SCOTTSDALE, Ariz.--(BUSINESS WIRE)--MotorSports Emporium, Inc. (OTCBB: MSEP) today announced the planned
spin-off of its subsidiary Scottsdale Diecast, Inc.
The Board of Directors for MSEP has approved and set a record date of
November 6, 2006, for the proposed dividend and spin-off of its
subsidiary Scottsdale Diecast, Inc. The Board declared a dividend of one
share of common stock of Scottsdale Diecast for each share of
MotorSports Emporium common stock held by shareholders on November 6,
2006. Approximately 12% of Scottsdale Diecast, Inc. shares will be
distributed in the dividend.
David Keaveney, president and chief executive officer, stated, “I
am very pleased to announce the first step in the proposed spin-off of
Scottsdale Diecast, which will allow Scottsdale Diecast to become a
separate operating company from MotorSports Emporium. The dividend and
proposed spin-off are important achievements for both MSEP and
Scottsdale Diecast. The spin-off of Scottsdale Diecast allows
independence for both companies to pursue their respective growth
strategies and focus on their own distinctive markets. We are extremely
excited about the prospects for both companies moving forward.”
MotorSports Emporium has approximately 480 million shares of common
stock issued and outstanding. After giving effect to the previously
announced 1:225 share reverse stock split, which will take effect on
October 31, 2006, MotorSports Emporium will have approximately 2,150,000
shares outstanding. Therefore, shareholders of record on November 6,
2006, will receive one share of Scottsdale Diecast for each share of
MotorSports common stock held on such date. MotorSports Emporium will
issue approximately 2,150,000 shares (or approximately 12%) of
Scottsdale Diecast shares in the dividend which is expected to be
distributed in January 2007.
In Other News
MSEP has updated its investor relations page on the company’s
Web site in order to promote a fluent source of information about the
company and its stock. Questions can be directed to ir@motorsportsemporium.com.
About MotorSports Emporium, Inc.
MotorSports Emporium Inc. is a fast-track, multi-faceted and diversified
company in the motor sports industry targeting INDY, NASCAR, Formula 1
and other racing series, spectators, classic car and high-performance
auto enthusiasts, professional and amateur mechanics and discriminating
consumers in search of high-quality auto parts and accessories.
MotorSports Emporium’s marketing plan is to
reach consumers through mass market retailers, auto parts suppliers, and
home television shopping networks, infomercials, industry and consumer
trade shows, and consumer direct advertising (television, magazine and
Internet). Visit www.motorsportsemporium.com
for more information.
About Scottsdale Diecast, Inc.
Scottsdale Diecast (doing business as ScaleCars.com) owns and operates a
diecast model retail store in Scottsdale, Ariz., and the Internet Web
site www.scalecars.com where a
variety of diecast models are sold. ScaleCars.com specializes in many
scales (size) from most every manufacture. Vintage Formula 1 , American
muscle and the latest super car are all found at ScaleCars.com. Visit www.scalecars.com
for more information.
This news release may include forward-looking statements within the
meaning of section 27A of the United States Securities Act of 1933, as
amended, and section 21E of the United States Securities and Exchange
Act of 1934, as amended, with respect to achieving corporate objectives,
developing additional project interests, the company's analysis of
opportunities in the acquisition and development of various project
interests and certain other matters. These statements are made under the
"Safe Harbor" provisions of the United States Private Securities
Litigation Reform Act of 1995 and involve risks and uncertainties which
could cause actual results to differ materially from those in the
forward-looking statements contained herein.
