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 NEW YORK, Oct. 22 /PRNewswire/ -- Buckeye Communications, Inc. announced today that the company has entered into a master licensing and marketing agreement with Seahawk Deep Ocean Technology, Inc. (NASDAQ: SDOT), a Colorado corporation involved in deep water search, survey and shipwreck recovery services ("SDOT"), together with separate licensing agreements with three Florida limited partnerships in which SDOT is the sole general partner (Seahawk I, Ltd., Seahawk II, Ltd. and Eagle Partners Ltd.) which are engaged along with SDOT in the business of locating, recovering and marketing the cargoes and artifacts of shipwrecks on a worldwide basis. SDOT, together with Seahawk I, Ltd., recovered in 1989 and 1990 approximately 17,000 artifacts including, but not limited to, gold bars, pearls, silver coins and clay olive jars from a Spanish shipwreck that sunk in the waters off the Dry Tortugas Islands in 1622. The company will develop an integrated marketing strategy to market, sell and distribute the cargoes and artifacts recovered by Seahawk from deep water shipwrecks. The company has the exclusive worldwide right to market and sell the artifacts and any additional products that are developed by the company and SDOT related to either the artifacts (i.e., artifact replicas), the SDOT video library and archives, through a variety of distribution channels including television, radio, TV home shopping channels, print media, catalogs and in other mass media, which involves "direct response marketing" and retail distribution channels.
 Buckeye has agreed to fund all development and marketing costs including product development cost, media cost, test marketing cost, talent and consulting costs, fulfillment costs, fees and commissions and any other costs directly related to the selected Seahawk product. Seahawk will receive royalty payments on the sale of Seahawk products. The Seahawk Agreements are for an initial term of five years (the "initial term") subject to the company's right to extend the initial term for one additional five year term if certain required minimum payments aggregating $1,000,000 are made to Seahawk by the end of the initial term.
 The company also entered into a loan agreement (the "Seahawk loan") with Seahawk I, Ltd. and SDOT (as guarantor) pursuant to which the company agreed to lend an aggregate of $250,000 to Seahawk I, of which $50,000 was funded on Oct. 17, 1993 and the balance of $200,000 to be funded shortly. The Seahawk loan bears interest at a rate of 10 percent per annum, with interest only payable quarterly in arrears, matures on Dec. 31, 1995, and is guaranteed by SDOT and collateralized by Seahawk I's deliverance to the company on Oct. 17, 1993 as security, 3,500 natural pearls (substantially all exceeding 3 mm in size) that were recovered by Seahawk I from the Spanish shipwreck. Furthermore, SDOT granted to the company warrants to purchase an aggregate of 250,000 shares of common stock exercisable on or before Oct. 13, 1998 at a price of $0.50 per share.
 In addition, the company and SDOT entered into a letter of intent with respect to the development and the operation of themed attractions to be known as Shipwreck and Treasure Museums which the company and SDOT would jointly own and develop. The attractions would display the artifacts and products recovered by Seahawk in the various underwater shipwreck recoveries, recreate the background and actual mission of the recovery crew on each discovery, and create a gift shop that would sell the artifacts and products developed by the company relating to the artifacts. It is contemplated that the company would either provide or arrange funding for the first attraction, and that the museum would enter into a master license and marketing agreement with the company which would be similar in terms and scope to the Seahawk agreements. Development of the project is contingent upon the company and SDOT agreeing to a site, a budget and business plan for the museum.
 Buckeye, established in 1988, is a development stage company which seeks investment and business opportunities in the leisure and entertainment industries including investments in such areas as (i) merchandising, licensing and intellectual assets, including the marketing and distribution of various consumer products through direct response and other traditional retail methods on a worldwide basis, (ii) themed tourist attractions, and (iii) entertainment. Buckeye common stock is quoted on the over-the-counter non-NASDAQ Bulletin Board under the symbol BKCI.
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 /CONTACT: Mark Hershhorn, president and chief operating officer, or Arnold P. Kling, Esq., general counsel, (New York) 212-888-9115, or fax, 212-888-9399, or (Pa.) 215-891-8320, or fax, 215-891-8326, both of Buckeye Communications, Inc./

CO: Buckeye Communications, Inc.; Seahawk Deep Ocean Technology ST: New York IN: MAR ENT SU: LIC

TM -- NY067 -- 5919 10/22/93 17:00 EDT
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Publication:PR Newswire
Date:Oct 22, 1993

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