SALT LAKE CITY, Jan. 22 /PRNewswire-FirstCall/ -- Franklin Covey
(NYSE: FC) today announced that it has terminated its previously announced
tender offer to purchase its common stock at $6 per share. This action was
taken as a consequence of the worse than expected results of its first
quarter, lower than expected December sales and slower than anticipated
economic recovery. Termination of the offer will permit the Company to
maintain its strong balance sheet, with only $2 million of debt and more than
$60 million in cash and cash equivalents ($3 per common share). With this
decision, the Company believes it will have adequate resources to meet its
capital requirements and to fund initiatives aimed at strengthening its sales
and profitability during fiscal 2002 and beyond.
About Franklin Covey
Franklin Covey Co. is a leading, learning and performance services firm
assisting professionals and organizations in measurably increasing their
effectiveness in leadership, productivity, communication and sales. Clients
include 80 of the Fortune 100, more than three quarters of the Fortune 500,
thousands of small and mid-sized businesses, as well as numerous government
entities. Organizations and professionals access Franklin Covey services and
products through consulting services, licensed client facilitators, public
workshops, catalogs, 173 retail stores, http://www.franklincovey.com and
http://www.franklinplanner.com . More than 3,000 Franklin Covey associates provide
professional services and products in 44 offices in 38 countries.
Safe-Harbor Statement
This announcement contains forward-looking statements that necessarily are
based on certain assumptions and are subject to certain risks and
uncertainties, including general economic conditions, competition in the
Company's targeted market place, market acceptance of new products or
services, increases or decreases in the Company's market share, growth or
contraction of the overall market for the products offered by the Company and
its competitors, changes in the training and spending policies of the
Company's clients and other factors identified and discussed in the Company's
2001 10-K report filed with the Securities and Exchange Commission, many of
which are beyond the control or influence of the Company. There can be no
assurance that the Company's actual future performance will meet management's
expectations. These forward-looking statements are based on management's
expectations as of the date hereof, and are based on factors that may cause
future results to differ materially from the Company's current expectations.
SOURCE Franklin Covey Co.
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Related links:
http://www.franklincovey.com
Company News On-Call:
http://www.prnewswire.com/comp/107086.html
CONTACT:
Richard R. Putnam, Investor Relations of
Franklin Covey, +1-801-975-1776
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