More growth announcements boding extraordinarily well for the future.
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Company Press Release
Planet Hollywood Announces Divisional Structure For Its Brands
ORLANDO, Fla., Oct. 24 /PRNewswire/ -- Planet Hollywood International, Inc. (NYSE:PHL) today announced the formation of
five separate operating divisions to manage the development and growth of the Company's consumer brands. The Company has
organized the following five divisions -- Consumer Products; Food & Beverage; Lodging & Gaming; Retail & Merchandise; and
Theaters & Entertainment. The new divisional structure enables the Company to more effectively capitalize on its unique strengths
within specific disciplines. Through more synergistic and focused operating activities in each division, the Company's overall
operations should benefit from increasing efficiencies as management continues to pursue strategies for growth for all of its
brands.
The new divisions reflect more accurately the entry and future expansion of recently announced new businesses, and the
continuing strategies to expand the Company's operations in the leisure, lodging and entertainment sectors. Exhibit I following the
text details the operations that are included under each new division. The new structure also conforms with the forthcoming
reporting requirements as outlined in the recently released Financial Accounting Standards No. 131: Disclosures about Segments
of an Enterprise and Related Information. The Company expects to adopt the new divisional structure beginning with its report of
financial results and performance for its 1997 fourth quarter, ending December 28, 1997.
The Company intends to staff each operating division with senior management responsible for the direction and future growth of
that division. This will be implemented once a division reaches critical mass and becomes a stand-alone operating entity achieving
sufficient levels of revenues and operating activity to support an independent management team. The new divisions create a
two-tiered senior management structure with the most senior corporate managers responsible for overall development and growth
of the parent company and each of its brands while senior managers of each operating division will be responsible for their
division's support of all of the company's brands.
Robert Earl, President and Chief Executive Officer of Planet Hollywood said, ''The Company's new divisional structure more
closely aligns operating expertise and activities, which should create greater synergies for all of our brands. It also enables each
operating division to be viewed as a stand-alone operation, which should help to make each of the Company's business initiatives
easier to understand while following their progress and future growth. We will also benefit from a clearer picture of the businesses
that are now emerging and are becoming an increasing contributor to the Company's future profitability and earnings growth.''
Planet Hollywood is a creator and worldwide developer of consumer brands that capitalize on the universal appeal of movies,
sports, music and other leisure-time activities. The Company's worldwide operations offer products and services in the retail,
leisure, entertainment and lodging sectors. Planet Hollywood's Class A common stock is listed under the symbol ''PHL'' on the
New York Stock Exchange.
Certain statements contained herein are forward-looking statements that are made pursuant to the safe harbor previsions of the
Private Securities Litigation Reform Act of 1995. Forward-looking statements involve known and unknown risks and uncertainties
which may cause the Company's actual results in future periods to differ materially from what is currently anticipated. Those risks
include, among others, risks associated with the timing of and costs associated with new business development, general
competitive factors and a change in retailer or consumer acceptance of the Company's and its partner's products and services.
EXHIBIT I
Organizational Structure of Planet Hollywood International, Inc.
(Parent Company)
Senior Management -- Corporate/Brand Management
Consumer Products
Revenues, costs and income associated with development and sales of consumer products
Food & Beverage
Revenues, costs and income associated with development and sales of food and beverages derived from free-standing restaurants
Lodging & Gaming
Revenues, costs and income associated with development and sales of products and services derived through Lodging and Gaming
locations
Retail & Merchandise
Revenues, costs and income associated with development and sales of products and merchandise through retail and direct sales
distribution channels
Theaters & Entertainment
Revenues, costs and income associated with development and sales of products and services derived through Theaters and other
Entertainment locations.
SOURCE Planet Hollywood International, Inc. |
