Printer Friendly

SHOWBIZ PIZZA NAMED IN SUIT

 SHOWBIZ PIZZA NAMED IN SUIT
 IRVING, Texas, Jan. 6 /PRNewswire/ -- ShowBiz Pizza Time, Inc.


(NASDAQ: SHBZ) today announced that it had been named a defendant in litigation commenced by certain holders of warrants, options and preferred stock of Integra-A Hotel & Restaurant Company in District Court in Dallas County, Texas on Dec. 31, 1991. The company was served with notice of the action on Friday, Jan. 3, 1992.
 The suit alleges that the company, Integra, The Hallwood Group Incorporated and certain directors of such companies violated state securities laws and breached fiduciary duties to the Plaintiffs in connection with the Integra securities acquired by the Plaintiffs from 1986 through 1988. The suit also alleges that the 1988 "spin-off" of ShowBiz to holders of Integra common stock constituted a fraudulent transfer under Texas law. The Plaintiffs have sought actual damages equal to the alleged loss of value of their Integra securities as well as rescission of the company's 1988 spin-off and punitive damages.
 "We have disclosed the commencement of this suit not because we think it is credible or material but rather as a result of the malicious nature of the allegations made and the remedies sought," said Richard M. Frank, chairman and chief executive officer of the company. "This suit is entirely lacking in credibility and has no basis whatsoever," Frank added.
 The company, based on the advice of counsel, has determined the allegations to be totally without merit and unsupported by the actual facts and applicable law. The company intends to vigorously defend itself and its board of directors and will pursue any counterclaims available against the Plaintiffs in this litigation.
 -0- 1/6/92
 /CONTACT: Michael H. Maguslak, chief financial officer of ShowBiz Pizza Time, 214-258-8507/
 (SHBZ) CO: ShowBiz Pizza Time, Inc. ST: Texas IN: LEI SU:


TS-OS -- NY013 -- 6776 01/06/92 09:22 EST
COPYRIGHT 1992 PR Newswire Association LLC
No portion of this article can be reproduced without the express written permission from the copyright holder.
Copyright 1992 Gale, Cengage Learning. All rights reserved.

Article Details
Printer friendly Cite/link Email Feedback
Publication:PR Newswire
Date:Jan 6, 1992
Words:307
Previous Article:OVER $2.1 MILLION IN LUXURY AUTOMOBILES SHOWCASED BY BRITISH MANUFACTURERS AT DETROIT SHOW
Next Article:THE ITALIAN OVEN SAUCE AVAILABLE FOR HOME CONSUMPTION (Product Announcement)
Topics:


Related Articles
SHOWBIZ ANNOUNCES SALE OF MONTEREY'S
SHOWBIZ PIZZA TIME ANNOUNCES MANAGEMENT CHANGES
SHOWBIZ PIZZA TIME, INC. ANNOUNCES OPERATIONAL CHANGES
NEW VALLEY AND CANYON PARTNERS NOMINATE JOSHUA S. FRIEDMAN TO BOARD OF DIRECTORS OF SHOWBIZ PIZZA TIME
NEW VALLEY AND CANYON PARTNERS TO SOLICIT PROXIES FOR ELECTION OF JOSHUA S. FRIEDMAN TO BOARD OF DIRECTORS OF SHOWBIZ PIZZA TIME
JOSHUA S. FRIEDMAN ELECTED TO BOARD OF DIRECTORS OF SHOWBIZ PIZZA TIME
CLASS ACTION RECOMMENDED AGAINST PIZZA HUT FOR DISCRIMINATION
Chuck E. Cheese's(R) Enters Licensing Arena: ShowBiz Pizza Time, Inc. Appoints Licensing Agent and Announces Three Licensed Product Agreements

Terms of use | Copyright © 2016 Farlex, Inc. | Feedback | For webmasters