Consumers Financial Corp. seeks alternate purchaser pending LaSalle funding.CAMP HILL, Pa.--(BUSINESS WIRE)--May 16, 1997--As a result of LaSalle Group Inc.'s disclosure on May 15, 1997 that it is unlikely that LaSalle's original source of funding would be available by June 15, 1997 and that it is in the process of securing alternative funding, Consumers Financial Corp. (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 :CFIN CFin Computational Finance CFIN Combat Flight Inspection ) announced Friday that is would renew its search for an alternate acquiror. On May 15, 1997, Herb Bailey of Explorer Holdings, financial advisor to LaSalle, said, "We will use our best efforts to obtain fully funded subscription agreements to complete the transaction on its original terms and we are highly confident that will be accomplished by June 15, 1997." The merger agreement with LaSalle was approved by Consumers' common stockholders on March 25, 1997 and extended by letter agreements on March 31 and May 1, 1997. Under the terms of the amended agreement, LaSalle was required to provide cash funds or satisfactory evidence of such funds in order to obtain all required regulatory approvals and consummate the merger under the terms of the agreement on or before May 15, 1997. If LaSalle failed to meet this requirement, Consumers had the right to renew its search for alternative acquirors, and, further, either party was then entitled to terminate the transaction on or after June 15, 1997. James C. Robertson, president of Consumers, stated, "We remain hopeful that the deal with LaSalle will be consummated, however, the board of directors of Consumers has decided to exercise its option to continue its search for an alternate acquiror to protect the company in the event LaSalle's funding is not available by June 15." Consumers is an insurance holding company which, through its subsidiaries, is a leading provider of credit life and credit disability insurance in the Middle Atlantic Adj. 1. middle Atlantic - of a region of the United States generally including Delaware; Maryland; Virginia; and usually New York; Pennsylvania; New Jersey; "mid-Atlantic states" mid-Atlantic region of the United States United States, officially United States of America, republic (2005 est. pop. 295,734,000), 3,539,227 sq mi (9,166,598 sq km), North America. The United States is the world's third largest country in population and the fourth largest country in area. . LaSalle is a privately held corporation Noun 1. privately held corporation - a corporation owned by a few people; shares have no public market close corporation, closed corporation, private corporation whose business purpose is to purchase and operate insurance companies on behalf of private and institutional investors Institutional Investor A non-bank person or organization that trades securities in large enough share quantities or dollar amounts that they qualify for preferential treatment and lower commissions. . CONTACT: Consumers Financial Corp., Camp Hill R. Fredric Zullinger, CFO See Chief Financial Officer. , 717/761-4230 |
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