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Exhibit 99.1
Interpublic announces sale of Motorsports Circuits
The Interpublic Group of Companies, Inc "Interpublic" announces today that it
has agreed to sell four of the motorsport circuits owned by Brands Hatch
Circuits Limited to MotorSport Vision Limited for an undisclosed sum. The sale
includes Brands Hatch, Oulton Park, Cadwell Park and Snetterton.
As a result of the sale, Interpublic's interest in UK motorsport will now focus
on the Silverstone circuit. Brands Hatch Circuits Limited will be re-named
Silverstone Motorsport Limited. The deal does not affect its interests and
commitments in relation to Silverstone including the remaining payments under an
executory contract and an operating lease.
MotorSport Vision Limited is a new company led by Jonathan Palmer that has been
established for the purposes of owning and developing the four circuits. The new
company will complement Jonathan's existing PalmerSport activities based at
Bedford Autodrome, which provides motorsport events for the corporate market.
Andrew Waller, who remains with Interpublic to become managing director of
Silverstone Motorsport Limited, commented: "We are delighted that Jonathan
Palmer and his team are acquiring the four circuits and believe that our sale to
his company will help to safeguard the future interests of UK motorsport ".
Jonathan Palmer managing director of MotorSport Vision commented: "Race driving,
commentary and motorsport business have dominated my life and I am thrilled to
have been successful in acquiring four of the most famous motorsport circuits in
Britain. We are absolutely committed to developing motor racing at the circuits
and believe that through innovation and quality enhancement we can revitalise
one of the UK's most exciting sports.
About Interpublic
Interpublic is one of the world's leading organizations of advertising agencies
and marketing services companies. Major global brands include Draft, Foote, Cone
& Belding Worldwide, Golin/Harris International, Initiative Media, Lowe &
Partners Worldwide, McCann-Erickson, Universal McCann and Weber Shandwick
Worldwide. Leading domestic brands include Campbell-Ewald, Deutsch and Hill
Holliday.
Cautionary Statement
This document contains forward-looking statements. Interpublic's representatives
may also make forward-looking statements orally from time to time. Statements in
this document that are not historical facts, including statements about
Interpublic's beliefs and expectations, particularly regarding recent business
and economic trends, the impact of litigation, dispositions, impairment charges,
the integration of acquisitions and restructuring costs, constitute
forward-looking statements. These statements are based on current plans,
estimates and projections, and are subject to change based on a number of
factors, including those outlined in this section. Forward-looking statements
speak only as of the date they are made, and Interpublic undertakes no
obligation to update publicly any of them in light of new information or future
events.
Forward-looking statements involve inherent risks and uncertainties. A number of
important factors could cause actual results to differ materially from those
contained in any forward-looking statement. Such factors include, but are not
limited to, those associated with the effects of global, national and regional
economic and political conditions, Interpublic's ability to attract new clients
and retain existing clients, the financial success of Interpublic's clients,
developments from changes in the regulatory and legal environment for
advertising and marketing and communications services companies around the world
and the successful completion and integration of acquisitions which complement
and expand Interpublic's business capabilities.
Interpublic's liquidity could be adversely affected if Interpublic is unable to
access capital or to raise proceeds from asset sales. In addition, Interpublic
could be adversely affected by developments in connection with the purported
class actions and derivative suits that it is defending or the SEC investigation
relating to the restatement of its financial statements. Its financial condition
and future results of operations could also be adversely affected if Interpublic
recognizes additional impairment charges due to future events or in the event of
other adverse accounting-related developments.
At any given time, Interpublic may be engaged in a number of preliminary
discussions that may result in one or more acquisitions or dispositions. These
opportunities require confidentiality and from time to time give rise to bidding
scenarios that require quick responses by Interpublic. Although there is
uncertainty that any of these discussions will result in definitive agreements
or the completion of any transactions, the announcement of any of these
transactions may lead to increased volatility in the trading price of
Interpublic's securities.
The success of recent or contemplated future acquisitions will depend on the
effective integration of newly acquired businesses into Interpublic's current
operations. Important factors for integration include realization of anticipated
synergies and cost savings and the ability to retain and attract new personnel
and clients.
Investors should evaluate any statements made by Interpublic in light of these
important factors.
CONTACT: For: The Interpublic Group of Companies, Inc., New York
Press:
Philippe Krakowsky, 212-399-8088
or
General Inquiries:
Julie Tu, 212-445-8456
or
Analysts:
Dan Leib, 212-621-5767
SOURCE: The Interpublic Group of Companies, Inc."
- Ends -
SECURITIES AND EXCHANGE COMMISSION
WASHINGTON, D.C. 20549
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FORM 8-K
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CURRENT REPORT
PURSUANT TO SECTION 13 OR 15 (d) OF THE
SECURITIES EXCHANGE ACT OF 1934
Date of report (Date of earliest event reported): January 5, 2004
The Interpublic Group of Companies, Inc.
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(Exact Name of Registrant as Specified in Charter)
Delaware 1-6686 13-1024020
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(State or Other Jurisdiction (Commission File (IRS Employer
of Incorporation) Number) Identification No.)
1271 Avenue of the Americas, New York, New York 10020
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(Address of Principal Executive Offices) (Zip Code)
Registrant's telephone number, including area code: 212-399-8000
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(Former Name or Former Address, if Changed Since Last Report)
Item 5. Other Events and Regulation FD Disclosure.
On January 5, 2004, The Interpublic Group of Companies, Inc.
("Interpublic") issued a press release, attached hereto as Exhibit 99.1, which
is hereby incorporated by reference, announcing it has agreed to sell four of
the motorsport circuits owned by its subsidiary Brands Hatch Circuits Limited
(including Brands Hatch, Oulton Park, Cadwell Park and Snetterton) to MotorSport
Vision Limited for an undisclosed sum. MotorSport Vision Limited is a new
company led by Jonathan Palmer that was formed for the purposes of owning and
developing the four circuits. Brands Hatch Circuits Limited will retain its
interests and commitments relating to the Silverstone circuit and will be
renamed Silverstone Motorsport Limited.
Item 7. Financial Statements and Exhibits.
Exhibit 99.1: Press Release of Interpublic issued January 5, 2004.
SIGNATURES
Pursuant to the requirements of the Securities Exchange Act of 1934,
the registrant has duly caused this report to be signed on its behalf by the
undersigned hereunto duly authorized.
THE INTERPUBLIC GROUP OF COMPANIES, INC.
Date: January 5, 2004 By: /s/ Nicholas J. Camera
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Nicholas J. Camera
Senior Vice President, General
Counsel and Secretary