All -
Any comments regarding this release? Are we going to loose our common shares?
"Alliance Entertainment Corp. Reports Operating Results for January
NEW YORK, March 3 /PRNewswire/ -- Alliance Entertainment Corp. (OTC Bullein Board: AETTQ), in its monthly operating report filed with the Office of the United States Trustee for January, reported significantly reduced operating losses in the reporting period. At the same time, the Company said that it continues to be on track with its business plan and expects to emerge from Chapter 11 by mid-year.
For the month ended January 31, 1998, Alliance reported a consolidated net loss of $4.8 million on net sales of $24.6 million. The reported loss includes $2.4 million in interest and reorganization expenses.
According to Eric Weisman, president and chief executive of Alliance, ''The Company has been working diligently to improve sales, cut costs and successfully emerge from Chapter 11 as a stream-lined, profitable music distribution company. In the process, we have had to make some tough decisions, but the good news is
that we are moving in the right direction and are now beginning to see more favorable results.''
Mr. Weisman went on to say that, through The Blackstone Group, the Company is soliciting offers for the purchase of its two remaining music labels Castle Communications and Concord Jazz. He said that the Company remains interested in identifying an equity sponsor, and that the Company is moving forward with a reorganization plan both on a stand-alone and equity partnership basis. In the event of a company-led stand alone reorganization plan, Mr. Weisman said, it is
anticipated that all the outstanding equity in the newly reorganized Alliance Entertainment Corporation would be distributed to the Company's creditors.
Alliance Entertainment Corp. is the largest wholesaler of prerecorded music and related products. In addition, Alliance through its Concord and Castle subsidiaries, is a developer and marketer of catalog content in several genres. The Company currently employs approximately 800 people in the United States, Canada and the United Kingdom and maintains headquarters in Coral Springs, Fla. Alliance Entertainment Corp. and certain of its subsidiaries filed to reorganize under Chapter 11 on July 14, 1997.
Forward-looking statements herein are made pursuant to the safe harbor provisions of the Private Securities Litigation Reform Act of 1995. These forward-looking statements can generally be identified as such because the context of the statement will include words such as the Company ''believes,'' ''expects,'' ''anticipates,'' or words of similar import. Similarly, statements that describe the Company's future plans, objectives, estimates or goals are forward-looking statements. There are certain important factors that could cause results to differ materially from those anticipated by forward-looking statements made herein. Investors are cautioned that all forward-looking statements involve risks and uncertainty.
SOURCE: Alliance Entertainment Corp."
JohnnyH |
