Sale of Computer Printer Subsidiary Will Allow Bull Run to Focus on Affinity
Marketing Businesses
ATLANTA, Sept. 21 /PRNewswire/ -- Bull Run Corporation (Nasdaq: BULL)
announced today it has executed a definitive purchase agreement to sell assets
associated with the computer printer operations of its wholly owned
subsidiary, Datasouth Computer Corporation, to Advanced Matrix Technology,
Inc. (AMT). The transaction is expected to close within the next 30 days.
Terms of the deal were not disclosed.
In December 1999, Bull Run greatly expanded its sports and media asset
base with the acquisition of Host Communications, Inc. and two affiliated
companies. Host, ranked by SportsBusiness Journal as one of the world's top
five sports marketing companies, provides affinity, multimedia, promotional
and event management services to universities, high schools, athletics
conferences, associations and corporations.
"This transaction will clearly position Bull Run as a sports, affinity
marketing and event management company. While Datasouth has been an integral
part of our operations since 1993 and has made a nice contribution to our
results, the Host acquisition in December gave us the opportunity to entertain
offers for Datasouth," commented Robert S. Prather, Jr., Bull Run's President
and CEO.
Nick Waller, President of Datasouth, added, "This is a good transaction
for all parties involved, as it will allow Bull Run to reemploy capital into
strategic areas, provide Datasouth the opportunity to join forces with a very
successful printer company, and give AMT an opportunity to broaden its product
line in strategic markets such as travel and transportation. We believe our
customers and AMT's customers will benefit from this transaction."
In connection with its decision to sell Datasouth, the Company will report
an estimated loss on the disposal of the discontinued segment of approximately
$6.5 million in its financial statements for the year ended June 30, 2000.
The loss is primarily attributable to the write-off of unamortized goodwill
associated with Datasouth. Financial results for the year are expected to be
announced next week.
In addition to its sports, affinity marketing and event management
operations, Bull Run has significant investments in media companies Gray
Communications Systems, Inc. and Sarkes Tarzian, Inc., team sports equipment
supplier Rawlings Sporting Goods Company, Inc., and Internet-related companies
Total Sports, Inc. and iHigh.com, Inc.
Advanced Matrix Technology, Inc. (http://www.amtprinters.com ) is a privately
held dot matrix and laser printer company based in Camarillo, California
founded in 1983. The addition of Datasouth products complement AMT's dot
matrix models and adds thermal printer families for the ticketing / travel
market and the industrial barcode printing market.
SOURCE Bull Run Corporation
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Related links:
http://www.amtprinters.com
Company News On-Call:
http://www.prnewswire.com/comp/232438.html or fax,
800-758-5804, ext. 232438
CONTACT:
Robert S. Prather, Jr., President & CEO of
Bull Run Corporation, 404-266-8333, or K. Nick Waller, President
of Datasouth Computer Corporation, 704-602-3105, or Joseph E.
Eichberger, President of Advanced Matrix Technology Inc.,
805-388-5799
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