DALLAS, Oct. 5, 2004 (PRIMEZONE) -- Citizens Capital Corp. (Pink Sheets:CAAP) (CUSIP No.174445106) today announced that in order to facilitate its program of acquisition and expansion, it has elected to evoke its "demand right" ("Demand") and exercise the "Liquidating Call Provision" ("Call") of a secured, note (the "Note") entered into between the Company and the Citizens Capital Corp. ESOP Trust (the "Trust"), an affiliate of the Company.
The Call provision provides the Company or the Note holder of record thereof, the Demand right to require the Trust to liquidate up to 15,000,000 shares of the Company's Class A; common stock, held by the Trust.
In conjunction with a private secondary share placement, each one (1) share of Citizens Capital Corp. common stock shall also receive one (1) share of SCOR Brands, Inc. 144A common stock (CUSIP No.784026106) at $0.00 per share. The secondary placement shall be offered to institutions only through Indications of Interest (IOI) posted over the AutEx Network. Net proceeds shall be utilized by the Company to fund its program of acquisition and for general corporate purposes.
For additional information, refer to the Citizens Capital Corp. Current Report on Form 8-K filed on October 5, 2004.
"We have reached the point in our business process whereby we have an opportunity to assemble some key assets. I believe that by partnering with several institutions, we can accelerate our growth and provide an equity which has real upside potential," stated Billy D. Hawkins, CEO of Citizens Capital Corp.
About Citizens Capital Corp.
Citizens Capital Corp. is a development stage, growth oriented holding company that is actively engaged in the development of assets and/or acquisition of businesses across several identified sectors and, through the application of well defined management strategies, in order to enhance shareholder value for Citizens Capital Corp. shareholders. Citizens Capital Corp. subsidiaries currently consist of Landrush Realty Corporation; Media Force Sports & Entertainment, Inc. and SCOR Brands, Inc.
This press release contains certain forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, which are intended to be covered by the safe harbors created thereby. Investors are cautioned that, all forward-looking statements involve risks and uncertainties, including without limitation, the ability of Citizens Capital Corp. to accomplish its stated plan of business. Citizens Capital Corp. believes that the assumptions underlying the forward-looking statements contained herein are reasonable, any of the assumptions could be inaccurate, and therefore, there can be no assurance that the forward-looking statements included in this press release will prove to be accurate. In light of the significant uncertainties inherent in the forward-looking statements included herein, the inclusion of such information should not be regarded as a representation by Citizens Capital Corp. or any other person that the objectives and plans of Citizens Capital Corp. will be achieved.
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