DALLAS (May 12, 2006) -- ClubCorp, the world leader in delivering
premier golf, private club, and resort experiences, announces it has engaged
Goldman Sachs as its exclusive financial advisor to explore strategic
options, including the possible sale of the company.
"Our Board has voted to pursue alternatives to realize more value and
liquidity for ClubCorp shareholders," said Bob Dedman, ClubCorp's chairman.
"The market conditions are favorable, the company has a strong management
team, and it is well positioned for the future."
In recent years, the company has successfully refocused on its core
business of operating private clubs, improved its balance sheet and made
strategic capital investments in its properties. Trends in member enrollment
and retention are also positive.
"Our management team will continue to operate the company using the same
guiding principles established by our founder Robert Dedman, Sr.," said John
Beckert, ClubCorp CEO. "We expect that any option we pursue will recognize
the underlying value of the physical assets of the company as well as the
benefits of having experienced, dedicated Employee Partners that are
providing the highest levels of personalized service in a home-away-from-home
atmosphere that defines the private club experience."
If the decision is made to sell the company, the Dedman family will
acquire Pinehurst, the historic North Carolina resort, and the balance of
ClubCorp's assets will go to another buyer. The company's agreement with the
Dedman family effectively increases its ownership and control of Pinehurst
from 70 percent to 100 percent. Don Padgett II would continue to lead the
Pinehurst management team that operates the resort.
Founded in 1957, Dallas-based ClubCorp and its affiliates own or operate
nearly 170 golf courses, country clubs, private business and sports clubs,
and resorts. ClubCorp's annual gross revenue for 2005 was $1.04 billion.
Among the company's nationally recognized golf properties are Firestone
Country Club in Akron, Ohio (site of the World Golf Championships -
Bridgestone Invitational); Vista Vallarta in Puerto Vallarta, Mexico (site of
the 2006 Champions Tour Puerto Vallarta Blue Agave Golf Classic); Mission
Hills Country Club in Rancho Mirage, California (home of the Kraft Nabisco
Championship); Barton Creek Resort & Spa in Austin, Texas (site of two
Canadian Tour events); and The Homestead in Hot Springs, Virginia (America's
first resort founded in 1766).
The more than 60 business clubs and business and sports clubs include the
Boston College Club; City Club on Bunker Hill in Los Angeles; Columbia Tower
Club in Seattle; Metropolitan Club in Chicago; and the City Club of
Washington, D.C. The company's 18,000 employees serve the nearly
200,000 member households and 200,000 guests who visit ClubCorp properties
each year. Visit http://www.clubcorp.com for additional company information.
CONTACT: Patty Jerde of ClubCorp, +1-972-888-7316, or
patty.jerde@clubcorp.com ; or Dena Buford, +1-972-462-7525, or
dena@victorymc.com , for ClubCorp
Web site: http://www.clubcorp.com
