-K for the fiscal year ended December 31, 2009 and its Quarterly Report on Form 10-Q for the fiscal quarter ended September 30, 2010 and the historical financial statements and accompanying notes of Shogun included in this report on Form 8-K/A.

Vanity Events Holding, Inc
Unaudited Pro Forma Condensed Combined Balance Sheet
September 30, 2010
																		Pro Forma Adjustments												Pro Forma
		Vanity				Shogun				Total								Dr								Cr				Combined
Assets
Current assets
Cash and cash equivalents		$	810			$	8,883			$	9,693				1				362,700											$	372,393
Accounts receivable, net			11,202				5,507				16,709																				16,709
Inventory							81,649				81,649																				81,649
Prepaid expensed and other current assets			12,500				-				12,500																				12,500
Receivable from related party							54,013				54,013																				54,013
Total current assets			24,512				150,052				174,564																				537,264
Property and equipment, net			75,082				37,407				112,489				1				100,000												212,489
Other assets			29,536								29,536																				29,536
Total assets		$	129,130			$	187,459			$	316,589																			$	779,289
Liabilities and deficiency in stockholders' equity
Current liabilities
Accounts payable and accrued expenses		$	297,243			$	181,371			$	478,614																			$	478,614
Deferred revenue			37,169				-				37,169																				37,169
Derivative liability			717,070				-				717,070																				717,070
Convertible notes payable, net			36,877				-				36,877																				36,877
Notes payable - bank							203,957				203,957																				203,957
Notes payable - related parties							311,782				311,782																				311,782
Loan payable			50,000				-				50,000																				50,000
Accrued payroll liabilities and sales tax liabilities			281,101				-				281,101																				281,101
Total current liabilities			1,419,460				697,110				2,116,570																				2,116,570
Advance on stock purchase			-				70,000				70,000				1				70,000												-
Total liabilities			1,419,460				767,110				2,186,570																				2,116,570
Deficiency in stockholders' equity
Preferred stock			-								-												2				50				50
Common stock			6,424				426				6,850				2				532,700				1				107				(525,743	)
Additional paid in capital			4,173,476				574				4,174,050				2				4,320,156				1				532,593				386,487
																							2				4,852,806
Accumulated deficit			(4,852,806	)			(580,651	)			(5,433,457	)																			(580,651	)
			(672,906	)			(579,651	)			(1,252,557	)																			(719,857	)
Due from related parties/shareholders			(617,424	)			-				(617,424	)																			(617,424	)
Total deficiency in stockholders' equity			(1,290,330	)			(579,651	)			(1,869,981	)																			(1,337,281	)
Total liabilities and deficiency in stockholders' equity		$	129,130			$	187,459			$	316,589																			$	779,289

 

1)   To record sale of 106,540 shares of Shogun common stock  for $432,700 cash and $100,000 of leasehold improvements. Of the $432,700 of cash proceed, $70,000 had been received  prior to September 30, 2010.

2)   To record issuance of 500,000 shares of Vanity preferred  stock for all issued and outstanding Shogun common stock  and to eliminate Vanity accumulated deficit as a result  of the reverse acquisition.

Vanity Events Holding, Inc
Unaudited Pro Forma Condensed Combined Statement of Operations
Nine Months ended September 30, 2010
																		Pro Forma Adjustments					Pro Forma
		Vanity				Shogun				Total								Dr			Cr		Combined
Revenue		$	61,461			$	283,554			$	345,015												$	345,015
Cost of good sold			32,222				142,080				174,302													174,302
Gross profit			29,239				141,474				170,713													170,713
Operating expenses			1,684,973				498,465				2,183,438				1				7,500					2,190,938
Loss from operations			(1,655,734	)			(356,991	)			(2,012,725	)												(2,020,225	)
Interest expense			(507,221	)			(9,662	)			(516,883	)												(516,883	)
Change in fair value of derivative liability			(80,414	)			-				(80,414	)												(80,414	)
Loss before provision for income taxes			(2,243,369	)			(366,653	)			(2,610,022	)												(2,617,522	)
Provision for income taxes			-				-				-
Net loss		$	(2,243,369	)		$	(366,653	)		$	(2,610,022	)											$	(2,617,522	)
Basic and diluted loss per share		$	(0.04	)		$	(0.86	)															$	(0.05	)
Weighted average shares outstanding			52,255,704				426,160																	52,255,704

1) To record depreciation of leasehold improvements acquired in Shogun common stock sale

Vanity Events Holding, Inc
Unaudited Pro Forma Condensed Combined Statement of Operations
Year ended December 31, 2009
																		Pro Forma Adjustments					Pro Forma
		Vanity				Shogun				Total								Dr			Cr		Combined
Revenue		$	72,031			$	10,351			$	82,382												$	82,382
Cost of good sold			62,070				144,043				206,113													206,113
Gross profit (loss)			9,961				(133,692	)			(123,731	)												(123,731	)
Operating expenses			1,558,742				80,306				1,639,048				1				2,500					1,641,548
Loss from operations			(1,548,781	)			(213,998	)			(1,762,779	)												(1,765,279	)
Interest income (expense)			1,310				-				1,310													1,310
Loss before provision for income taxes			(1,547,471	)			(213,998	)			(1,761,469	)												(1,763,969	)
Provision for income taxes			-				-				-
Net loss		$	(1,547,471	)		$	(213,998	)		$	(1,761,469	)											$	(1,763,969	)
Basic and diluted loss per share		$	(0.05	)		$	(0.50	)															$	(0.06	)
Weighted average shares outstanding			30,005,615				426,160																	30,005,615

1) To record depreciation of leasehold improvements acquired in Shogun common stock sale