On June
13, 2008 Footstar, Inc. issued the following press release:
Media
Contact:
Wendi
Kopsick/Kimberly Kriger
Kekst and
Company
212-521-4800
|
Investor
Contact:
Michael
Lynch
Chief
Financial Officer
201-934-2577
|
FOR IMMEDIATE
RELEASE
FOOTSTAR RESPONDS TO
OUTPOINT’S
DISINGENUOUS AND DESPERATE
CLAIMS
MAHWAH,
NEW JERSEY, June 13, 2008 -- Footstar, Inc. issued the following statement in
response to a press release issued by Outpoint Group earlier today:
“Outpoint’s
disingenuous press release is a clear sign of desperation as we approach
Footstar’s Annual Meeting on June 17th.
“Outpoint’s
so-called ‘discovery’ of Mr. Couchman’s Golf Trust directorship isn’t a
surprise. It’s been fully disclosed on page 4 of Footstar’s proxy
statement since May 7, 2008.
“And the
linkage between Golf Trust abandoning a plan of liquidation and Mr. Couchman’s
Golf Trust directorship is absurd -- the fact is that Mr. Couchman was elected
to Golf Trust’s Board more than a month
after Golf Trust shareholders voted to abandon Golf Trust’s plan of
dissolution!
“At
Footstar, the situation could not be more different. Mr. Couchman has
chaired a Board that has demonstrated a consistent track record of delivering
value to shareholders, including approving more than $6.00 per share in
distributions since 2007 and generating a 120% increase in stock price
(including distributions paid) since Footstar emerged from bankruptcy in
2006. The Board has already taken action to prepare for the wind-down
of the Company’s business, and, as previously stated, will submit a plan of
dissolution to shareholders following the expiration of the Kmart contract at
year-end 2008.”
Footstar’s
Board of Director recommends that shareholders return their WHITE proxy cards
TODAY to re-elect Footstar’s Director nominees, Adam Finerman and Gerald
Kelly. Whether or not you plan to attend the Annual Meeting, please
complete, sign, date and promptly mail your enclosed WHITE proxy card in the
postage-paid envelope provided. Should you prefer, you may vote in
person or may deliver your proxy by telephone or by the internet by following
the instructions on your WHITE proxy card.
Footstar’s
Board of Directors strongly urges you not to sign any proxy cards sent to you by
Outpoint. If you have previously signed an Outpoint proxy card, you
can revoke it by signing, dating and mailing the enclosed WHITE proxy card in
the envelope provided.
If
you have any questions or need assistance in voting your shares, please call or
contact our proxy solicitor, MacKenzie Partners, Inc., which is assisting
Footstar, toll-free at (800) 322-2885 or by email at
proxy@mackenziepartners.com.
About Footstar,
Inc.
Footstar,
Inc. (OTCBB: FTAR) is a discount footwear retailer. The Company operates
licensed footwear departments nationwide in Kmart and Rite Aid
Stores.
NOTE:
Footstar's certificate of incorporation contains restrictions that prohibit
parties from acquiring 4.75% or more of Footstar's common stock without its
prior consent and as further provided therein.
Forward-Looking
Statements
This
release contains forward-looking statements made in reliance upon the safe
harbor provisions of Section 27A of the Securities Act of 1933, as amended, and
Section 21E of the Securities Exchange Act of 1934, as amended. These
statements may be identified by the use of words such as "anticipate,"
"estimates," "should," "expect," "guidance," "project," "intend," "plan,"
"believe" and other words and terms of similar meaning, in connection with any
discussion of our financial statements, business, results of operations,
liquidity, future operating or financial performance and other future events and
circumstances. Factors that could affect our forward-looking
statements include, among other things, our ability to manage the anticipated
wind-down of our current businesses in connection with the termination of our
Kmart business, the impact of the payment of the $1.00 per share special
distribution on June 3, 2008 on our future cash requirements and liquidity
needs, both for our operating plans and any contingencies and obligations, and
the other risks and uncertainties discussed more fully in our 2007 Annual Report
on Form 10-K and the 2008 first quarter report on Form 10-Q.
Because
the information in this release is based solely on data currently available, it
is subject to change and should not be viewed as providing any assurance
regarding our future performance. Actual results, performance,
events, plans and expectations may differ from our current projections,
estimates and expectations and the differences may be material, individually or
in the aggregate, to our business, financial condition, results of operations,
liquidity or prospects. Additionally, we do not plan to update any of
our forward-looking statements based on changes in assumptions, changes in
results or other events subsequent to the date of this release, other than as
included in our future required SEC filings, or as may otherwise be legally
required.
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