SALT LAKE CITY, June 27 /PRNewswire-FirstCall/ -- FranklinCovey (NYSE: FC)
announced today that on June 21, 2005 the Company completed the sale and
associated leaseback of its corporate headquarters facility, located in Salt
Lake City, Utah to an unrelated private investment group. The sale price was
$33.8 million in cash and after deducting customary closing costs, including
commissions and retirement of the remaining mortgage on one of the buildings,
the Company received net proceeds totaling $32.4 million. In connection with
the sale, FranklinCovey entered into a 20-year master lease agreement with the
purchaser. FranklinCovey has six five-year options to renew the master lease
agreement and could therefore maintain its principal headquarters and
operations at the current location for at least the next 50 years. The
Company intends to use $30.0 million of the proceeds from the sale of the
corporate headquarters facility to redeem shares of its preferred stock.
The Company also announced that it intends to release financial
information for its fiscal 2005 third quarter that ended May 28, 2005, the
week of July 11, 2005.
About FranklinCovey
FranklinCovey 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 91 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 FranklinCovey services and
products through consulting services, licensed client facilitators, one-on-one
coaching, public workshops, catalogs, more than 100 retail stores, and
http://www.franklincovey.com . Nearly 1,500 FranklinCovey associates provide
professional services and products in 36 offices in 129 countries.
SOURCE FranklinCovey
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Related links:
http://www.franklincovey.com
CONTACT:
Investor Relations, Richard R. Putnam of
FranklinCovey, +1-801-817-1776
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