tex1230
December 19th, 2006, 07:23 AM
PARK CITY, Utah, Dec. 19 /PRNewswire-FirstCall/ -- American Skiing Company
(OTC Bulletin Board: AESK) announced today that it had entered into a
definitive agreement to sell Steamboat Ski & Resort Corporation, in Steamboat
Springs, Colorado, to Steamboat Acquisition Corporation, an affiliate of
Intrawest ULC, for $265 million. The announced sale follows the review of
strategic options for the resort announced in July.
Steamboat was the nation's eighth most visited resort in 2006, with over
one million skier visits. Known as Ski Town USA(R), and renowned for its
Champagne Powder(R), Steamboat was recently named the "#1 Family Resort in the
West" by SKI Magazine.
Headquartered in Vancouver, British Columbia, Intrawest ULC is a privately
held company that, together with its affiliates, has interests in ten North
American mountain resorts.
"In light of favorable market conditions and considerable interest from
prospective buyers, ASC decided to pursue a sale of the resort. The proceeds
of this transaction will reduce outstanding debt and allow us to focus on
opportunities in our portfolio of resorts and their related real estate," said
ASC President and CEO B.J. Fair. "We look forward to working with the entire
Intrawest team to ensure a smooth transition and a continued outstanding
resort experience for our guests," added Fair.
Included in the sale are the resort and all resort-owned operations, all
of Steamboat's resort-owned real estate assets, the commercial core of the
Steamboat Grand Hotel & Condominiums and the company's interest in the Walton
Pond Apartments complex.
The transaction is subject to customary closing conditions, including
Hart-Scott-Rodino antitrust approval and consent of the United States Forest
Service, and is expected to close on or before March 31, 2007.
The purchase price of $265 million includes approximately $4 million in
assumed debt, and is subject to working capital and seasonal earnings
adjustments. After closing, it is anticipated that net proceeds from the sale
will be used to repay all existing senior debt and outstanding revolver
balances under ASC's senior credit facility and certain other indebtedness.
"Though it's only December, Steamboat is off to a terrific start for the
winter season with a number of new improvements, such as a new high-speed lift
in the resort's Sunshine area and renovations of the two main on-mountain
dining facilities. As the resort makes the transition to new ownership, the
Steamboat team will remain focused on the same qualities that make Steamboat
the West's favorite family resort: providing the best possible vacation
experience for its guests," said Steamboat's President and Managing Director
Chris Diamond.
Bear Stearns and Main Street Advisors acted as financial advisors to
American Skiing Company in connection with the transaction. Goodwin Procter
LLP acted as legal advisor to American Skiing Company and Skadden, Arps,
Slate, Meagher & Flom LLP and Jacobs Chase Frick Kleinkopf & Kelley LLC acted
as legal advisors to Intrawest.
About American Skiing Company
Headquartered in Park City, Utah, American Skiing Company is one of the
largest operators of alpine ski, snowboard and golf resorts in the United
States. Its resorts include Killington, Pico and Mount Snow in Vermont; Sunday
River and Sugarloaf/USA in Maine; Attitash in New Hampshire; Steamboat in
Colorado; and The Canyons in Utah. More information is available on the
company's web site, www.peaks.com.
Certain statements contained in this press release constitute forward-
looking statements within the meaning of Section 27A of the Securities Act of
1933, as amended (the Securities Act), and Section 21E of the Securities
Exchange Act of 1934, as amended (the Exchange Act). These forward-looking
statements are not based on historical facts, but rather reflect our current
expectations concerning future results and events. Similarly, statements that
describe our objectives, plans or goals are or may be forward-looking
statements. We have tried, wherever possible, to identify such statements by
using words such as "anticipate", "assume", "believe", "expect", "intend",
"plan", and words and terms of similar substance in connection with any
discussion of operating or financial performance. Such forward-looking
statements involve a number of risks and uncertainties. In addition to factors
discussed above, other factors that could cause actual results, performances
or achievements to differ materially from those projected include, but are not
limited to, the following: the failure to satisfy any of the conditions to
closing of the purchase agreement for the Steamboat resort, or the buyer's
refusal to close for any reason; and other factors listed from time to time in
our documents we have filed with the Securities and Exchange Commission. We
caution the reader that this list is not exhaustive. We operate in a changing
business environment and new risks arise from time to time. The forward-
looking statements included in this press release are made only as of the date
of this document and under Section 27A of the Securities Act and Section 21E
of the Exchange Act, we do not have or undertake any obligation to publicly
update any forward-looking statements to reflect subsequent events or
circumstances.
SOURCE American Skiing Company
CONTACT:
David Hirasawa, Investor and Media Communications of American Skiing Company,
+1-435-615-0396
-0- Dec/19/2006 14:21 GMT
(OTC Bulletin Board: AESK) announced today that it had entered into a
definitive agreement to sell Steamboat Ski & Resort Corporation, in Steamboat
Springs, Colorado, to Steamboat Acquisition Corporation, an affiliate of
Intrawest ULC, for $265 million. The announced sale follows the review of
strategic options for the resort announced in July.
Steamboat was the nation's eighth most visited resort in 2006, with over
one million skier visits. Known as Ski Town USA(R), and renowned for its
Champagne Powder(R), Steamboat was recently named the "#1 Family Resort in the
West" by SKI Magazine.
Headquartered in Vancouver, British Columbia, Intrawest ULC is a privately
held company that, together with its affiliates, has interests in ten North
American mountain resorts.
"In light of favorable market conditions and considerable interest from
prospective buyers, ASC decided to pursue a sale of the resort. The proceeds
of this transaction will reduce outstanding debt and allow us to focus on
opportunities in our portfolio of resorts and their related real estate," said
ASC President and CEO B.J. Fair. "We look forward to working with the entire
Intrawest team to ensure a smooth transition and a continued outstanding
resort experience for our guests," added Fair.
Included in the sale are the resort and all resort-owned operations, all
of Steamboat's resort-owned real estate assets, the commercial core of the
Steamboat Grand Hotel & Condominiums and the company's interest in the Walton
Pond Apartments complex.
The transaction is subject to customary closing conditions, including
Hart-Scott-Rodino antitrust approval and consent of the United States Forest
Service, and is expected to close on or before March 31, 2007.
The purchase price of $265 million includes approximately $4 million in
assumed debt, and is subject to working capital and seasonal earnings
adjustments. After closing, it is anticipated that net proceeds from the sale
will be used to repay all existing senior debt and outstanding revolver
balances under ASC's senior credit facility and certain other indebtedness.
"Though it's only December, Steamboat is off to a terrific start for the
winter season with a number of new improvements, such as a new high-speed lift
in the resort's Sunshine area and renovations of the two main on-mountain
dining facilities. As the resort makes the transition to new ownership, the
Steamboat team will remain focused on the same qualities that make Steamboat
the West's favorite family resort: providing the best possible vacation
experience for its guests," said Steamboat's President and Managing Director
Chris Diamond.
Bear Stearns and Main Street Advisors acted as financial advisors to
American Skiing Company in connection with the transaction. Goodwin Procter
LLP acted as legal advisor to American Skiing Company and Skadden, Arps,
Slate, Meagher & Flom LLP and Jacobs Chase Frick Kleinkopf & Kelley LLC acted
as legal advisors to Intrawest.
About American Skiing Company
Headquartered in Park City, Utah, American Skiing Company is one of the
largest operators of alpine ski, snowboard and golf resorts in the United
States. Its resorts include Killington, Pico and Mount Snow in Vermont; Sunday
River and Sugarloaf/USA in Maine; Attitash in New Hampshire; Steamboat in
Colorado; and The Canyons in Utah. More information is available on the
company's web site, www.peaks.com.
Certain statements contained in this press release constitute forward-
looking statements within the meaning of Section 27A of the Securities Act of
1933, as amended (the Securities Act), and Section 21E of the Securities
Exchange Act of 1934, as amended (the Exchange Act). These forward-looking
statements are not based on historical facts, but rather reflect our current
expectations concerning future results and events. Similarly, statements that
describe our objectives, plans or goals are or may be forward-looking
statements. We have tried, wherever possible, to identify such statements by
using words such as "anticipate", "assume", "believe", "expect", "intend",
"plan", and words and terms of similar substance in connection with any
discussion of operating or financial performance. Such forward-looking
statements involve a number of risks and uncertainties. In addition to factors
discussed above, other factors that could cause actual results, performances
or achievements to differ materially from those projected include, but are not
limited to, the following: the failure to satisfy any of the conditions to
closing of the purchase agreement for the Steamboat resort, or the buyer's
refusal to close for any reason; and other factors listed from time to time in
our documents we have filed with the Securities and Exchange Commission. We
caution the reader that this list is not exhaustive. We operate in a changing
business environment and new risks arise from time to time. The forward-
looking statements included in this press release are made only as of the date
of this document and under Section 27A of the Securities Act and Section 21E
of the Exchange Act, we do not have or undertake any obligation to publicly
update any forward-looking statements to reflect subsequent events or
circumstances.
SOURCE American Skiing Company
CONTACT:
David Hirasawa, Investor and Media Communications of American Skiing Company,
+1-435-615-0396
-0- Dec/19/2006 14:21 GMT