Broderbund Software Acquires Parsons Technology; Acquisition Leverages Direct-to-Consumer Capabilities and Well-known Products of Two Consumer Software Leaders.NOVATO, Calif.--(BUSINESS WIRE)--Aug. 7, 1997--Broderbund Software, Inc. (NASDAQ NASDAQ in full National Association of Securities Dealers Automated Quotations U.S. market for over-the-counter securities. Established in 1971 by the National Association of Securities Dealers (NASD), NASDAQ is an automated quotation system that reports on :BROD BROD Big Bike Riders of Dagupan (Motorcycle Club in the Philippines) ), a leading consumer software company, today announced the completion of the purchase of Iowa-based Parsons Technology from Intuit Inc. (NASDAQ:INTU INTU Intuit, Inc. (stock abbreviation, AMEX) ), a financial software and web-based services company. The acquisition is part of Broderbund's commitment to a direct to consumer (DTC DTC See: Depository Transfer Check DTC See: Depository Trust Company DTC See Depository Trust Company (DTC). ) sales channel strategy on which it embarked following its purchase of content companies such as Banner Blue Software, T/Maker Company and Living Books. Broderbund's purchase of Parsons provides it with a premier DTC marketing organization and an experienced product development group. Parsons will market Broderbund's broad product portfolio, as well as their own products, using its advanced DTC systems. "We see this as an excellent strategic and cultural fit between two successful organizations," said Joe Durrett, chief executive officer of Broderbund. "The people and our shared vision will make this combination a winner. Parsons' direct expertise will provide an alternative for some customers and allow us to better serve our customers between store visits. Through Parsons, we will also work with our retail partners to combine direct support and retail channel promotions to drive shoppers back to the stores more frequently." "We are delighted to join forces with Broderbund," said Scott Porter Scott Porter (born July 14, 1979 in Omaha, Nebraska) is an American actor who plays Jason Street in the NBC television drama Friday Night Lights. His character is wheelchair-bound as a result of a football injury. , president of Parsons Technology. "Broderbund's strong line-up of evergreen brand franchises paves the way for exciting direct marketing opportunities. Partnering with Broderbund bolsters our programs by combining our extensive product lines and expanding our list of names to reach a broader audience. We look forward to joining the Broderbund team." Under terms of the agreement, Broderbund will account for the acquisition as a purchase with the price being approximately $30 million. The transaction will result in a one-time charge and other costs associated with the acquisition being incurred in the fourth quarter of fiscal 1997. Excluding the one-time charge and other costs associated with the transaction, Broderbund does not expect the transaction to be dilutive. Intuit will retain the Parsons line of tax preparation software. Additional terms have not been disclosed. Parsons Technology was founded in 1984 and employs 525 people. Parsons will operate as a wholly owned subsidiary Wholly Owned Subsidiary A subsidiary whose parent company owns 100% of its common stock. Notes: In other words, the parent company owns the company outright and there are no minority owners. of Broderbund with continuing operations continuing operations Parts of a business that are expected to be maintained as an ongoing segment of an overall business operation. Income and losses from continuing operations are reported separately if any segments have been discontinued during the in Hiawatha, Iowa Hiawatha is a city in Linn County, Iowa, United States. The population was 6,480 at the 2000 census. It is a suburb of Cedar Rapids. History Hiawatha celebrated its 50th Anniversary in May 2000. . Scott Porter, a six-year veteran with Parsons, will continue as president of the subsidiary. Broderbund's operations will continue at its headquarters in Novato, California, as well as its other worldwide locations. Parson's web site is located at http://www.parsonstech.com . This press release contains forward looking statements. There are certain important factors that could cause actual results to differ materially from those anticipated by the forward looking statements, including but not limited to the successful integration of Parsons and its operations and the competitive environment and continuing uncertainties in the consumer software industry and in consumer software distribution channels. Additional factors that could affect the future performance of Broderbund are included in the Company's Form 10-K Form 10-K A report required by the SEC from exchange-listed companies that provides for annual disclosure of certain financial information. Form 10-K See 10-K. and Form 10-Qs on file with the Securities and Exchange Commission. Broderbund Software, Inc. develops, publishes and markets a broad line of interactive content for use in homes, schools and small businesses. Since its founding in 1980, Broderbund has pioneered innovative award-winning products that take advantage of the latest technologies. Broderbund has a successful track record of identifying and capitalizing on emerging trends through its studio development approach. Broderbund's web site is located at http://www.broderbund.com . Broderbund is a registered trademark of Broderbund Software, Inc. Intuit is a registered trademark of Intuit Inc. Parsons is a registered trademark of Parsons Technology. All other marks are trademarks or registered trademarks of their respective holders. CONTACT: Broderbund Software, Inc. Robin Linstrom, 415/382-4449 (Investor Relations Investor relations The process by which the corporation communicates with its investors. ) robin_linstrom@broder.com Eric Winkler Winkler may refer to:
eric_winkler@broder.com |
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