CKx Adopts Stockholder Rights Plan
Confirms Receipt of Indication of Interest to Acquire Minority Interest in Company
June 23, 2010 08:18 AM Eastern Daylight Time
NEW YORK--(EON: Enhanced Online News)--CKx, Inc. (NASDAQ: CKXE) announced today that the Board
of Directors has received a letter from a third party indicating its potential interest in commencing a tender offer for
less than all of the Company’s shares of common stock. The letter further indicates that the third party is in ongoing
discussions with Robert F.X. Sillerman, the Company’s former Chairman and Chief Executive Officer and that while
no specific arrangements with Mr. Sillerman have been developed, Mr. Sillerman was not expected to tender his
shares into any such offer. The shares held by Mr. Sillerman when aggregated with those sought by the third party
would represent a majority of the shares of the Company.
The Board of Directors determined that it would not be in the stockholders best interests for the Board to facilitate
an offer, should such an offer be received, for less than all of the shares of the Company. The Board of Directors in
response has adopted a Stockholder Rights Plan to protect stockholders from potentially coercive takeover tactics,
and to provide fair and equal treatment for all stockholders. The preferred share purchase rights are not intended to
prevent or discourage a takeover and the Board of Directors would carefully consider a fully financed offer for all of
the Company’s shares. The Board has the ability to redeem the rights and/or amend the Stockholders Rights Plan,
including to permit an offer to purchase all of the Company’s shares.
Pursuant to the plan, the Board of Directors declared a dividend of one preferred share purchase right for each
outstanding share of its common stock. The preferred share purchase rights will be distributed to stockholders of
record as of July 2, 2010, but would only be activated if triggered by the plan. Stockholders who currently hold 15
percent or mor