The Colonel's International, Inc. Directors Approve Stock Dividend and Spin-Off of ``Sports Resorts International, Inc.'' Subsidiary
2 October 2000
The Colonel's International, Inc. Directors Approve Stock Dividend and Spin-Off of ``Sports Resorts International, Inc.'' Subsidiary
OWOSSO, Mich.--Oct. 2, 2000--The Colonel's International, Inc. (the "Company")announced today that its Board of Directors has approved a stock dividend of a spin-off of the Company's sports and leisure businesses, as an independent company to its stockholders. The Company will convene a special shareholders meeting in the near future to obtain stockholder approval, however, the majority stockholders have endorsed the Board's decision and have confirmed that they shall vote in favour of the spin-off.The Company will create and spin-off, through a stock dividend to its shareholders, "Sports Resorts International, Inc.," which will own The Colonel's Brainerd International Raceway, Inc. and related assets, including certain land in Michigan held for the development of another sports related project. Sports Resorts International, Inc. will be managed by a newly elected Board of Directors, whose members shall include well-known sports personalities Eric Hipple, Al Kaline and Whitey Ford.
The Chief Executive Officer of Sports Resorts International, Inc. will be Maureen Cronin who has long been involved in major league baseball, from the time that her father, Joe Cronin, was Commissioner of Baseball. From 1991 to 1994, Ms. Cronin was a financial consultant and broker with Saloman Smith Barney Dean Whitter in Boston. From 1994 to 1995 she served as Vice President of the Ted Williams Family Enterprises in Central Hills, Florida, and from 1995 to the present, she has been an Investment Advisor with Charles Schwab, in West Palm Beach, Florida.
Sports Resorts International, Inc. will seek a separate listing on Nasdaq and will cease to be a subsidiary of the Company, effective upon the spin-off. The Brainerd International Raceway, Inc. will become a wholly-owned subsidiary of Sports Resorts International, Inc., which shall continue to own and operate the Brainerd International Raceway and focus on the development of a related sports project in Michigan.
Each shareholder of record of the Company as of February 2, 2001 ("Record Date"), shall be entitled to receive a stock dividend of one registered share of Sports Resorts International, Inc. for each share of common stock held in the Company as of the Record Date.
The Company will continue to own and operate its Bedliner and Auto Truck Accessory manufacturing related businesses. Having completed the sale of several retail locations, the Company intends to concentrate on its core manufacturing business.
The Company further announced the completion of the sale of a property in Tecumseh, Michigan, for which it received $5 million in cash on September 15th, 2000. The Company has also completed its corporate relocation to its facility in Owosso, Michigan.
Forward-Looking Statements
Certain statements included in this press release are "forward-looking" statements, such as those relating to anticipated future revenue of the Company or the anticipated success of current product offerings. Such forward-looking statements involve important risks and uncertainties that could significantly affect anticipated results in the future. The Company's performance and financial results could differ materially from those reflected in the forward-looking statements due to financial, economic, regulatory and political conditions or additional factors unknown to the Company at this time. Therefore, current or prospective investors are cautioned not to place undue reliance on any such forward-looking statements. The Company does not undertake any obligation to publicly update or revise any forward-looking statements, whether as a result of new information, future events or otherwise.